A boost to the number of new listings with the Fraser Valley Real Estate Board (FVREB) is a “glimmer of hope” that the market may be re-balancing after months of supply shortages, according to their January sales report.
Last year was the busiest for sales the board had ever experienced in their 100-year history, and January sales are maintaining high – though not the record-breaking – numbers.
It was the third highest sales for the month on record, but the sales numbers have cooled while new listings have shot up.
“In January, realtors saw the return of home sellers. Yes, sales in our region remain elevated, but a positive, early trend for 2022 is we experienced a significant increase in requests from sellers to list,” said Larry Anderson, president of the board.
“It’s early days yet, but if this trend continues into spring, we could see an easing of the supply-demand dynamic in our region. We have a long way to go to replenish our housing stock and bring much-needed balance to the market, but this is a step in the right direction.”
FVREB processed 1,310 sales last month, a decrease of 27.5 per cent from December, and 23.7 per cent lower than January, 2021. They received 2,135 new listings, an increase of 67.1 per cent compared to December, but a 23.3 per cent decrease from January, 2021 (supply shortage started around July).
Last year was the “longest, most intense seller’s market,” in FVREB’s history, said Baldev Gill, CEO of the board, adding it was a “protracted pandemic market” that resulted in the considerable upward pressure on home prices.
“We anticipate the seasonal influx of new inventory, such as we’re already seeing, could provide a welcome, albeit far from fully adequate, easing of price growth moving into 2022,” he said.
It took an average of 25 days to sell a single-family detached home in the Fraser Valley last month, 12 days to sell a townhome, 17 days to sell an apartment. FVREB notes these times are nearly 50 per cent significantly shorter than January, 2021.
- Single Family Detached: At $1,569,300, the benchmark price for an FVREB single-family detached home increased 4.6 per cent compared to December, 2021 and increased 41.8 per cent compared to January, 2021.
- Townhomes: At $796,500, the benchmark price for an FVREB townhome increased 4 per cent compared to December, 2021 and increased 37.2 per cent compared to January, 2021.
- Apartments: At $574,300, the benchmark price for an FVREB apartment/condo increased 4.6 per cent compared to December, 2021 and increased 30.6 per cent compared to January, 2021.