Monday, 19 January 2015

The Consumer Demand in 2014 was the Strongest in Five Years



The British Columbia Real Estate Association (BCREA) is reporting that a total of 84,049 residential unit sales were recorded by the MLS in 2014, up 15.2 per cent from 2013. After lagging for several years, BC home sales have eclipsed the ten-year average of 82,000 units and the 15-year average of 83,600 units. 

Total sales dollar volume was $47.8 billion, an increase of 21.9 per cent from 2013. With the average MLS residential price in the province of BC rising to $568,405, up 5.8 per cent from the previous year.
BC has experienced a significant increase in housing demand last year. Not since the post-recession rebound of 2009 has the market posted such a turn around. Home buyers were out in full force in nearly every region of the province, with unit sales climbing 8 to 25 per cent in all BC real estate boards, except in Kamloops where the number of transactions dropped nearly 5 per cent. Stronger consumer demand not only pushed down the inventory of homes for sale, but also firmed market conditions throughout the province.

In December, BC residential sales dollar volume was up 18.2 per cent to $2.97 billion, compared to the same month last year. Residential unit sales were up 14.7 per cent to 4,426 units, with the average MLS residential price was up 3 per cent to $585,718.

Monday, 12 January 2015

What does 2015 indicate with lower oil prices?



There is no doubt in my mind that the price of oil will come into play and it will affect our buyers from Alberta, who make up close to 20% of our transactions. Realistically, if we maintain the same activity as 2014, then we are in for a strong year. Prior to the drop in oil prices, 2015 looked like it was just going to continue to move right on as it did in 2014. But even with a significantly lower oil price, December was one of our strongest months for increased activity and January has started off strong too.

Should the oil prices remain low for a relatively short time, which we all think they will, then we may not see much affect at all. If 2015 sees a full year of low oil prices, it may start eroding consumer confidence which has been the main driving force for a strong 2014. The next few months will be interesting.

2014 FINISHES STRONG!



12.8%
The month of December showed a strong finish to the year with sales up almost 24% over the same time last year with 312 properties changing hands. With only 346 new listings that were added to the inventory, pretty much the same as last December, resulting in 2,657 listings to start the new year off with, down considerably from 3,210 at the end of 2013.

Overall, 2014 saw an increase of 21.31% of units sold, volume was up a staggering 31.59% yet listing inventory is down over 17%. What that translates to is an increased price for residential properties on average of 7%, and the median increase of 6%; both pretty similar.
The average sales price of a single family home for 2014 is $498,563, a townhouse is $361,453 and condos $243,443.

Wednesday, 7 January 2015

FOR SALE $1,060,000 INCREDIBLE LAKE & CITY VIEWS!


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Call or Text Steve Higgins at RE/MAX Kelowna for personal viewing. 250.864.7893

Friday, 19 December 2014

BC Housing Market to End Year with Balanced Conditions

 The British Columbia Real Estate Association reports that there were a total of 5,972 residential unit sales were recorded by the Multiple Listing Service in November, up 8.8 per cent from November 2013. Total sales dollar volume was $3.4 million, an increase of 12.1 per cent compared to a year ago. The average MLS residential price in the province rose to $574,694, up 3.1 per cent from the same month last year.

BC home sales were strong again in November.With improving economic conditions, strong consumer confidence and low mortgage interest rates which are providing a solid foundation for elevated consumer demand. The market conditions have improved province wide, with most regional markets now in the mid to high range of a balanced market. Year-to-date, BC residential sales dollar volume was up 22.1 per cent to $44.8 billion, compared to the same period last year. Residential unit sales were up 15.3 per cent to 78,973 units, while the average MLS residential price was up 6.0 per cent at $567,292.

Some Decorating Idea's

A Wintery Walkway - We all know what they say about first impressions. Why not light up your stairs or path to your house with candles placed in old wine bottles or in glass hurricane lanterns. Rocks, red berries, or pruned evergreens branches will add a festive touch and make an excellent first impression.


Light Up a Tree - Rather than copying everyone else in your neighbourhood and just throwing a string of lights over your tree, try decorating a few balls. 
 
Windowscapes - Try decorating your windows is a great idea and something that is often overlooked. Use cut-out reindeer, stars or snowflakes and attach them to the inside of your window to protect them from the elements. Make sure to choose neutral shapes or silhouettes that look well from both inside and outside.

Eye-catching Wreaths - This is an easy way to make the outdoors of your home merry and bright. There are so many options when it comes to these festive decorations. If you are crafty you could make your own wreath. Or you can always purchase a ready-made evergreen wreath and add some small embellishments.

Monday, 8 December 2014

Home Prices on the Rise!

November continued to follow the lead from previous months showing a more active period than last year with unit sales up by 3.1% and volume ahead by almost 12%. Listings are up slightly over November of 2013 by 2.6%, but year to date continues to be down quite significantly by 16%, resulting in higher prices and a seller’s market below the $500,000 price range producing quick sales and multi-offer situations.                                                                                                 

The average sales price of a single family home in November was up a startling 17.5% over November last
year at $540,000 compared to $459,000. Even the median price was up over 12% at $459,500. Year to date, the single family home category is now up by 8% at $500,000, while the median price is $452,500. Condos and townhouse also showed an increase in the median price but more modest at 5.25% and 4.75% respectively. Year to date, the average price of a condo is $243,000 while a townhouse is $362,000.

The next few months may prove very interesting as the price of oil continues to decline. The resource rich sector from Alberta and Saskatchewan has had a positive impact on the activity we have experienced in the valley and should the price of oil stay lower than was expected, it may impact sales in our market.

Thursday, 20 November 2014

Year-to-Date Home Sales for October 2014 compared to 2013



The British Columbia Real Estate Association reports that a total of 7,648 residential unit sales were recorded by the MLS in October, up 14.6 per cent from October 2013. Total sales dollar volume was $4.4 billion, an increase of 22 per cent compared to a year ago. The average MLS residential price in the province rose to $575,504, up 7.1 per cent from the same month last year. Great news for all those that are selling!

Consumer demand for housing continues at an elevated level. There were more homes purchased during the first ten months of the year than during all of 2013. To the end of October 73,001 homes have traded hands in the province compared to 72,936 for all of last year.

Strong year-over-year increases in housing demand were experienced in Chilliwack is up 31 per cent, Victoria is up 21.9 per cent and in the Kootenay they up 19.4 per cent in these market areas. Vancouver, Vancouver Island, the Fraser Valley and here in the Okanagan  also posted a marked increase in sales activity last month.

Year-to-date, BC residential sales dollar volume was up 23 per cent to $41.4 billion, compared to the same period last year. Residential unit sales were up 15.8 per cent to 73,001 units, while the average MLS residential price was up 6.2 per cent at $566,687.

2014 Fourth Quarter Housing Forecast for BC



Consumer demand has really gone up this year and is expected to remain at a more elevated level through 2015. With historically low mortgage rates to support the demand, the housing market is also being underpinned by a more robust economy and associated job growth, strong migration and consumer confidence.

The BC MLS residential sales are forecast to increase 15.1 per cent to 83,900 units this year. Stronger economic conditions are expected to be somewhat offset by higher interest rates later next year, and keep home sales from advancing much further. As a result, MLS residential sales are forecast to edge up a further 1.2 per cent to 84,900 units in 2015. The 15-year average is 80,400 unit sales and a record 106,300 MLS residential sales were recorded in 2005.  

The average MLS residential price for the province is forecast to increase 6 per cent to a record $569,800 this year and a further 1.2 per cent to $574,300 in 2015. The new construction activity is generally keeping pace with population and household growth, keeping supply in line with consumer demand. BC housing starts are forecast to increase 4.6 per cent to 28,300 units this year and a further 1.4 per cent to 28,700 units in 2015.

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