Historically, the summer months see a slow down. This past July was no exception. Both the number sales and the number of new listings recorded in July softened compared to more recent months.
The Fraser Valley Real Estate Board processed 11% fewer sales compared to last month, June 2021 and 4.5% less compared to July of last year.
Currently, the number of buyers significantly outweighs the number of sellers and for the past 14 months, we have been in a strong sellers market. The huge demand for new homes to hit the market has resulted in current inventory levels to reach the lowest for the month since 1981!!
What is interesting, is that even though sales and listings have slowed this summer, the overall number of sales occurring remains above average, in fact we are sitting at 15% above the 10 year average. That just goes to show you how quickly buyers are purchasing homes as they hit the market.
In my opinion, homes are going to continue to sell fast and for a strong price as long as supply and interest rates remain low. Until we see a huge surge of homes coming onto the market, we will remain in a sellers market.
Fall is just around the corner. We usually see an increase in the number of new listings processed by the Real Estate Board, but, given how much supply we actually need, I do not think we can keep up with the demand and foresee this sellers market to continue into the new year.
Average Benchmark Pricing:
- Single Family Detached: At $1,319,200, the Benchmark price for an FVREB single-family detached home decreased 0.4 per cent compared to June 2021 and increased 30.9 per cent compared to July 2020.
- Townhomes: At $688,400, the Benchmark price for an FVREB townhome increased 1.5 per cent compared to June 2021 and increased 22.3 per cent compared to July 2020.
- Apartments: At $494,000, the Benchmark price for an FVREB apartment/condo increased 0.1 per cent compared to June 2021 and increased 13.0 per cent compared to July 2020.