November 1, 2019
As we are set to fall back the clocks Sunday and darker days have arrived, there seems to be more brightness in the Cowichan Valley housing market.
Single-family home sales in the Cowichan Valley were up with 66 units changing hands for the month in comparison to 58 in September, and the 62 in October last year. We are still well above the 10-year average of 55 homes sold in October. When looking at the last 12 months, the number of homes sold dipped down 20% with 701 sales compared to 881 in the previous 12 months.
The average sale price for single-family homes in the valley over the last 12 months was $531,486; that’s a 6% year-over-year increase. Another more accurate tool, the benchmark price from the Vancouver Island Real Estate Board’s Home Price Index, shows that from September 2018 to September 2019, sale prices in the Cowichan Valley were up 3% to $482,100.
The inventory of homes in the Cowichan Valley continues to buck the province wide trend and remains very low with 173 active single-family home listings on the market yesterday in comparison to 197 on the same day in 2018. To put it into perspective, our listing inventory was as high as 501 in October of 2012 and the 10-year average runs at 337 homes on the market. Simply put, low supply equals an upward price pressure on the market.
The current inventory represents a 2.62-month supply of homes on the market. Statistically, a 4-5-month supply is considered to be a fairly balanced market. There are substantial variations in the number of listings available for sale and selling by area, property type, and price range. The lower end of the market; condominiums, town houses, duplexes, and ranchers remain at very low inventory levels, while the upper price ranges offers many more homes to choose from.
This month we also saw the time to sell properties decrease. Last year for the month, the average was 45 days to sell a single-family home and this year that number is down to 43. Were still doing very well considering in 2010 it took 78 days to sell.
The percentage of list price sellers that are achieving has been changing and we are not seeing anywhere near the amount of multiple offers we were seeing just a year ago. Last year, a seller for the past 12 months averaged 98% of list price. This past 12 months, sellers achieved 97% of list price and I'm happy to report this year I have averaged 99.9% of list price for my sellers. I love getting every dollar I can for my sellers.
Hope you have a great weekend and enjoy every bit of the sun you can.
Market Momentum Continues into the Fall
Vancouver, BC – October 15, 2019. The British Columbia Real Estate Association (BCREA) reports that a total of 6,938 residential unit sales were recorded by the Multiple Listing Service® (MLS®) in September, an increase of 24 per cent from the same month last year. The average MLS® residential price in the province was $697,943, an increase of 2.1 per cent from September 2018. Total sales dollar volume was $4.84 billion, a 26.5 per cent increase from the same month last year.
“Markets across BC built on momentum from the summer,” said BCREA Chief Economist Brendon Ogmundson. “While the year-over-year increase in provincial sales was quite strong, home sales in most areas are simply returning to historically average levels.”
MLS® residential active listings in the province were up 4 per cent from September 2018 to 39,117 units and were essentially flat compared to August on a seasonally adjusted basis. Overall market conditions remained in a balanced range with a sales-to-active listings ratio of about 18 per cent. Year-to-date, BC residential sales dollar volume was down 12.4 per cent to $39.7 billion, compared with the same period in 2018. Residential unit sales were 8.9 per cent lower at 57,773 units, while the average MLS® residential price was down 3.9 per cent year-to-date at $687,530.
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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