Number of homes on the market drops to a 20-year low in B.C.!
Real estate demand in British Columbia is seeing a rise, but the same cannot be said of the supply. British Columbia that includes several important areas like Vancouver, Whistler, Victoria and others has attracted investors from all over the world as well as other parts of the country. Though the main demand is for commercial real estate, the residential market isn’t quite far behind as more people are considering the safety and security of the region to be paramount in their home making decisions.
However, according to the reports released by BCREA, the supply of homes in B.C. is going down by the year and has struck the 20-year low in 2017. According to the reports published in www.bcrea.bc.ca/docs/news-2017/2017-04.pdf, the organization reports that the availability of homes in British Columbia in the first quarter of 2017 is a concerning 50% lower than that was available in 2012 and 17% from the first quarterly of 2016.
This report published by BCREA indicates that B.C.’s real estate market has turned into a seller’s market. For those unaware of the term, a seller’s market is one that favors the sellers in terms of deciding sell prices and is usually determined by the ratio of the sales being made to the total number of listings available. The more the sale, the higher is the ratio. According to Cameron Muir, chief economist at BCREA, a ratio of 20% can usually be considered as a seller’s market and British Columbia is presently seeing a percentage much higher than 20 in most of its provinces.
The data from BCREA’s report reveal that the ratio is as high as 42.9% in Greater Vancouver and 57.6% in the Fraser Valley region. That’s not all; Victoria registered a shocking ratio of 70.9% and was thus, the most seller-friendly area according to BCREA reports. However, there is no cut on the demand of residential properties in these areas.
With the supply at its lowest and the demand still going strong, the prices are rising high in various areas of B.C. including the suburbs. Provincial migration and job growth seem to fuel the prices further higher up as a lesser number of homes are being put up for sale every year. The demand for housing has escalated to never before levels with prices following the lead, thus eroding the affordability of housing for the common man.
For realtors in the region, it is a tough time too. Since listings aren’t as high as they previously were, there is a cut-throat competition amongst the real estate agents to get a bite on whatever is available. To make the most out of the present situation, realtors can opt to resort to RealtyFocuz, a service that is ready to give realtors an edge over their competitors. By creating realtor-friendly MLS websites and automating the listing update procedure, RealtyFocuz ensures that realtors who subscribe to their service can always stay a step ahead of the others in the market and list any property that is available for sale without delay.