FRASER VALLEY

Buyer’s market continues; robust inventory; attractive purchase opportunities

Rising slightly in May, home sales in the Fraser Valley managed to sustain their upward trend seen this year, but the increase of 0.5% was considerably less than the double-digit jumps seen in recent months. The Valley’s inventory of available homes has remained plentiful despite a drop in new listings in May, posting a total supply across all property types of 10,140 active listings at the end of the month, well above historical norms. This provides an excellent selection for prospective buyers, most notably for those in the single detached home segment, which continues to see the most home purchases over townhouses and condominiums. Attractive mortgage rates have also continued to remain steady, as a wave of price inflation, still in lag time from the Persian Gulf blockade of oil shipments, could be expected to hit the Canadian economy soon. Canada’s inflation rate is currently around 2.8%, although transportation inflation has risen to 7.6% from 3.7% in March, although the Bank of Canada noted that it had not seen higher energy prices spread into inflation expectations so far. Today, June 10, the Bank of Canada is making its latest policy rate announcement and is widely expected by leading economists to keep it at 2.25% where it has been for the last six months. Ratehub currently posts that the best 5-year variable and 5-year fixed (insured) rates available in Canada are at 3.30% and 3.99% respectively. With global geopolitical conflicts and the impact of US tariffs behind much of the current economic uncertainty, there are still a many potential home buyers, particularly first-time buyers, holding back on purchase decisions. The noted activity in the detached home segment is largely attributable to home owners with existing equity able to sell at this time to purchase larger homes. During the month of May, a single-family Detached home was on the market for an average of 35 days; townhouses for an average of 37 days; and condominiums for an average of 40 days. The Fraser Valley continues in buyers’ market territory with a sales-to-active listings ratio of 11%, making it very attractive for those who are able to withstand possible economic shocks on the horizon. Prices are also declining across all property types, with the combined benchmark price for a residential property in the Fraser Valley at the end of May at $893,300, a 0.7% decrease from the preceding month.

Please review my guide below to benchmark prices in different areas of the Fraser Valley. For each property type I have selected the overall benchmark average and the three closest average prices on each side of the Benchmark. Remember that average prices can conceal an actual price that may be more attractive to your budget. The range of prices for each average will help you make a good guess at this but be sure to contact me if you want the most up-to-date information on the latest listings in any neighbourhood. And if you are considering listing your home for sale, I can create a Customized Market Analysis of your property and advise you on the optimal asking price in the current market conditions. Please feel free to call me. I love to help my clients in any way I can.    

Detached Homes

The benchmark price for a detached home in the Fraser Valley at the end of May was $1,366,500, a decrease of 0.6% from the preceding month. The range of the average extended from $1,727,000 in South Surrey/White Rock to $949,900 in Mission. The three municipalities closest to the benchmark on the higher side of the average were: Cloverdale at $1,378,100, a decrease of 0.3% from the preceding month; Langley at $1,522,700, a decrease of 0.9% from the preceding month; and South Surrey/White Rock at $1,727,000, a decrease of 0.8% from the preceding month. The three municipalities closest to the benchmark on the lower side of the average were: Surrey at $1,356,500, a decrease of 1.3% from the preceding month; North Surrey at $1,270,000, a decrease of 3.2% from the preceding month; and North Delta at $1,255,900, an increase of 1.3% from the preceding month.

Townhouses

The benchmark price for a townhouse in the Fraser Valley at the end of April was $769,500, a decrease of 0.3% from the preceding month. The range of this average extended from $863,100 in South Surrey/White Rock to $620,800 in Abbotsford. The three municipalities closest to the benchmark on the higher side of the average were: Langley at $817,100, a decrease of 0.7% from the preceding month; North Delta at $852,600, a decrease of 3.1% from the preceding month; and South Surrey/White Rock at $863,100, a decrease of 1.7% from the preceding month. The three municipalities closest to the benchmark on the lower side of the average were: Cloverdale at $766,200, a decrease of 0.9% from the preceding month; North Surrey at $718,800, an increase of 2.2% from the preceding month; and Abbotsfard at $620,800, an increase of 1.6% from the preceding month.

Condominiums

The benchmark price for a condominium in the Fraser Valley at the end of May was $483,800, a decrease of 1.5% from the preceding month. The range of the average was from $576,800 in South Surrey/White Rock to $389,000 in Abbotsford. The three municipalities closest to the benchmark on the higher side of the average were: Surrey at $488,100, a decrease of 1.6% from the preceding month; North Delta at $502,300, a decrease of 2.0% from the preceding month; and Cloverdale at $539,000, an increase of 0.1% from the preceding month. The three municipalities closest to the benchmark on the lower side of the average were: Mission at $427,400, a decrease of 0.8% from the preceding month; North Surrey at $416,400, a decrease of 1.6% from the preceding month; and Abbottsford at $389,000, a decrease of 2.8% from the preceding month.

I can help

There are many ways I can help you with your real estate transactions. Please let me know how I can help in these challenging times. You may need help in managing your home ownership plans, or in adjusting your financial strategy for a home purchase. Perhaps you are thinking of listing your home for sale and want to understand the market to set your asking price. Let me help. I have a 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.