January 1, 2020
Happy New Year!
Finishing the year off on a high note, sales volume province wide has shown strong gains over the last couple of months (see below) in comparison to the same months the previous years. Here in the Cowichan Valley, the Real Estate market had cooled off in November but bounced back in December, finishing off the year strong.
The Cowichan Valley had 41 single-family home sales in December, which was 28% higher than the 32 in December of 2018. In 2017, we had a record breaking 61 sales compared to the 10-year average for sales in December which is 36. The annual rolling sales numbers continue to work their way back to what they were before the market boom of 2015-2018. There were 687 sales in the valley over the past year representing an 18% decrease in comparison to the 838 sales in the previous year.
Single-family home prices in December were up to $511,993; that’s 7% higher than they were last December at $477,520. Over the last year the average single-family home in the Cowichan Valley sold for $537,288, up 6% from $505,607 in the previous 12 months. A more accurate look, the benchmark sale price for single-family homes in the Cowichan Valley finished the month of December at $484,700, up 5.5% from $459,300 at the end of December 2018. The lower end market (under $600,000) still seems to be low supplied and increasing in value while the upper end market (over $800,000) has had higher inventory and been fairly flat to decreasing in values in some areas of the market.
On December 31st of last year, there were 125 single-family homes for sale in the Cowichan Valley. Yesterday, that number was still only 129. Nonetheless, we are still a long way away from the 359 homes that were on the market at the end of December in 2011 and the 10-year average for homes on the market at the end of the year, which is 238. Overall, we are slowly moving closer to balanced market conditions with a 3.14 month-supply of homes on the market now. For reference, a balanced market is considered a 4-5 month-supply.
If you’re thinking of selling in 2020, early in the year is a great 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.
It is time to seize the day and make 2020 the best decade ever.
Home sales firming Across the Province.
Vancouver, BC – December 12, 2019. The British Columbia Real Estate Association (BCREA) reports that a total of 6,616 residential unit sales were recorded by the Multiple Listing Service® (MLS®) in November, an increase of 27.5 per cent from the same month last year. The average MLS® residential price in the province was $746,939, an increase of 5.5 per cent from November 2018. Total sales dollar volume was $4.94 billion, a 34.4 per cent increase from the same month last year.
"After several months of strong gains, home sales are now firming around long-run averages," said BCREA Chief Economist Brendon Ogmundson. "We expect 2020 will be a much more typical year for markets compared to the volatility of recent years."
MLS® residential active listings in the province were down 6.6 per cent from November 2018 to 31,310 units, and down for a seventh straight month on a seasonally adjusted basis. Overall market conditions remain balanced with a sales-to-active listings ratio of 21 per cent.
Year-to-date, BC residential sales dollar volume was down 6 per cent to $50.23 billion, compared with the same period in 2018. Residential unit sales were 3.9 per cent lower at 72,106 units, while the average MLS® residential price was down 2.2 per cent year-to date at $696,574.
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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