The Fraser Valley real estate market experienced a decrease in overall property sales by 29.4% over 2015 and is finally returning to more characteristic levels for this time of year:
1,247 sales closed in November 2016 compared to 1,766 in November 2015 and 1,463 sales in October 2016.
The steady return to a more normal market is expected to continue according to the Fraser Valley Real Estate Board.
|All Property Types|
|Fraser Valley Grand Totals||Nov-16||Nov-15||% Change||Oct-16||% Change|
The British Columbia Real Estate Association Housing Forecast has suggested that policy changes in BC along with economic conditions are likely to slow the 2017 market overall by 15%. Economic growth is expected to be around 3.5% in 2017, but mortgage qualification changes for low equity or first time home buyers could decrease the purchasing power of this group by as much as 20%.
Even so, the BCREA goes on to predict that Chilliwack and the Fraser Valley will experience record home sales in 2017. They attribute this upward forecast to a demographic shift in home buying, suggesting millennials will lead the way as they begin to bolster their finances to comply with legislative changes and enter the home buying market.
Over 60% of housing demand in the province is currently served by the Fraser Valley which has experienced strong economic growth and consumer confidence. However, current slower demand for housing may eventually realize some changes to the local economy.
At the moment, this places buyers under less duress than they have been previously and currently find themselves having no need to rush into the decision-making process as occurred during the market peak. Sellers are becoming a little more flexible with their numbers and combined with the drop in sales creates a more evenly apportioned landscape for everyone.
|Current Sales & Prices|
|Sales||Benchmark Price||Median Price||Average Price|
|Single Family Detached||472||$860,800||$424,300||$904,205|
Inventory levels in November dropped 7.2% from October, with only 5,602 listings on the market. There was an 18.4% decrease in listings from October, as November saw 1,792 new listings. The number of average days required to sell a home in November 2016 (37) was exactly the same as the number of average days needed in 2015.
The market is still active and now may be as good a time as any to consider listing your home or preparing to inquire about another one. For help weaving your way through the market changes and potential future scenarios, contact Natasha Taylor at 778-316-4290 or by email at firstname.lastname@example.org.