This month’s sales statistics were a bit of a shock at first glance! So, before I dive into the results, I would like to remind you that April 2021, is directly compared to April 2020…and, If you recall, April of last year was a total dumpster fire. No one left their homes, we were in the heat of the pandemic and, as a result, no one (other than people who had already sold and had to move) were buying homes! So, take the following numbers with a grain of salt.
Year over year, sales are up 338%. April 2021 saw 3,016 sales while April 2020 saw only 688 sales – the media with love this stat! As a whole, the market is still strong. I believe April is the turning point from this red hot market to more of a balanced market. We are seeing an inflow if supply hit. I have personally seen some buyer fatigue as well. Buyers that were either priced out, or simply just tired of competing against 10 + other offers have dropped off.
The Fraser Valley Real Estate Board received the highest volume of new listings ever in March 2021 and that elevated pace continued in April. Last month, the Board received 5,018 new listings, an increase of 254 per cent compared to April 2020, and a decrease of 1 per cent compared to March 2021. The influx of new listings improved supply with total active inventory reaching 6,030 in April 2021, 20 per cent higher than in March and the highest it’s been in six months.
Benchmark Pricing across the Fraser Valley
The big question within the industry right now is, to hold off on offers or, not to hold off.
While assessing a detached home in Langley this week at a listing appointment, I – for the first time in a long time – advised to my clients to not hold off on offers. This particular home needs some work, but after calling around to other agents who have homes listed in the neighbourhood at similar price points, and hearing that in some cases no offers came forward on the “offer presentation date” there seems to be a shift in the market. Instead we are listing at a realistic price, give it full market exposure and if we get a great offer out of the gate, we will happily work with it.
I feel April has been the turning point in Buyer mentality. We have had an inflow of supply and, some buyers are priced out while others have buyer fatigue and have stepped aside. This of course varies depending on price point, type of home and specific neighbourhood. For a more accurate idea of the best strategy for you, you can reach out.