Dear Clients, Neighbours, Friends and Family …
The August stats are in from the Fraser valley board showing the market declining further with sales dropping to their lowest point this year.
Sales of homes, townhomes and condos in South Surrey have seen a -37% , -31% and -60% respective decline in when compared to last year.
Surrey/Cloverdale has seen the same change with sales diving -30% , -32% and -45% respectively … compared to the same time last year.
Also important to note … since late spring attached homes ie townhomes and condos are still representing over fifty per cent of all sales activity in the Fraser Valley.
Which begs the question … how has this affected pricing? Surprisingly, we have yet to see pricing contract in any significant way.
Compared to this time last year … benchmark pricing (ie: a typical sale) in South Surrey for detached homes, townhomes and condos, looks all over the map … -5.3% , +4.6% and +12.6% respectively.
In Surrey/Cloverdale … more of the same trend …- 0.2% , +8.1% and +25.5% respectively.
The ongoing increase in townhome and condo sale prices – despite the marked correction in sales volume – points to affordability being the primary driver of market activity right now.
On the ground (as they say) our clients are busy bees. We have active buyers across property types and our listings are seeing frequent showing activity and logging sales within a relatively short period of time.
That being said, this last month of sales has been highly price sensitive in both negotiation and the buyers financing approval. So right now, effective pricing is key and will be the determining factor for a successful transaction.
In summary, sales continue to decline while pricing remains highly nuanced, area and property specific.
If buyers begin to recover from the lending restrictions made earlier this year and sellers begin to price their homes at or below the most recent comparable sales we should see an uptick in sales activity as we move into the final quarter of the year. If not, this adjustment may be pushed to spring 2019.
If you want to chat about a game plan best for your family …… give us a call! 604-583-2000
Thanks for tuning in!