FRASER VALLEY

Valley sales remain constant; prices rise as new listings fall behind

Fraser Valley residential market activity closed last month in a virtual dead heat over the preceding month of March. April’s home sales of 1,554 nosed ahead of March’s 1,550 while new listings fell behind by 3.2%, leaving a total active inventory just 4,632. Although this supply is 2.2% ahead of the inventory one month earlier, it is 14% down from 5,387 available homes in the same period one year ago. However, new listings are expected to increase with the currently rising home prices seen across all property types. Many prospective sellers have been reluctant to list since the Bank of Canada began its series of eight interest rates hikes last spring. During the inflation-fighting measures over the past year, Valley home prices declined with lower demand as many home buyers withdrew temporarily from the market. With Canada’s core inflation rate dropping and the central bank’s current pause on further rate increases, Valley residential sales began to recover at the beginning of this year, with overall sales 4,628 year to date. The lag in new listings, however, is contributing to rising prices although the current situation offers excellent purchase opportunities at the present time. The Fraser Valley continues to be a desirable region for young families and first time home buyers. Lower prices for comparable or larger homes compared with Metro Vancouver make an attractive first home purchase an excellent investment. Notably, the combined benchmark price for Fraser Valley home had risen above $1-million last fall, but has dropped below the $1-million threshold for the last six months. The combined benchmark price for a residential property in the Fraser Valley at the end of April was $992,000. While this was an increase of 2.8% from the preceding month, it is still well below Metro Vancouver’s $1,078,000 for the same period.        

In my monthly selection of comparative benchmark prices below, you will find a useful guide to current home prices for each property type in different areas of the Fraser Valley. The benchmark for each property type is calculated from the range of prices included between the upper and lower extremities provided. The average prices closest above and below the benchmark for compatible properties is accompanied with their change in price from one month earlier. This will give you an idea of the market dynamics in that area. It should be remembered, however, that benchmarks are averages, and that there is often significant difference for a particular price that may make it an exceptionally good buy. I encourage you to peruse the property types of your choice and gain an idea of what geographical area you may find a good fit for your budget. If you are interested in looking at available homes in any area, I can provide you with the latest data on prices and new listings.  And if you are thinking of listing your home for sale, I can prepare a Customized Market Analysis showing recent sales in your area and can advise you on the optimal asking price in current market conditions. Please feel free to call me with any questions you may have for whatever your needs may be. I am happy to help you in any way I can.

Detached Homes

The benchmark price for a detached home in the Fraser Valley at the end of April was $1,442,900, an increase of 3.8% from the preceding month. The extremities of this average were South Surrey/White Rock at $1,864,100 and Mission at $981,500. The three municipalities closest to the benchmark on the higher side of the average were: Surrey at $1,479,700, an increase of 4.1% from the preceding month; Cloverdale at $1,481,000, an increase of 2.4% from the preceding month; and Langley at $1,541,200, an increase of 3.8% from the preceding month. The three municipalities closest to the benchmark on the lower side of the average were:  North Surrey at $1,435,800, an increase of 5.1% from the preceding month; North Delta at $1,337,000, an increase of 4.3% from the preceding month; and Abbotsford at $1.137,700, an increase of 4.0% from the preceding month.

Townhouses

The benchmark price for a townhouse in the Fraser Valley at the end of April was $808,000, an increase of 1.7% from the preceding month. The extremities of this average were South Surrey/White Rock at $937,000 and Abbotsford at $609,300. The three municipalities closest to the benchmark on the higher side of the average were: Langley at $811,200, an increase of 1.9% from the preceding month; Cloverdale at $822,100, an increase of 2.1% from the preceding month; and Surrey at $831,500, an increase of 2.5% from the preceding month. The three municipalities closest to the benchmark on the lower side of the average were: North Surrey at $749,700, an increase of 1.0% from the preceding month; Mission at $639,400, an increase of 1.8% from the preceding month; and Abbotsford at $609,300, an increase of 0.2% from the preceding month.

Condominiums

The benchmark price for a condominium in the Fraser Valley at the end of April was $530,200, an increase of 1.6% from the preceding month. The extremities of this average were South Surrey/White Rock at $599,400 and Abbotsford at $426,300. The three municipalities closest to the benchmark on the higher side of the average were: Surrey at $550,200, an increase of 1.4% from the preceding month; North Delta at $558,000, an increase of 1.6% from the preceding month; and Langley at $575500, an increase of 1.8% from the preceding month. The three municipalities closest to the benchmark on the lower side of the average were: North Surrey at $497,800, an increase of 1.1% from the preceding month; Mission at $432,500, an increase of 3.4% from the preceding month; and Abbotsford at $426,300, an increase of 2.8% from the preceding month.

I can helps

These are challenging times for home buyers and homeowners. With higher mortgage interest rates, you may need to adjust your financial strategy for your home purchase. If you need help in managing your home ownership plans, I can help. I have post-graduate education in business along with years of experience in both banking and real estate. I am happy to help in any way I can. I want my clients to achieve their goals. Please don’t hesitate to call me.