Calmer Market Conditions as Summer Draws to a Close
September 2nd, 2022
Inventory was up, and sales were down in August, reminiscent of a typical summer market... more »
October 1st, 2012
Multiple Listing Service® (MLS®) sales summary data released by the Vancouver Island Real Estate Board (VIREB) shows housing sales activity across Vancouver Island declined 18% last month compared to last year, while average sale prices dipped 5%. Across VIREB’s coverage area in September sales prices dropped in every area when compared to September 2011, with the exception of the Port Alberni / West Coast region which recorded a 79% increase in sales activity when compared to the same month last year. There was a 4% increase in the number of homes listed on the Multiple Listing Service® (MLS®) last month when compared to a year earlier. The average price of a single family home sold within the VIREB region in September was $327,437 down from the September 2011 average price of $344,437. The number of reported unit sales was down last month when compared to a year ago. In September 2011 there were 318 single family homes sold, in comparison 262 unit sales were recorded in September 2012. The dollar value of properties sold last month across the VIREB coverage area when compared to September 2011 was down 22%.
“The general cooling of sales activity over the summer months in Victoria and across Vancouver Island will likely continue this fall,” explained Cameron Muir, Chief Economist with the British Columbia Real Estate Association (BCREA). “Moderate sales activity is largely the result of tighter credit conditions and a more tepid economic growth. However I do expect some increase in consumer demand in the 2013 corresponding with stronger labour market conditions.”
As of the end of September 2012 there were 2,905 single family homes available on the Multiple Listing Service® within VIREB’s coverage area, down slightly from the 2,952 homes in the system at the end of September 2011. In September there were 710 homes listed on the MLS® system, up 4% from the 680 homes listed during September 2011
“It has to be recognized that while the monthly sales figures were down from a year ago the actual sales prices of the homes sold, as compared to the average price of a year ago are only within five percent,” explained VIREB President Guy Bezeau. “The buying public are benefiting from historically low interest rates and a terrific inventory of available properties. I am optimistic that the fall season, traditionally one of the busiest for real estate sales, will be a very active one. Now more than ever the public should rely on the personal knowledge and local experience of a professional REALTOR® when making what is likely to be the largest purchase of their lives.”
Comparing September 2012 to September 2011, the average sale prices across VIREB's six zones saw: Campbell River decline 10% to $262,083, the Comox Valley increased 7% to $366,019, Nanaimo’s average sales price remained virtually unchanged at $360,913, up incrementally from the September 2011 average price of $359,821, Parksville/Qualicum prices were up by 1% to $393,166, Port Alberni/West Coast dropped 2% to $181,793 and the Cowichan Valley declined 12% to $315,442. In terms of unit sales year to year there was as is often the case a wide disparity among the different zones last month. Port Alberni / West Coast unit sales for example were up a massive 79% compared to September 2011, while Cowichan Valley unit sales were down 32% as compared to a year ago. Comox Valley recorded a 31% drop in unit sales on a year to year basis, while other areas of Vancouver Island reported sales declines ranging from 8% to 25% as compared to September 2011. Contact a REALTOR® for an interpretation of local trends and conditions that could be affecting your area as regional factors can dramatically alter the monthly statistical picture.