A housing supply shortage continues to challenge the Fraser Valley Real Estate Board (FVREB), as they report another good month for sales alongside another bad month for new listings.
Sales were the third highest on record for October, yet their housing inventory is half of what was during the same month last year.
It’s driving prices up, according to Larry Anderson, president of the board.
“What we’re seeing is a combination of above-average sales with below-average new listings which is placing strong upward pressure on home prices, for all residential categories, month-over-month,” he said.
“It is a very challenging time, particularly for buyers. I empathize with clients who have been trying to buy a home for more than a year without success after multiple attempts.
The board processed a total of 1,938 sales in October, an increase of 3.9 per cent compared to September, but a decrease of 18.2 per cent compared to last year.
It’s been a year of record-breaking sales, but new listings have decreased steadily since July, and are well below the 2020 numbers. The FVREB called it the “worst supply shortage in 40 years” in September.
New listings rebounded slightly in September, but fell once again in October. The board received 2,188 new listings for the month, a decrease of 6.6 per cent from September, and a decrease of 29 per cent from October last year.
The active inventory at the end of the month was 3,447, a decrease of 9.6 per cent from September, and a decrease of 49.8 per cent from October last year.
It took an average of 28 days to sell a single-family detached home, 18 days for a townhome and 27 days for an apartment.
Single Family Detached:
At $1,396,700, the Benchmark price for an FVREB single-family detached home increased 2.5 per cent compared to September 2021 and increased 33.4 per cent compared to October 2020.
Townhomes:
At $720,500 the Benchmark price for an FVREB townhome increased 1.9 per cent compared to September 2021 and increased 26.6 per cent compared to October 2020.
Apartments:
At $514,200 the Benchmark price for an FVREB apartment/condo increased 1.9 per cent compared to September 2021 and increased 18.3 per cent compared to October 2020.