February 1, 2019
Once again, we’re the area in the country to be envious of; what incredible weather we had to finish off January. Unlike the warm temperatures, the Cowichan Valley Real Estate market is continuing the trend of cooling sales volume from the previous year, in line with what Victoria and Vancouver are experiencing.
The Cowichan Valley had 35 single-family home sales in the last month, which was 30% lower than the 50 in January of 2018, but up from the 32 in December 2018. The annual rolling sales numbers continue to work their way back to what they were before the market boom of 2015 to 2018. There were 824 sales in our Valley in the past 12 months representing a 15% decrease in comparison to the 973 sales in the 12 months ending in January of last year. For reference, within the 12 months ending in January of 2015 there were 727 single-family home sales and in January of 2015 there were 32 sales.
Single-family home prices in January were up to $534,780; that’s 15% higher than they finished off last January at $465,593. Over the last calendar year, or 12 months the average single-family home in the Cowichan Valley sold for $510,063, up 11% from $457,467 in the previous 12 months. To have a more accurate look, the benchmark sale price for single-family homes in the Cowichan Valley finished the month of December off at $466,600, up 9.8% from $424,800 at the end of December 2018. Prices have now eased off of the peak of the market, which was in October where they hit $475,700 for the benchmark.
On January 31st of last year, there were 108 single-family homes for sale in the Cowichan Valley. Yesterday, that number was still only 120. Nonetheless, we are still a long way away from the 431 homes that were on the market at the end of January 2009, just after the financial crises, or the 305 that were on the market at the end of January 2015. We are definitely moving closer to balanced market conditions with a 3.42 month-supply of homes on the market now. For reference, a balanced market is considered a 5-6 month-supply.
If you’re thinking of selling this year, now is the time; before the market fills up with new spring inventory. People often ask me, “When is the best time of year to sell?” The answer is very simple; it’s when the supply is low and that means NOW.
BC Home Sales Decline 25% in 2018
Vancouver, BC – January 15, 2019. The British Columbia Real Estate Association (BCREA) reports that a total of 78,345 residential unit sales were recorded by the Multiple Listing Service® (MLS®) in 2018, a decline of 24.5 per cent from the 103,758 units sold in 2017. The annual average MLS® residential price in BC was $712,508, an increase of 0.4 per cent from $709,601 recorded the previous year. Total sales dollar volume was $55.8 billion, a 24.2 per cent decline from 2017.
“BC home sales fell below the 10-year average of 84,800 units in 2018,” said Cameron Muir, BCREA Chief Economist. “The sharp decline in affordability caused by the B20 mortgage stress test is largely to blame for decline in consumer demand last year.”
A total of 3,497 MLS® residential unit sales were recorded across the province in December, down 39.1 per cent from December 2017. The average MLS® residential price in BC was $695,647, a decline of 5.2 per cent from December 2017. Total sales dollar volume was $2.4 billion, a 42.3 per cent decline during the same period.
Total active residential listings were up 33.3 per cent to 27,615 units in December, the highest December inventory since 2014 when 33,995 active residential listings were recorded.
Here is a link to this month’s Graph Stats for the Cowichan Valley, courtesy of the Vancouver Island Real Estate Board: Cowichan Valley Graph Stats.
I hope you find this current market information informative. If you have any questions about the market please feel free to contact me anytime.
Thinking of selling? Please feel free to contact me for advice on preparing your home for the market. What money should you spend if any? When is the best time to list? I am happy to consult with you anytime even if you are not planning on selling for some time.
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