B.C. Real Estate Statistics Hit The News!
Hello again! I've been on holiday and also just been a bit lazy with the blog lately. I am trying to get back on the ball, as it were. Today the British Columbia Real Estate Association released their Spring 2008 Housing Forecast. I also heard BCREA economsit Cameron Muir on CBC radio this morning discussing the BC real estate market.
The story is no suprise to anyone who has been following the real estate news lately. Supply is up, sales are down, yet prices mysteriously still up. If the other two factors remain the same prices are bound to swing down as well. Cameron has this to say:
“Most housing markets in the province are exhibiting balance between demand and supply,” added Muir. Home sales were down 14 per cent in the first quarter of 2008, while active listings were up 24 per cent. “More balance between demand and supply means less upward pressure on home prices. It also reduces the chance of multiple bids on the same home, giving homebuyers more time to investigate properties thoroughly before purchasing.”
Mr. Muir does believe that economic factors are playing a part in this change:
“Some weakness on the export side of the economy and eroding affordability will have an impact on housing demand over the next two years,”
and
“While a weak US economy is negatively impacting the forest industry and tourism, the BC economy is forecast to grow 2.5 per cent this year and 2.7 per cent in 2009, a higher rate of growth than most other provinces. Consumer spending, employment growth and net migration in the province are expected to remain robust and will continue to underpin housing demand through 2009,”
Generally it looks like they are predicting a 5-10% price increases this year, depending on the area of course, with 4-5 next year and maybe even less the next year.
Matthew Collinge: Vancouver REALTOR®
