Housing Market Statistical Update - May, 2008(please note stats are released from our real estate board 10 -14 days after the end of each month)May 2008 Statistics Market Update: The trend is continuing down. We are still experiencing price reductions yet less sales. Houses aren't selling as quickly or for as much as they were, and more and more listings are popping up all over town.
Reviewing May stats from the Okanagan Mainline Real Estate Board, which were just released, the trend from the first four months of this year continues downward. Residential inventory for May is up 27.54% year over year – up again from last month. If we look at total inventory year to date we are up a huge 53.49%. There are now 1386 residential listings on the market verus 903 this time last year.
Further to that, total residential sales are down 49.26% versus May of 2007. If you recall, in April we were down 24.32%, in March we were down 38.94%, February was down just over 6% and January reported an 18.8% decrease in sales. The market continues to cool down. More supply, less demand equals pressure on prices, as we continue to see with the many price reductions. The average total residential house price is $353,059, up just over 7.87% from last year, but down from $397,229 last month. The while the median is at $337,500 (April was 378,000). This reflects the current trend in less sales and more supply.Right now with 2286 listings of all types on the market, and with 155 total sales (versus 320 last year!), we are now up over 14 months of inventory on the market versus 10.24 months of inventory in March (i.e. if would take over 14 months to sell all the homes that are currently for sale, not including any new listings that come along!). My advice right now for Sellers – keep your price of your home sharp and make sure you are the very best buy in your price range. Otherwise you risk following the prices down. Basic economics tells us - less demand and more supply means reduced prices. If there are no showings, or many showings and no second showing or no offers – ask your Realtor to do a revised market evaluation for you and ensure that the price is correct. Sellers need to be more aggressive with their positioning in the marketplace to even get showings. My advice right now for Buyers - with low rates, tons of selection and lower prices, it's a great time to buy. Do your homework with your Realtor and you should be able to buy right. Real estate is always an excellent investment in the long term. Summer is here, and more tourists are coming this way. The Alberta market is starting to see the light at the end of the tunnel, which is great news for us here in the Okanagan. But right now, price is the determining factor as to whether your home sells or not. That's all for now! Please call us or email us if you have any questions.
Cheers, Lisa Salt Housing Market Statistical Update - April, 2008 (please note stats are released from our real estate board 10 -14 days after the end of each month) April 2008 Statistics Market Update: The trend is continuing downward. We are currently experiencing many price reductions (just check out the real estate paper!) accompanied by less sales. Houses aren't selling like they were, and the "for sale" signs in most every neighborhood reflect that.
Reviewing April stats from the Okanagan Mainline Real Estate Board, which were just released, I am noticing the trend from the first three months of this year continuing – the numbers are down. Residential inventory for April is up 18.47% year over year – creeping up substantially from where we were even last month. If we look at inventory in April versus March, we are up 28.84%. Wow!
Further to that, total residential sales are down 24.32% versus April of 2007. If you recall, in March we were down 38.94%, February was down just over 6% and January reported an 18.8% decrease in sales. The market continues to cool down significantly. More supply, less demand equals pressure on prices, as we are seeing in the many reductions out there. The average total residential house price is $397,229, up just over 6% from last year, while the median is at $378,000 up again just over 6%. This reflects a few more higher sales in this past month versus last year. Right now with 1854 listings of all types on the market, and with 181 total sales (versus 252 last year), we are now up to 10.24 months of inventory on the market versus 8.9 months of inventory in March (i.e. if would take 10.24 months to sell all the homes that are currently for sale, not including any new listings that come along!). My advice right now for Sellers – if your house has not sold, reduce your price. Otherwise you risk following the prices down, because that is clearly where they are going. Basic economics tells us - less demand and more supply means reduced prices. Most homes on the market today are overpriced (which is obvious, as they are not selling). If the property hasn’t sold in the first 14 days, adjust the price to a new category. If there are no showings, or many showings and no second showing or no offers – ask your Realtor to do a market positioning evaluation for you and ensure that the price is correct. Sellers need to be more aggressive with their positioning in the marketplace to even get showings. Also, homes are taking longer to sell. My advice right now for Buyers - with low rates, lots of selection and lower prices, it's an excellent time to jump into the market for the first time, or to rebuy. Again, we still have strong fundamentals in many sectors of our local economy (if you don't include forestry). But don't expect any big gains, or expect to get the same price you could have possibly sold your home for 6 months ago. The demand just isn't there right now. That's all for now! Please call us or email us if you have any questions.
Cheers, Lisa Salt
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