{"id":2407,"date":"2025-05-16T11:57:45","date_gmt":"2025-05-16T15:57:45","guid":{"rendered":"https:\/\/www.caianderson.com\/blog\/?p=2407"},"modified":"2025-06-03T13:36:26","modified_gmt":"2025-06-03T17:36:26","slug":"shift-happening","status":"publish","type":"post","link":"https:\/\/www.caianderson.com\/blog\/2025\/05\/16\/shift-happening\/","title":{"rendered":"Fraser Valley Real Estate Shift Happening"},"content":{"rendered":"\n

A continued rise in inventory levels and a decrease in sales are creating lower absorption rates across the Fraser Valley real estate market for all asset classes (detached, townhomes, and condos). Fraser Valley homebuyers\u00a0purchased 29% fewer properties<\/strong>\u00a0compared to last year. Currently, the Fraser Valley has over 9,300 active listings<\/strong>\u00a0on the market. 6,000 units for sale is considered a healthy, balanced market. Therefore, with 9300 units for sale this is buyer’s market territory.<\/p>\n\n\n\n

The Fraser Valley market currently has a 10% sales-to-listing ratio. This means that for every 100 homes on the market listed for sale, only 10 will sell in a given month. That\u2019s a sharp drop, clearly\u00a0tilting the market in favour of buyers. As a result, buyers are taking their time viewing homes and deciding which would best suit their lifestyle. Regarding offers, we have full subjects written in. There is lots of time for the buyer to verify their financing, and ultimately, feel confident in their purchases. Let’s compare this to the seller’s market we saw in 2021 and Q1 of 2022. During this time, offers could not even have subjects, and buyers were competing with multiple other offers. Therefore, it is a great time to purchase a home should that be in your life plans.<\/p>\n\n\n\n

Fraser Valley Sales<\/h3>\n\n\n\n

On a national level, we are under the 10-year rolling average for sales. <\/p>\n\n\n\n

\"Canadian<\/figure>\n\n\n\n

Fraser Valley Real Estate Market Snapshot<\/h3>\n\n\n\n

Prices are down across all asset classes both month over month, and year over year. The average days on market to sell a home is 32 for a detached, and 29 for townhomes and condos. Detached homes are in a buyer’s market. Townhomes and condos are sitting in a balanced market. It is a great time to upsize from a townhome to a detached!<\/p>\n\n\n\n

\"Fraser<\/figure>\n\n\n\n
\"MLS<\/figure>\n\n\n\n

Interest Rates:<\/h3>\n\n\n\n

The Bank of Canada held its overnight rate at 2.75%<\/a><\/strong> in its April 16, 2025, meeting. This decision surprised many, given ongoing economic pressures. This rate is down 2.25% from a year ago. The next rate announcement is scheduled for June 4th<\/strong>, and market speculation is mixed. A potential rate hike could possibly motivate some buyers to act quickly.<\/p>\n\n\n\n

\"Canadian<\/figure>\n\n\n\n

On-the-Ground Insights:<\/h3>\n\n\n\n

We are beginning to see early signs of movement. Because of this, buyers writing offers again. While not all offers are being accepted, the activity is increasing. Additionally, sellers are also beginning to respond to market realities. For example, our team is carrying 18 listings, many of which have now been on the market for months. Several of our sellers\u00a0have reduced their prices\u00a0in response to market conditions.<\/p>\n\n\n\n

As a result, the biggest hurdle remains unrealistic pricing. Some homeowners\u00a0continue to price based on 2021 peak values, even though those aren\u2019t realistic today. Consequently, overpriced or poorly presented homes\u00a0aren\u2019t selling.<\/p>\n\n\n\n

Seller Advice:<\/h3>\n\n\n\n

Currently, in today\u2019s Fraser Valley market, presentation and pricing are everything. With so much inventory to choose from, buyers are quick to move on from homes that don\u2019t stand out. As a result, if your property isn\u2019t showing at least an 8\/10\u2014and if it\u2019s not priced sharply\u2014it likely won\u2019t sell. Sellers need to ensure:<\/p>\n\n\n\n