As Chilliwack’s real estate market hits new highs month after month, many say a peak or even a drop in prices and sales must be around the corner.
But basic economics – demand and supply – means prices keep rising as just about everything that hits the market is snapped up quickly.
June 2021 saw 406 sales worth $283 million in the Chilliwack and District Real Estate Board (CADREB) area, the third biggest June ever behind only the years of real estate boom in 2016 and 2017.
Home sales were 13.7 per cent above the five-year average and 20 per cent above the 10-year average for the month of June in CADREB, which includes Chilliwack, Cultus Lake, Agassiz, Harrison Hot Springs, Hope, Boston Bar, and the rural areas in between.
The average selling price of all homes last month was $697,250, which compares to an average sale price of $412,598 five years ago in June 2016, the hottest June ever.
The average single family home sold last month for $829,026, townhouse $570,931, and apartment $342,101.
There were 47 sales over the $1 million mark, including five that sold for more than $2 million.
As Chilliwack has faced month after month of high sales, the continue low supply of homes on the market continues to drive prices up.
“As is the case with many other markets in the province we are still facing a supply crunch, with overall inventories trending at record lows,” CADREB president Andrew Verschuur said in a press release. “If demand were to cool off from scorching levels, this might bring some semblance of balance back to the housing market. However, without any accompanying sustainable level of new listings this isn’t likely to happen, and it’s the lack of new supply coming onto the market to keep pace with demand that’s prolonging the supply shortage and fueling strong double-digit price growth.”
Active residential listings numbered 611 units on the market at the end of June, a substantial decline of 40.2 per cent from the end of June 2020. Active listings haven’t been this low in the month of June in more than three decades.
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