FRASER VALLEY

Spring home shoppers love the Fraser Valley:  opportune time for buyers.    

With the long-awaited Spring season now upon us, there are clear signs that home buyers are getting out to look at Fraser Valley properties. February 2020 sales across all property types rose above the 10-year average. This was also 39 per cent higher than the preceding month of January and close to the same increase over this period from one year ago. Prices across the Valley for all property types are continuing to move upwards, through still moderately. However, this situation may not last. The recent prime rate drop of 50 basis points by the Bank of Canada has already brought down mortgage rates; shaving half a percent off a mortgage means significant savings. This mortgage rate cut combined with an easing of national mortgage stress test rules will surely be an incentive for serious home shoppers to purchase a home at this time. I strongly encourage prospective buyers to move quickly though, to avoid the possibility of a sharper increase in prices with likely increase in demand arising from the financial incentives now in place. There is also still some seasonal slowness in new listings at this time. February listings in the Fraser Valley reached 2,557, but this was still down 15 per cent compared with one year ago.  Nonetheless, there were sill 5,741 active listings at the end of February so shoppers still have ample choice. However, homes in the three main property types sold last month on average six days faster than they did one year ago, another indicator of increasing demand. Across the Valley in February, the average time for a single family detached residence to remain on the market was 37 days; townhouses on average sold in 33 days; and condominiums in 35 days.

The composite benchmark price for a Fraser Valley property at the end of February was $833,400, an increase of 1.2 per cent from the preceding month. Compared to the comparable benchmark in Metro Vancouver of over $1-million, it is easy to see why so many young families and singles are finding a quality home at an affordable price in this region. Although there is still some sluggishness in new listings on average across the Valley, it is well worth the effort to check out specific areas, particularly for condominium sales, which may exceed the norm for availability. I will be happy to help any home shopper with details on their specific requirements. Please also take a look at my monthly comparative benchmark changes for each property type in the selected areas below. And if you are contemplating listing your Valley home for sale now, please give me call. This is an excellent time to sell without undue delay, and I can assist you in setting the optimal price for current market conditions in your area.

Detached Homes

The benchmark price for a single-family detached home in the Fraser Valley at the end of February 2020 was $971,300, an increase of 1.1 per cent from the preceding month. The extremities of this average were South Surrey/White Rock at $1,304,200 and Mission at $669,400. The three municipalities closest to the benchmark on the higher side of the average were: Langley at $1.002,600, an increase of 0.7 per cent from the preceding month; Surrey at $1,012,700, an increase of 0.5 per cent from the preceding month; and Cloverdale at $1,029,100, an increase of 2.1 per cent from the preceding month. The three municipalities closest to the benchmark on the lower side of the average were: North Surrey at $951,900, an increase of 1.4 per cent from the preceding month; North Delta at $916,600, no change from the preceding month; and Abbotsford at $814,000, an increase of 1.9 per cent from the preceding month.

 

Townhouses

 

The benchmark price for a townhouse in the Fraser Valley at the end of February 2020 was $523,200, an increase of 1.0 from the preceding month. The extremities of this average were South Surrey/White Rock at $617,100 and Abbotsford at $382,100. The three municipalities closest to the benchmark on the higher side of the average were: North Surrey at $561,900, a decrease of 1.8 per cent from the preceding month; Surrey at $561,900, an increase of 1.7 per cent from the preceding month; Cloverdale at $571,100, an increase of 3.7 per cent from the preceding month.  The three municipalities closest to the benchmark on the lower side of the average were: Langley at $503,700, an increase of 1.7 per cent from the preceding month; Mission at $444,100 an increase of 1.1 per cent from the preceding month; and Abbotsford at $382,100, an increase of 0.4 per cent from the preceding month.

 

Condominiums

 

The benchmark price for a condominium in the Fraser Valley at the end of February 2020 was $414,500, an increase of 1.5 per cent from the preceding month. The extremities of this average were South Surrey/White Rock at $482,400 and Abbotsford at $313,400. The three municipalities closest to the benchmark on the higher side of the average were: Surrey at $421,200, an increase of 2.3 per cent from the preceding month; Cloverdale at $465,100, an increase of 1.7 per cent from the preceding month; and South Surrey/White Rock at $482,400, an increase of 1.3 per cent from the preceding month; The three municipalities closest to the benchmark on the lower side of the average were: Langley at 412,200, an increase of 1.6 per cent from the preceding month; North Surrey at $407,300, an increase of 1.9  per cent from the preceding month; and North Delta at $377,200, a 1.9 per cent increase  from the preceding month. 

 

Let me help: New mortgage stress test can assist buyers

You will now find it easier to qualify for a mortgage. New national mortgage stress test rules will help many potential buyers who did not meet previous criteria for a mortgage. The recent reduction in the Bank of Canada’s prime lending rate is another incentive for home shoppers. These two changes make it an excellent time to purchase your dream home. With several years in banking and finance, I can also help you understand your mortgage requirements. I am happy to help. Please feel free to call me.