BUSIER JUNE THAN EXPECTED DESPITE RATE HIKE

Last month, there were 424 sales of single-family homes in the Vancouver Island Real Estate Board (VIREB) area, a five percent increase from one year ago (403) and up by 13 percent from May 2023 (488). Sales of condo apartments in June came in at 111, increasing by 39 percent year over year and 29 percent from the previous month. In the row/townhouse category, 101 units changed hands in June, up 49 percent from one year ago and seven percent from May.

Active listings of single-family homes were 1,105 in June, down from 1,204 one year ago. VIREB’s inventory of condo apartments hit 319 last month, up from 295 listings in June 2022. There were 274 row/townhouses for sale last month compared to 222 one year ago.

“After a temporary slowdown likely influenced by the most recent interest-rate hike, June ended up being busier than we expected,” says Kelly O’Dwyer, 2023 Chair. “Buyers and sellers are sort of meeting in the middle, with reasonable expectations at either end. Overall, it’s looking like we’re headed for a pretty normal summer market.”

However, O’Dwyer is quick to note that lack of inventory continues to be a roadblock for potential buyers.

“There is no doubt that sales would be higher if there more listings,” says O’Dwyer. “I know that we sound like a broken record, but the reality is that Vancouver Island has been chronically undersupplied for decades when it comes to housing.”

Regardless of market conditions, connecting with a local REALTOR® can help smooth the way to a successful real estate transaction. They have specialized knowledge of their communities and will help you develop a winning strategy for buying or selling a home.

The board-wide benchmark price (MLS® Home Price Index) of a single-family home was $759,900 in June 2023, down eight percent from one year ago and up by one percent from May. In the apartment category, the benchmark price was $395,000 last month, a six percent decrease from June 2022 and up by one percent from May. The year-over-year benchmark price of a townhouse was $558,600 in June, down five percent from one year ago and a two percent increase from May.

In Campbell River, the benchmark price of a single-family home was $652,500 in June, down nine percent from the previous year. The Comox Valley’s year-over-year benchmark price dropped by nine percent to $805,300. In the Cowichan Valley, the benchmark price was $771,200, a 10 percent decrease from June 2022. Nanaimo’s year-over-year benchmark price dropped by eight percent to $792,200, while the Parksville-Qualicum area saw its benchmark price decrease by six percent to $880,400. The cost of a benchmark single-family home in Port Alberni was $532,600, down nine percent from the previous year. For the North Island, the benchmark price of a single-family home decreased by eight percent to $431,100. (Information courtesy of the Vancouver Island Real Estate Board (VIREB)