It's a perfect storm for potential home buyers in the Fraser Valley as home listings continue to become more abundant and prices are on the decline, especially in Abbotsford.
According to the latest report by the Fraser Valley Real Estate Board (FVREB), April home sales were less than impressive in Abbotsford and the rest of the Fraser Valley, with FVREB CEO Baldev Gill listing the threat of tariffs and the resulting economic uncertainty as contributing factors to this housing market trend.
The number of homes up for sale has increased across the board in Abbotsford, with detached homes, townhouses, and apartments all experiencing rising total active listings in April.
For detached homes, the total number of listings rose to 485, marking a 7.5 per cent increase compared to March and a 21.6 per cent increase from April 2024.
There were 21.6 per cent more townhouse listings from March and 81.5 per cent more year-over-year, while apartment listings had a monthly increase of 12.7 per cent and a 37.3 per cent increase from last year.
As the total listings continue to climb, home sales are experiencing the opposite, with all three property types suffering massive year-over-year drops in April sales.
The biggest change was in townhouses, which dropped from 62 sales in April 2024 to 32 sales last month – a nearly 50 per cent decline. But detached homes and apartments also had significant changes, decreasing by 14.8 per cent and 44.3 per cent, respectively.
Despite this sizable drop in home sales, FVREB chair Tore Jacobsen said that this doesn't mean that potential buyers aren't as interested in buying local properties.
"Buyers are out viewing homes and attending open houses," Jacobsen said.
"What’s noticeable in the current market is the level of choice. A buyer might see a home they like and then have an opportunity to tour five or ten more just like it, without feeling rushed to make an immediate offer."
When homes are selling, they are starting to sell for cheaper as both monthly and year-over-year benchmark prices fell in April across the board.
Detached homes in Abbotsford sold for a benchmark price of $1,211,600 in April, which was a drop of approximately one per cent from last month and a two per cent drop from last year. This change is a much different story from the rest of the Fraser Valley, with the entire region's detached home price actually increasing by 0.1 per cent from March to April.
An ever bigger change was felt by apartment owners, with the month-to-month benchmark price dropping by 1.3 per cent and the year-over-year price declining by nearly three per cent.
Townhouse prices remained fairly stable but still experienced slight declines of 0.1 per cent compared to March and 1.4 per cent from last year.
This simultaneous decline in sales and increase in active listings has put the control in the hands of potential buyers, with the FVREB explaining that the overall sales-to-active listings fell to 10 per cent for the Fraser Valley. A typical balanced market will have a ratio between 12 and 20 per cent.
