After five years of blockbuster activity and double-digit price growth here in BC, real estate market conditions have slowed, and now favour buyers in many areas of the province.
Across the province, residential sales have declined 22 per cent in the first six months of this year, while available resale inventory has grown by 54 per cent to 57,000 active listings in June. In the Greater Vancouver area, inventory is at the highest level since 1998.
The price gains observed from 2004 to 2007 are less attainable in today’s market, and sellers should temper their expectations for such gains. Over-optimistic pricing by sellers will only inhibit the timely sale of properties, adding to inventory levels.
Buyers have more homes to choose from now than in previous years, resulting in greater freedom to compare similar properties before making purchase decisions.
Despite current buyers' market conditions, the economic and demographic backdrop in support of housing demand remains strong in BC -- the unemployment rate remains near record lows, while the labour force participation rate hovers near historical highs. Meanwhile, the province remains a favoured destination for new migrants, reflected in the third-highest population growth among provinces during the first quarter of 2008.
If you have been considering buying a home or investing in property in BC, now is the time to take advantage of the buyer's climate -- it won't last forever...
Check out all of my BC Listings. I have a network of realtor colleagues ready to work for you!