A CALM START TO THE YEAR HERALDS A GREAT TIME TO BUY

Cowichan Valley January Sales Stats

(if you would like more sales details please email me)

Last month, 165 single-family homes sold in the Vancouver Island Real Estate Board (VIREB) area, a 24 percent decrease from one year ago and a drop of 18 percent from December. Sales of condo apartments in January 2023 came in at 42, declining by 52 percent year over year and
increasing by 20 percent from December. In the row/townhouse category, 36 units changed hands in January, down 41 percent from one year ago and up 33 percent from December.

Inventory continues to post gains, but active listings in some categories did drop from December 2022. Year-over-year listings of single-family homes rose to 861 from 257 one year ago but dipped by four percent from the previous month. VIREB’s inventory of condo apartments was 239 in January, up from 108 listings one year ago and down by four percent from December. There were 239 row/townhouses for sale last month compared to 66 one year ago and 229 in December.

“Our statistics indicate that we’re off to a somewhat slow start, but our January sales numbers don’t reflect the activity REALTORS® are seeing on the street,” says Kelly O’Dywer, 2023 Chair. “Overall, it’s actually a great time to buy a home.”

If potential buyers are worried about more interest-rate hikes or that rates will drop after they’ve locked in, O’Dwyer reminds purchasers that they can renegotiate their rate later.

One notable policy change affecting the real estate industry is the Home Buyer Rescission Period (HBRP), which took effect on January 3, 2023. The HBRP gives home buyers up to three business days to rescind an offer on a home after the seller has accepted it.

“While the HBRP provides for a period of three business days, we’re seeing longer subject-removal periods in some cases,” says O’Dwyer. “Depending on acceptance day, and because weekends and holidays are excluded from the rescission period, our sales dates appear to be slowing, to ensure there is enough time to satisfy buyer subjects as well.”

Regarding prices, the board-wide benchmark price (MLS® Home Price Index) of a single-family home was $735,800 in January 2023, down five percent from one year ago and a drop of two percent from December. (Benchmark pricing tracks the value of a typical home in the reported area.) In the apartment category, the benchmark price was $398,300 last month, a two percent increase from January 2022 and down two percent from December. The year-over-year benchmark price of a townhouse dropped slightly from one year ago and two percent from December to $558,600.

In Campbell River, the benchmark price of a single-family home was $647,600 in January, down five percent from the previous year. The Comox Valley’s year-over-year benchmark price dropped by four percent to $784,700. In the Cowichan Valley, the benchmark price was $745,700, a four percent drop from January 2022. Nanaimo’s year-over-year benchmark dropped by seven percent to $755,300, while the Parksville Qualicum area saw its benchmark price drop by six percent to $856,100. The cost of a benchmark single-family home in Port Alberni was $518,300, down eight percent from the previous year. For the North Island, the benchmark price of a single-family home rose by two percent to $428,500.

Article Information & Stats courtesy of the Vancouver Island Real Estate Board (VIREB).