BC Commercial Leading Indicator Edges Lower in Fourth Quarter

BC Commercial Leading Indicator Edges Lower in Fourth Quarter

Vancouver, BC – February 28, 2013. The British Columbia Real Estate Association (BCREA) Commercial Leading Indicator (CLI) edged lower by 1.3 points in the fourth quarter of 2012, to an index level of 111.3. On a year-over-year basis, the CLI was up 0.8 per cent during the fourth quarter of 2012.

The decline in the CLI translates to a slight rolling over in the underlying index trend, signaling a potential slowing of activity for the first half of 2013.

"A modest slowing of commercial real estate activity is in general accord with 2013 being somewhat of a transition year for the economy," said Brendon Ogmundson, BCREA Economist. "We anticipate that slower growth through the first half of 2013 will give way to a more robust economy in 2014 and therefore an increase in commercial market activity."

To view the full BCREA Commercial Leading Indicator index, click here.

For more information, please contact: 

Brendon Ogmundson Economist Direct: 604.742.2796 Mobile: 604.505.6793 bogmundson@bcrea.bc.ca

Damian Stathonikos Director of Communications and Public Affairs Direct: 604.742.2793 Mobile: 778.990.1320 dstathonikos@bcrea.bc.ca

- See more at: http://www.bcrea.bc.ca/news-and-publications/news-room/news-releases/commercial-leading-indicator-news-release#sthash.AnvLkeLZ.dpuf

BC Home Sales Decline in 2012

The British Columbia Real Estate Association (BCREA) reports that a total of 67,637 residential sales were recorded by the Multiple Listing Service in BC during 2012, a decline of 11.8 per cent compared to 2011. Total sales dollar volume also declined 19.1 per cent to $34.8 billion over the same period. The annual average MLS residential price in the province was $514,836 in 2012, down 8.3 per cent from 2011.

A noticeable drop in consumer demand in Vancouver and Fraser Valley during 2012 was more than enough to offset the increases in home sales in the Okanagan, Kootenays and BC Northern regions.

At least half of the 8 per cent decline in the BC average home price was the result of fewer luxury homes selling in Vancouver and fewer overall Vancouver home sales relative to the rest of the province in 2012. However, there were more luxury homes sold in Kelowna this year.

In December, BC residential sales dollar volume was down 28.6 per cent to $1.5 billion, compared to December 2011. Residential unit sales declined 26.4 per cent to 3,011 units, while the average MLS

residential price was down 3 per cent to $498,205 over the same period.