 News
NEWS ENTRY JANUARY 2012
What’s in store for real estate in 2012? Overall we
have seen real estate recover slowly over the last
couple years. Many predictions are claiming more of the
same. Here is a recent article that ran in the Vancouver
Sun:
http://www.vancouversun.com/... . The article
suggests there will be slight increases in property
values; possible just 2% compared to the 3% increase in
2011. This means it is still a great time to buy.
Especially with the newly reported all time low interest
rates:
http://www.montrealgazette.com/... . The bank of
Montreal just reported they have lowered their 5 year
fixed rate to 2.99%. I suppose many of the other major
banks will soon follow suit. If you are looking to get
into the market I would highly suggest taking advantage
of these rates and locking in at these low rates before
they go up. It could mean qualifying for a higher priced
property or even lowering your interest rate to a more
affordable level. Ask the bank how long they will hold
the rate for you. Even if you are looking to purchase in
two or three months from now they may honour the rate
you locked into today. Maybe you already own your home
but you are looking to purchase an investment property.
Although they are predicting only a 2% increase in
property values in the Greater Vancouver, this is not
the same for every community in BC. A recent report by
the Real Estate Investment Network listed their top
picks for BC Communities to invest in. Their #1 choice
was Surrey and it was no surprise to me as it has been
one of the fastest growing communities for several years
now. Investment property purchases don’t have to be made
in the community you live in. You may chose a community
a bit further away as there is a higher potential for
your investment to increase in value. Your local real
estate agent may be able to help you with the deal and
protect your interests even if your purchase is in a
community they don’t typically work in. All agents in BC
are legally allowed to sell property anywhere in the
province. Or they can refer you to an agent in that
community they feel is knowledgeable enough to help you
in your purchase. Whether you are looking for your first
home or your first investment property don’t be afraid
to contact me. I am always willing to sit down with you
and answer any questions you may have.
Fraser Valley Real Estate Board News Release
News Release: January 4, 2012
2011 REAL ESTATE MARKET SHOWCASES REGIONAL
VARIATION
(Surrey, BC) – Overall, Fraser Valley’s real estate
market in 2011 was below the 10-year average in property
sales and above average in the number of new listings
received, however, according to the president of the
Fraser Valley Real Estate Board, results varied widely
depending on the community and property type.
Sukh Sidhu observes, “I can’t remember a year that
illustrates better how local real estate is and the
importance of talking to your REALTOR® before making a
decision to buy or sell. For example, in my community of
Abbotsford, sales of single family homes dropped by
almost 7 per cent compared to 2010, pushing prices down
slightly, while in South Surrey/White Rock sales
increased year over year by 45 per cent resulting in
double-digit price increases.”
The Board’s Multiple Listing Service® processed
15,529 sales in 2011 compared to 14,891 the previous
year, an increase of 4 per cent, while the number of new
listings remained about the same – 31,592 in 2011
compared to 31,437 in 2010. Over the year, the number of
active listings for buyers to choose from dropped by 9
per cent going from 8,139 properties in December 2010 to
7,399 in December 2011.
Although 2011 ranks the third slowest year for sales
in Fraser Valley since 2002, it was only 10 per cent
less than the 10-year average of 17,210 sales. The
volume of new listings received in 2011 was 6 per cent
more than the 10-year average of 29,867 new listings,
placing last year third in ranking since 2002.
Sidhu adds, “One trend from 2011 that is clear was
the preference for single family homes. For the most
part in our region, both sales and prices of townhomes
and condos either stayed on par with 2010 or decreased.”
In December, the benchmark price of a detached home
in the Fraser Valley was $522,998, an increase of 3.3
per cent compared to $506,145 in December 2010 and a
decrease of 1.7 per cent compared to November.
For townhouses, the benchmark price in December was
$315,330, a decrease of 2.1 per cent compared to the
same month last year when it was $322,054 and down 3.8
per cent compared to November. The benchmark price of
apartments in December was $237,285, a decrease of 1.2
per cent compared to December 2010 and a decrease of 0.5
per cent compared to November.
Average prices year over year show detached homes up
9.1 per cent – $610,269 in 2011 compared to $559,456 in
2010. The average price of townhomes increased by 2.6
per cent, going from $336,484 in 2010 to $345,138 in
2011 and the average price of apartments increased by
0.9 per cent going from $223,910 in 2010 to $225,976 in
2011.
The Fraser Valley Real Estate Board is an association
of 2,893 real estate professionals who live and work in
the BC communities of North Delta, Surrey, White Rock,
Langley, Abbotsford, and Mission. The FVREB marked its
90-year anniversary in 2011.
Full package:
http://www.fvreb.bc.ca/statistics/Package 201112.pdf
Fraser Valley Real Estate Board News Release
News Release: December 2, 2011
STEADY DEMAND FOR HOMES HEADING INTO THE HOLIDAYS
(Surrey, BC) – The November property sales in the
Fraser Valley are up slightly compared to last year and
didn’t experience the usual month-over-month seasonal
decline.
The Fraser Valley Real Estate Board processed 1,120
sales in November on its Multiple Listing Service®
(MLS®), an increase of 3 per cent compared to the 1,084
sales during the same month last year and a decrease of
2 per cent compared to 1,139 sales in October. In the
last decade, sales decreased on average 9 per cent from
October to November.
Board president, Sukh Sidhu says, “Given the time of
year, Fraser Valley is experiencing steady buying
activity with notable month-over-month increases in the
sale of homes with an attractive price point.
“For example, townhome sales in central Surrey
increased by 20 per cent in one month and in Langley by
43 per cent.” Sidhu adds, “Fraser Valley offers buyers
the key value of affordability. Currently, over half of
our townhomes and condos are listed for $289,000 or
less.”
While sales remained stable, MLS® inventory decreased
from October to November, typical for the time of year.
The board posted 1,926 new properties in November, an
increase of 9 per cent compared to November of last year
and a decrease of 23 per cent compared to October.
November finished with 9,471 active listings in the
Fraser Valley, 5 per cent more than the same month last
year and 5 per cent less than October’s 10,005 listings.
Sidhu says, “Even with fewer listings coming on
stream, buyers can still take advantage of almost nine
months of inventory, which is putting downward pressure
on prices in certain areas and property types.” Prices
for a typical Fraser Valley apartment are down
year-over-year and month-over-month, while both single
family detached and townhomes are still showing positive
price gains compared to November last year and remain
stable compared to October.
In November, the benchmark price of a detached home
in the Fraser Valley was $532,086, an increase of 5.4
per cent compared to $504,848 in November 2010 and an
increase of 0.3 per cent compared to October.
For townhouses, the benchmark price in November was
$327,764, an increase of 2.5 per cent compared to the
same month last year when it was $319,623 and up 0.7 per
cent compared to October. The benchmark price of
apartments in November was $238,461, a decrease of 1.6
per cent compared to November 2010 and a decrease of 2.2
per cent compared to October.
The Fraser Valley Real Estate Board is an association
of 2,897 real estate professionals who live and work in
the BC communities of North Delta, Surrey, White Rock,
Langley, Abbotsford, and Mission. The FVREB marks its
90-year anniversary this year.
Full package:
http://fvreb.bc.ca/statistics/Package 201111.pdf
NEWS ENTRY NOVEMBER 2011
With the recent snowfalls this past week it feels
more like December rather than November. Reminds me that
Christmas is just around the corner. In this industry
most all the people I meet I consider to be quite
fortunate. My clients own their own homes or are
purchasing their first home. As Christmas approaches we
need to remember that there are many less fortunate
people out there. People that not only do not own their
own home but also may not be able to afford the basic
necessities of life including food and clothing. These
people who are struggling are not only downtown on East
Hastings; more than you can image are living right in
our own communities. I have noticed more and more
struggling families over the last couple years. Our help
is needed this year more than ever. Many of us do what
we can to help those in need...especially during the
holiday season. We donate to the food bank, make a
Christmas hamper for local family or donate toys to the
Christmas Toy Drive. Since 1995 Realtors in the Fraser
Valley have helped 165,000 people by providing them with
clothing & blankets to get them through the cold season.
We have not done it alone. Most of these donations were
made by people in the community that have gone out of
their way to drop off unused clothing & blankets at
local real estate offices. This year we are collecting
these “gently used” items from November 28th – December
5th. If there is anything you can donate I urge you to
do so. Drop your unused items off at any one of our
three Langley Prudential offices or call me & I will
pick them up from you. Learn more about the Realtor’s
Care Blanket Drive by clicking this link:
http://www.fvreb.bc.ca/blog/index.php/2011/11/16/realtorsr-care-blanket-drive-indispensable-to-those-in-need
Fraser Valley Real Estate Board News Release
News Release:
November 2, 2011
ADVANTAGE
BUYERS... IN FRASER VALLEY’S HOUSING MARKET
(Surrey,
BC) – Below average home sales combined with a regular
influx of new listings continue to give buyers the upper
hand in communities south of the Fraser River, including
Mission. However, according to the president of the
Fraser Valley Real Estate Board, Sukh Sidhu, “There is
action when the property is competitively priced.
“It is not
a quiet market. Priced-right properties are selling
thanks to the continuation of low interest rates.” Sidhu
adds, “What’s happening is that there is a large amount
of inventory available in the Fraser Valley, in
particular with condos and townhomes, and that’s what’s
holding prices in check.”
The Fraser
Valley Real Estate Board processed 1,139 sales in
October on its Multiple Listing Service® (MLS®), an
increase of 12 per cent compared to the 1,014 sales
during the same month last year and a decrease of 2 per
cent compared to 1,165 sales in September.
In terms
of listings, the board posted 2,511 new properties in
October, an increase of 18 per cent compared to October
of last year and a decrease of 5 per cent compared to
September. The number of active listings in the Fraser
Valley dipped in October, going from 10,096 in September
to 10,005.
Sidhu
says, “The good news for sellers is that although
inventory is high, it’s not near record highs and sales
remain steady. This is why the overall benchmark price
for residential properties has remained unchanged for
six months.”
The benchmark price (the price of homes with
characteristics typical to that area) of a single family
detached home in the Fraser Valley in October was
$530,335, an increase of 4.9 per cent compared to
$505,759 in October 2010 and on par with the price in
September.
For
townhouses, the benchmark price in October was $325,482,
an increase of 2 per cent compared to the same month
last year when it was $319,058 and down 0.6 per cent
compared to September. The benchmark price of apartments
in October was $243,725, an increase of 1.3 per cent
compared to October 2010 and on par with the price in
September.
The
average number of days to sell a Fraser Valley home
varies depending on the property type. Sidhu says the
average of 45 days to sell a single family detached home
has been constant for three months. In October,
townhomes took on average 55 days to sell and apartments
75 days.
The Fraser
Valley Real Estate Board is an association of 2,903 real
estate professionals who live and work in the BC
communities of North Delta, Surrey, White Rock, Langley,
Abbotsford, and Mission. The FVREB marks its 90-year
anniversary this year.
Full
package:
http://www.fvreb.bc.ca/statistics/Package 201110.pdf
NEWS ENTRY OCTOBER 2011
The fall market has started....and we are no doubt in a
buyer’s market in the Fraser Valley. The Real Estate
Board reported that while sales were down in September
new listings were up significantly. What does this mean
to you? Obviously if you are a buyer this gives a lot
more to choose from. You are also less likely to get
into a multiple offer situation. Maybe there is
potential for you to negotiate the price down more as
seller’s are aware that only a small potential of
listings will sell in this type of market. As a seller
you need to be careful not to overprice your property in
this market. Buyer’s Realtors are sending them loads of
listings to look through. They may actually only view a
few of the properties that meet their search criteria.
If your property is way overpriced they will most likely
pass on even viewing it. We all know the price is
negotiable...and so do the buyers..but if you are way
overpriced they may feel they won’t be able to negotiate
you down far enough to make purchasing your property
worthwhile. It is a tough market to sell in already; you
don’t want to make it harder on yourselves. It is much
better to price your property lower with very little
negotiating room rather than pricing it high and be
willing to entertain low-ball offers. It is all about
getting as many potential buyers through your home as
possible. If you are priced too high you may be missing
out on a large percentage of buyers that pass up on
viewing your home. Once the buyer views your home &
falls in love with it they may be willing to pay close
to your list price anyway. Many times sellers have an
emotional attachment to their home. They are adamant
that their home is worth more than the home for sale
down the street. On paper the stats are the
same...similar square footage & lot size etc. Although
the homes are virtually comparable one owner feels their
home is worth much more than the other. Besides, they
spent hours working on their garden or painting the
interior of the home. Some upgrades do add value to the
home but smaller, more personal, modifications like
these may not add to the value as much. Having a
beautiful garden or fresh paint will help your home be
more sellable so your efforts haven’t gone to waste. If
two homes are similar enough & one home is noticeably
taken care of better than the other which do you think
will sell first? Most likely the home that has been
taken care of better. Also remember if you have a
Realtor negotiating for you they should be able to save
you as much on your purchase as you feel you have lost
on your sale. It is all relative.
Fraser Valley Real Estate Board News Release
News Release: October 4, 2011
MORE LISTINGS, FEWER SALES KEEPING LID ON HOME PRICES IN
THE FRASER VALLEY
(Surrey, BC) – Property sales on the Fraser Valley Real
Estate Board’s Multiple Listing Service® (MLS®) in
September were the third lowest for that month in the
last decade, while new listings for September ranked the
second highest.
Sukh Sidhu is FVREB’s president. “This is the third
month in a row based on the 10-year average where we’ve
seen lower sales combined with a higher influx of new
listings.”
The Fraser Valley Real Estate Board processed 1,165
sales in September, an increase of 12 per cent compared
to the 1,044 sales during the same month last year and a
decrease of 13 per cent compared to 1,341 sales in
August.
The board posted 2,651 new properties on its MLS® in
September, an increase of 10 per cent compared to
September of last year and on par with the listings it
received in August. The number of active listings in the
Fraser Valley remained at 10,096 in September, at an
annual high for the last three months.
Sidhu adds, “This trend is stabilizing home prices in
the Fraser Valley resulting in the price of a typical
detached home in September being only slightly higher
than it was in May.
“Although average prices year-over-year are still
showing strong increases or decreases for some
communities, make sure to ask your local REALTOR® for
the benchmark price as well. It’s the predicted sale
price of a typical home in your neighbourhood and unlike
the average price, isn’t sensitive to sales of high-end
or low-end homes. It’s one of our most reliable pricing
tools.”
The benchmark price of a single family detached home in
the Fraser Valley in September was $530,321, an increase
of 4.5 per cent compared to $507,429 in September 2010
and 0.3 per cent higher than the price in August.
For townhouses, the benchmark price in September was
$327,546, an increase of 1.8 per cent compared to the
same month last year and unchanged with the price in
August. The benchmark price of apartments in September
was $243,420, an increase of 1.6 per cent compared to
September 2010 and down 0.9 per cent compared to August.
The Fraser Valley Real Estate Board is an association of
2,918 real estate professionals who live and work in the
BC communities of North Delta, Surrey, White Rock,
Langley, Abbotsford, and Mission. The FVREB marks its
90-year anniversary this year.
Full package:
http://www.fvreb.bc.ca/statistics/Package%20201109.pdf
NEWS ENTRY SEPTEMBER 2011
British Columbian’s recently voted to abolish the HST &
return to the old system of charging PST & GST. We have
been told it will take approximately 18 months to
transition back to PST/ GST. In the mean time we ask
what implications will this have on the housing market
now and in 18 months from now. Just like before the HST
came into place, new home buyers are asking themselves
is it better to purchase before or after the transition
back to GST/ PST? Personally I don’t believe the HST was
in place long enough to see the entire effect it would
have had on housing prices. Over time we were told the
prices of big ticket items would decrease as you
wouldn’t be charged for the embedded PST. I didn’t see a
major reduction in the prices of new homes since the HST
was implemented. Only time would have told...Now we can
only speculate. What new home buyers also need to
remember is that there were many tax rebates under the
HST system. Most new home buyers were only paying a
small fraction of the 12% HST on new home purchases. In
fact...unless you were purchasing a luxury home or
investment property you likely weren’t paying much more
tax under the HST system than you would have under the
PST/ GST system. So would it make sense to wait until
the GST/ PST system is back in place before purchasing
new? In my opinion, not at all. I don’t think we will
see a major reduction in prices when the PST/ GST is
back in place. And you won’t save significantly on the
tax paid on your new home purchase either. In fact
there may be risks with waiting that long to make your
home purchase. Some people are speculating that housing
prices will decrease over the next year. I am not 100%
positive this will happen...unless interest rates
increase significantly. There are some excellent prices
out there right now and many homes on the market to
choose from. Great prices, huge selection and low
interest rates! It doesn’t get any better than this. If
I was looking to purchase a new home I wouldn’t hesitate
to purchase today.
Fraser Valley Real Estate Board News Release
News Release: September 2, 2011
HOME SALES IN FRASER VALLEY
HOLD STEADY IN AUGUST
(Surrey, BC) – The Fraser Valley
Real Estate Board processed 1,341 sales on the Multiple
Listing Service® (MLS®) in August, an increase of 35 per
cent compared to the 997 sales during the same month
last year and slightly higher than the 1,322 sales in
July.
Sukh Sidhu, president of the
Fraser Valley Real Estate Board, says, “We typically see
a summer dip in sales in August compared to July and
that didn’t happen this year. We attribute the current
steady market to interest rates remaining favourable, as
well as buyers taking advantage of home prices softening
slightly in certain markets and an influx of new
inventory across all property types.”
The board posted 2,644 new
properties on its MLS® in August, an increase of 26 per
cent compared to August of last year and 10 per cent
fewer than it received in July. The number of active
listings in the Fraser Valley remained at 10,074 in
August, on par with July’s volume.
“The number of homes on the market
remains at a yearly high, which combined with a decrease
in sales, can put downward pressure on pricing. We’re
only seeing this in some communities for certain
property types underlining the importance for both
sellers and buyers to obtain local real estate
expertise.
“Year over year, home prices in
the Fraser Valley are either on par or showing
increases; month over month, benchmark prices for the
three main residential property types combined declined
by 1.3 per cent.”
The benchmark price of a single
family detached house in the Fraser Valley in August was
$528,959, an increase of 3.7 per cent compared to
$510,107 in August 2010.
For townhouses, the benchmark
price in August was $327,317, an increase of 0.9 per
cent compared to $324,485 during the same month last
year. The benchmark price of apartments in Fraser Valley
in August was $245,751, an increase of 2.5 per cent
compared to $239,659 in August 2010.
Information and photos of all
Fraser Valley Real Estate Board listings can be found on
the national, public web site
www.REALTOR.ca. Further market statistics
can be found on the Board’s web page at
www.fvreb.bc.ca. The Fraser Valley Real
Estate Board is an association of 2,916 real estate
professionals who live and work in the communities of
North Delta, Surrey, White Rock, Langley, Abbotsford,
and Mission.
Full package:
http://www.fvreb.bc.ca/statistics/Package%20201108.pdf
News Entry August 2011
Summer has finally arrived!!! The sun is shining, the
grass is green and gardens are looking their best. What
a great time to have your house on the market. Typically
the summer months can be a hit or miss for the real
estate market. With children off school and many people
away on holidays some house hunting plans are put on
hold until the fall. I have witnessed this trend as well
with several of my buyers asking to wait until September
to continue their search. We have seen a dip in sales
this summer as we do many summers but we have also seen
great improvements over last year. The Fraser Valley
Real Estate Board reported an increase in sales of 20%
in July 2011 compared to July 2010. The economy seems to
be fairly stable here in BC right now. One year ago many
developers would still be thinking twice about holding
excesses of land instead opting to develop the supplies
they already had on hand. Sales of higher end homes and
development properties had decreased with fewer buyers
qualifying for those kinds of purchases. And it didn’t
help that most lending institutions had tightened up
their lending policies. Personally I have noticed more
future development properties selling this year than in
the past two years. And housing starts are up as well
with a 36% increase in July 2011 over July 2010. (Note:
There was a decrease in single family housing starts but
a huge increase in multi-family. See entire report
here) So what does this all mean to you? There is so
much conflicting information out there. The US economy
although improving is still very unstable. Many
economists predict that we are benefiting short term
from the downfall in the US. The key term being SHORT
TERM. Many of these economists believe there will be
another downfall in the US and this time we will be hit
harder. We all know that our economy is somewhat
dependent on the US economy. They are our closest
neighbour and ally. So how intertwined are our economies
and what can we expect in the months and years to come?
Personally I feel this year will continue in the same
direction with even more sales happening this fall.
Prices have stabilized and may stay where they are for a
while. At least in the Fraser Valley that is. The Great
Vancouver district is an entirely different story with
overseas money keeping prices at a premium. I feel
Canada has many great things to offer and people from
all over the world see it. International buyers will
continue to invest here. Why? When properties in the US
have dropped so low. You’d think they would want to buy
four or five properties in the US rather than one high
end home in Vancouver or holding property in Langley. I
have spoken to several international investors and they
all tell me the same thing. They feel they will have
their desired return on investment faster here than in
the US. As long as foreign investors feel this way and
continue to invest in Canada our economy will hold
strong.
Fraser Valley Real Estate Board News Release
News Release: August 3, 2011
HOME SALES TAKE SUMMER DIP; PRICES REMAIN STABLE IN THE FRASER VALLEY
(Surrey, BC) – The Fraser Valley Real Estate Board
processed 1,322 sales on the Multiple Listing Service®
(MLS®) in July, an increase of 20 per cent compared to
the 1,101 sales during the same month last year, however
17 per cent fewer than the 1,588 sales in June.
While sales decreased month-over-month, listings went
up. The board posted 2,931 new properties on its MLS® in
July – 6 per cent more than received in June and 24.5
per cent more than in July 2010 – pushing overall
inventory to 10,073 active listings, the highest level
in the Fraser Valley since last summer.
Sukh Sidhu, president of the Fraser Valley Real Estate
Board, says, “Last month, we were busier listing rather
than selling properties, which is good news for
prospective buyers. A buyers’ market means REALTORS®
will have more homes to show their clients and increased
negotiating power on their behalf.
“For sellers in this market, expert guidance to
determine your home’s list price is essential. Overall,
we’re seeing home prices remain strong compared to a
year ago, but not for every property type or every
community. We’re still seeing tremendous regional
variation in prices – some areas showing increases;
others decreases – as well as local differences in the
average number of days on the market.”
For example, in July, it took on average 18 days to sell
a townhome in North Delta; 45 days on average to sell a
single family home in White Rock/South Surrey; and, 65
days on average to sell an apartment in Abbotsford.
The benchmark price of a single family detached house in
the Fraser Valley in July was $534,042, an increase of
4.6 per cent compared to $510,470 in July 2010.
For townhouses, the benchmark price in July was
$328,318, an increase of 0.8 per cent compared to
$325,856 during the same month last year. The benchmark
price of apartments in Fraser Valley in July was
$248,043, an increase of 1.5 per cent compared to
$244,368 in July 2010.
Information and photos of all Fraser Valley Real Estate
Board listings can be found on the national, public web
site
www.REALTOR.ca. Further market statistics can be
found on the Board’s web page at
www.fvreb.bc.ca. The Fraser Valley Real Estate Board
is an association of 2,920 real estate professionals who
live and work in the communities of North Delta, Surrey,
White Rock, Langley, Abbotsford, and Mission.
Full package:
http://www.fvreb.bc.ca/statistics/Package%20201107.pdf
Fraser Valley Real Estate Board News Release
News Release: July 5, 2011
RATIO OF PROPERTY SALES TO INVENTORY REMAINS STABLE IN THE FRASER VALLEY
(Surrey, BC) – For three
consecutive months, the percentage of properties sold in
the Fraser Valley compared to those that were available
for purchase has remained at 16 per cent, reflecting a
balanced market starting to favour buyers.
In June, the Fraser
Valley Real Estate Board processed 1,588 property sales
on its Multiple Listing Service (MLS®), while at the
same time had 9,758 active listings available.
Sukh Sidhu, president of
the Board, explains, “When supply and demand remain as
consistent as they have since April, it indicates a
stable market.
“However, it is
important for both buyers and sellers to be aware that
Fraser Valley’s market is highly localized. In general,
16 out of every 100 properties sold in June, but that’s
referring to every property type in all six of our
communities. Be sure to ask your REALTOR® for the
percentage of properties selling specific to your home
in your area.”
The Board received 2,762
new listings in June, a decrease of 10 per cent compared
to May and a decrease of 12 per cent compared to the
3,153 new listings received in June 2010.
Sidhu adds, “Although the volume of new homes coming on
stream saw a seasonal dip in June, selection remains
very good in particular for Fraser Valley apartments.
With interest rates remaining stable, there are some
excellent opportunities for first-time buyers this
summer.”
In June, the benchmark price for Fraser Valley detached
homes was $528,060, an increase of 1.9 per cent compared
to $518,355 in June 2010 and a decrease of 0.3 per cent
compared to May.
The benchmark price of Fraser Valley townhomes in June
was $327,457, a decrease of 0.2 per cent compared to
$328,080 in June 2010 and up 0.8 per cent compared to
May. The benchmark price of apartments was $249,537 in
June, an increase of 1.3 per cent compared to the
$246,351 price in June of last year and down 0.6 per
cent compared to May.
Information and photos of all Fraser Valley Real Estate
Board listings can be found on the national, public web
site
www.REALTOR.ca.
Further market statistics can be found on the Board’s
web page at
www.fvreb.bc.ca.
The Fraser Valley Real Estate Board is an association of
2,920 real estate professionals who live and work in the
communities of North Delta, Surrey, White Rock, Langley,
Abbotsford, and Mission.
Full package:
http://www.fvreb.bc.ca/statistics/Package%20201106.pdf
News Entry June 2011
GOVERNMENT REBATE PROGRAMS
Many buyers are sellers are not aware of rebates &
grants that the government offers towards purchasing a
new home or renovating your existing home. I have
compiled the following list of rebates & incentives
provided by the Government of BC.
Property Transfer Tax Rebate – Are you a NEW
HOME BUYER? Typically home buyers are charged a property
transfer tax of 2% on the first $100,000 of the purchase
price & 1% of the remainder. First time home buyers of
homes up to $425,000 can have this tax exempted. For
more information: click
here.
GST Rebate on New Homes - New homebuyers can
apply for a rebate of the federal portion of the HST
(the 5% GST) if the purchase price is less than
$350,000. The rebate is up to 36% of the GST to a
maximum rebate of $6,300. There is a proportional GST
rebate for new homes costing between $350,000 and
$450,000. (Go to
http://www.cra-arc.gc.ca enter “RC4028″ in the
search box or call 1-800-959-8287).
BC New Housing Rebate (HST) - Buyers of new or
substantially renovated homes priced up to $525,000 are
eligible for a rebate of 71.43% of the provincial
portion (7% of the 12% HST) paid to a maximum rebate of
$26,250. Homes priced at $525,000+ are eligible for a
flat rebate of $26,250. (Go to
http://hst.blog.gov.bc.ca/faqs/new-housing-rebate or
call 1-800-959-8287).
First-time Home Buyers Tax Credit (HBTC) -
This is a non-refundable income tax credit for
qualifying buyers of detached, attached, apartment
condominiums, mobile homes or shares in a cooperative
housing corporation. It’s calculated by multiplying the
lowest personal income tax rate for the year (15% in
2009) by $5,000. For 2009 the maximum credit was $750.
(Go to
http://www.cra-arc.gc.ca/hbtc or call
1-800-959-8281).
BC Home Owner Grant - Reduces school property
taxes by up to $570 on properties with an assessed value
up to $1,050,000. For 2010, the basic grant is reduced
by $5 for each $1,000 of value over $1,050,000 and
eliminated on homes assessed at $1,164,000+. An
additional grant reduces property tax by a further $275
for a total of $845 for seniors, veterans and the
disabled. This is reduced by $5 for each $1,000 of
assessed value over $1,050,000 and eliminated on homes
assessed at $1,219,000+. (Go to
http://www.rev.gov.bc.ca/ hog or your municipal tax
office).
CMHC Residential Rehabilitation Assistance Program
(RRAP) - This federal program provides financial aid
to qualifying low-income home owners to repair
substandard housing. Eligible repairs include heating,
structural, electrical, plumbing and fire safety. Grants
are available for seniors, persons with disabilities,
owners of rental properties and owners creating
secondary and garden suites. For more information:
www.cmhc-schl.gc.ca/en/co/prfinas/prfinas_001.cfm
OTHER PROGRAMS
Home Buyer’s Plan -Qualifying homebuyers can
withdraw up to $25,000 (couples can withdraw up to
$50,000) from their RRSP’s for a down payment.
Homebuyers who have repaid their RRSP may be eligible to
use the program a second time. (Go to
http://www.cra.gc.ca
enter “Home Buyers Plan” in the search box or phone
1-800-959-8287).).
Live Smart BC – Renovating your home before
putting it on the market? Consider replacing the furnace
or putting in Energy Star Rated Windows or doors.
Increase your Energy Efficiency Rating & you can be
eligible for up to $7000.00 in Grants through the Live
Smart BC Program.
http://www.livesmartbc.ca/incentives/efficiency-home/index.html
BC Hydro Rebates – Fridge Buy Back Program: BC
Hydro will pick up your old fridge, recycle it & even
pay you $30.00 for it.
http://www.bchydro.com/rebates_savings/fridge_buy_back.html
Appliance Rebate Program: BC Hydro will give you a
rebate of up to $75 for each Energy Star Appliance you
purchase.
Teresen Gas Efficient Boiler Program - For
commercial buildings, provides a cash rebate of up to
75% of the purchase price of an energy efficient boiler,
for new construction or retrofits. For more information:
www.terasengas.com
and in the search box enter ‘gas efficient boiler
program’.
Fraser Valley Real Estate Board News Release
News Release: June 2, 2011
Fraser Valley housing market shows local variation
(Surrey, BC) – The Fraser Valley Real Estate Board
processed 1,608 property sales on its Multiple Listing
Service (MLS®) in May, an increase of 9 per cent
compared to 1,477 sold during May of last year, and an
increase of 6 per cent compared to April's 1,516 sales.
Sukh Sidhu, president of the Board, reports,
“Overall, the Fraser Valley market is in a balanced
position, however there are significant differences
amongst individual communities and property types
stressing the importance of getting local expertise if
you’re thinking of buying or selling.
“For example, sales of single family detached homes
in South Surrey/White Rock, Cloverdale and North Delta
remain brisk with those markets favouring sellers,
however in Abbotsford and Mission high inventory and
downward pressure on prices is good news for buyers. In
Langley, Surrey Central and North Surrey, conditions are
balanced for sales of detached homes.”
Variation is also evident in home prices. In May, the
benchmark price for Fraser Valley detached homes was
$529,810, an increase of 2.8 per cent year-over-year.
The benchmark price is the predicted sale price of a
typical property in the Fraser Valley. Contrast that to
May’s average price of $630,870 for detached homes, an
11.6 per cent increase compared to May 2010 – influenced
by the sale of higher-end
homes or homes with larger lots.
Sukh Sidhu explains, “The average price and its
percentage change often do not provide an accurate
picture of the real market, which is why we talk about
prices of “typical” homes that most people are buying or
selling.”
In May, the benchmark price of Fraser Valley
townhomes was $324,730, a decrease of 1.1 per cent
compared to $328,295 in May 2010. The benchmark price of
apartments was $250,988 in May, a decrease of 0.5 per
cent compared to the $252,221 price in May of last year.
May finished with 2.9 per cent more active listings
on the MLS® than it had in April – 9,978 compared to
9,697 – however, 12.6 per cent fewer than the 11,411
listings that were active during May of 2010. The Board
received 3,070 new listings in May, an increase of 5.2
per cent compared to April and a decrease of 11.2 per
cent compared to the 3,457 new listings received in May
2010.
Information and photos of all Fraser Valley Real
Estate Board listings can be found on the national,
public web site
www.REALTOR.ca. Further market statistics can be
found on the Board’s web page at
www.fvreb.bc.ca.
The Fraser Valley Real Estate Board is an association of
2,917 real estate professionals who live and work in the
communities of North Delta, Surrey, White Rock, Langley,
Abbotsford, and Mission.
Full package:
http://www.fvreb.bc.ca/statistics/Package%20201105.pdf
Fraser Valley Real Estate Board News Release
News Release: May 3, 2011
APRIL HOME SALES RETURN TO BALANCE IN FRASER
VALLEY
(Surrey, BC) – The Fraser Valley Real Estate Board
processed 1,516 property sales on its Multiple Listing
Service (MLS®) in April, a decrease of 15 per cent
compared to 1,793 sold during April of last year, and a
decrease of 17 per cent compared to March’s 1,818 sales.
Sukh Sidhu, president of the Board, explains,
“April’s sales are pretty typical for that month over
the last two decades with the 20-year average being
1,580, but softer than what we saw earlier this year.
“The Fraser Valley market was busier than normal in
February and March due in part to the tighter credit
conditions that kicked in on March 18, plus you add into
the mix a focus on the federal election and you get an
April that trends back to normal conditions.”
However, Sidhu says certain individual markets within
Fraser Valley have remained active. “For the third month
in a row, sales of single detached homes in White
Rock/South Surrey have accounted for almost a quarter of
all detached sales in the region compared to the 15 per
cent share that area typically garners.”
“Benchmark prices of detached homes in that area have
increased by 11 per cent in the last three months
compared to 3.9 per cent across the Fraser Valley as a
whole, emphasizing the need for local expertise no
matter where you’re thinking of buying or selling.”
April finished with 5 per cent more active listings
on the MLS® than it had in March – 9,697 compared to
9,228 – however, 9 per cent fewer than the 10,635
listings that were active during April of 2010. The
Board received 2,918 new listings in April, a decrease
of 14 per cent compared to March and a decrease of 22
per cent compared to the 3,760 new listings received in
April 2010.
Regarding prices, in April, the benchmark price for
Fraser Valley detached homes was $525,510, an increase
of 1 per cent from the April 2010 price of $520,423. The
benchmark price of townhomes was $332,992 in April, an
increase of 2 per cent compared to $326,367 in April
2010. The benchmark price of apartments was $252,689 in
April, a 1.3 per cent increase compared to $249,453 in
April 2010.
Information and photos of all Fraser Valley Real
Estate Board listings can be found on the national,
public web site
www.REALTOR.ca. Further market statistics can be
found on the Board’s web page at
www.fvreb.bc.ca.
The Fraser Valley Real Estate Board is an association of
2,924 real estate professionals who live and work in the
communities of North Delta, Surrey, White Rock, Langley,
Abbotsford, and Mission.
Full package:
http://www.fvreb.bc.ca/statistics/Package%20201104.pdf
News Entry April 2011
Spring has come and the weather is warming up. So is
the real estate market. Buyers who have been sitting on
the fence are now excited to get serious about finding
their new home. They have been prequalified and are
motivated. Savvy sellers have now listed and are taking
full advantage of this spring market. Homes that are
priced right are selling within days hitting the MLS.
Sales in March 2011 hit a 5 year high with a whopping
16% increase over sales in March 2010. Although we are
seeing many sales there will be many more homes that do
not successfully sell this year. So what can a seller do
to give their home the best chance at selling in this
spring market? Here are some ideas to improve your odds
at selling this spring: Spring cleaning! Wash all the
windows and mirrors and dust real well. A clean house is
easier to sell. Some buyers will rush through a dirty
home and have a hard time seeing past a little dust.
Remember that the outside of your home is equally
important. Potential buyers are making their first
judgements of your home as early as driving into your
driveway. Rake up the leaves and pressure wash the
outside of your home. Maybe plant a few flowers or hang
some hanging baskets and keep the lawn freshly mowed at
least on a weekly basis. Take time to de-clutter. Box
away as many personal items as you can. You don’t want
potential buyers to be distracted by your collectables.
Besides you are planning to move.... you will need to
pack everything eventually. You may even want to remove
some furniture as well. Too much furniture can make a
room feel much smaller than it actually is. Keep counter
tops and tables bare. It is also a good idea to install
some plug in air fresheners...but don’t overdo it. You
don’t want the buyers to think you are trying to hide an
unpleasant odour. These are just a few simple ideas of
what you can do to get your home in the best showing
condition. Of course you can spend some money and
repaint or put in new flooring but it is not always
necessary. Ask your Realtor for suggestions of how to
get your home ready for the market. Or maybe they have a
home stager they work with?! Don’t be afraid to ask for
help. Timing & price are important but how you stage
your home can be equally important.
Fraser Valley Real Estate Board News Release
News Release: April 4, 2011
March home sale activity reaches 5-year high in
Fraser Valley
(Surrey, BC) – Last month, Fraser Valley REALTORS®
experienced their busiest March in terms of sales on the
Multiple Listing Service®, since 2006.
The Fraser Valley Real Estate Board processed 1,818
property sales in March, an increase of 16 per cent
compared to 1,565 sold during March of last year, and an
increase of 42 per cent compared to February’s 1,279
sales. In March of 2006, there were 2,072 sales.
Sukh Sidhu, Board president, explains, “We are seeing
strong demand in Fraser Valley but not necessarily for
every product type in every community, underlining the
importance for consumers to ask their REALTOR® for a
detailed, local market analysis.
“For example, sales of single family detached homes in
White Rock/South Surrey increased by over 150 per cent
in March compared to last year, however in Abbotsford
they were down by almost 7 per cent. The property type
that saw the largest increase in sales in Abbotsford
during the month of March was condominiums.”
Sidhu adds that in addition to sales volumes, the number
of new properties being listed for sale also increased
by 11 per cent, going from 3,038 new listings in
February to 3,376 in March. “Giving buyers more choice
during one of the most popular times of the year to
house hunt.”
March finished with 6 per cent more active listings on
the MLS® than it had in February, 9,228 compared to
8,680, however still 6 per cent fewer compared to the
9,828 listings that were active during March of 2010.
Regarding prices, in March, the benchmark price for
Fraser Valley detached homes was $519,628, an increase
of 0.9 per cent from the March 2010 price of $514,787.
The benchmark price of Fraser Valley townhouses in March
remained on par year-over-year going from $326,307 in
2010 to $327,328 in 2011. The benchmark price of
apartments was $249,463 in March, a 1.1 per cent
increase compared to $246,673 in March 2010.
Fraser Valley Real Estate Board News Releasee
News Release: March 2, 2011
EARLY SPRING SURGE IN SALES & NEW LISTINGS IN
FRASER VALLEY
(Surrey, BC) – The Fraser Valley Real Estate Board
processed 1,279 sales on the Multiple Listing Service®
(MLS®) in February, an increase of six per cent compared
with 1,204 sold during February 2010, and 53 per cent
more than the 834 listings that sold last month.
Sukh Sidhu, Board president, confirms the market is more
active earlier than expected. “Fraser Valley REALTORS®
are busy. We sold 659 detached homes last month compared
to 398 in January. We also saw the greatest amount of
new inventory come on stream since last summer. “We
think one of the drivers is the change in mortgage rules
that is coming up on March 18. Some clients have asked
that their sale complete before that date. Plus, our
REALTORS® are telling us that almost fifty per cent of
their buyers paid less than 25 per cent as a down
payment for their home purchases during the first half
of February. A 35-year amortization could be more
attractive to those buyers.”
In February, the benchmark price for Fraser Valley
detached homes was $514,161, an increase of 1.2 per cent
from the February 2010 price of $508,136.
The benchmark price of Fraser Valley townhouses in
February was $316,578, a 2.5 per cent decrease compared
to $324,708 in February 2010. The benchmark price of
apartments remained on par year-over-year going from
$245,879 in February 2010 to $245,519 in February 2011.
The MLS® received 3,038 new listings in February, an
increase of 15.4 per cent compared to the volume
received in January and 6.2 per cent more than the 2,879
new listings received during February last year. Last
month finished with 8,680 active listings, an increase
of 2.3 per cent compared to the 8,485 active listings
available during February 2010, and 12.4 per cent more
than were available in January.
Information and photos of all Fraser Valley Real Estate
Board listings can be found on the national, public web
site www.REALTOR.ca. Further market statistics can be
found on the Board’s web page at www.fvreb.bc.ca. The
Fraser Valley Real Estate Board is an association of
2,898 real estate professionals who live and work in the
communities of North Delta, Surrey, White Rock, Langley,
Abbotsford, and Mission.
News Entry February 2011
The BC Real Estate Association recently released its
forecast for 2011. They are predicting an 8% increase in
residential sales this year and an additional increase
of 4% for 2012. So far this year we have seen a definite
increase in listings on the market. We have not yet seen
this increase in sales they are forecasting but I can
feel a buzz in the industry. Real Estate Agents are busy
with phones ringing off the hook. It isn’t quite the
spring market yet but sellers seem excited to get a jump
on things…and why not. CMHC made some changes to the
mortgage rules including decreasing the maximum
amortization period from 35 to 30 years. Could be a good
idea to have your home already on the market to take
advantage of the buyers who have secured a rate hold for
a 35 year amortization. These buyers are on a time
crunch and are in the midst of their home search today.
Most typically you will see a major increase in listings
in March but it seems this has happened already. And
still I see many new listings daily that meet my buyers’
search criteria. Having too many listings to choose from
is a great dilemma to have as a buyer. So listings are
one thing…and sales are another. It was reported that
there were 15% less sales in January 2011 than there
were in 2010 and a 7% decrease since only December.
February seems to have improved significantly from last
month and maybe even from last year. Will March be a
record breaking month? Things have been steadily
improving so the predictions of an 8% increase in sales
this year doesn’t seem to be farfetched from my point of
view.
Fraser Valley Real Estate Board News Release
News Release: February, 2011
INCREASE IN LISTINGS ADVANTAGEOUS FOR FRASER
VALLEY BUYERS
(Surrey, BC) – The Fraser Valley Real Estate Board
reports an increase in listing activity and steady sales
for the first month of 2011.
Deanna Horn, president of the Board says, “In addition
to an influx of new inventory in January, our REALTORS®
had more inquiries and increased traffic at open houses
boding well for a solid spring market in the Fraser
Valley.”
There were 834 sales processed on the Board’s Multiple
Listing Service® (MLS®) in January, a decrease of 15 per
cent compared to the 981 sales processed in January 2010
and a 7 per cent decrease compared to the 895 sales in
December.
Although the Board received 11 per cent fewer new
listings in January than it did during the same month
last year, it saw the typical post-holiday surge in new
properties coming on stream. The Board received 2,632
new listings last month, an increase of 138 per cent
compared to the 1,104 listings received in December
taking the number of active listings to 7,724 at the end
of January, 4 per cent more than were available during
January 2010.
Horn adds, “The market typically picks up at this time
of year as also evidenced by the decrease in the average
number of days to sell for single family homes and
townhomes in January.
“In terms of prices, overall they’re holding steady,
however we are seeing variability depending on the
community and property type.”
The benchmark price for Fraser Valley detached homes in
January was $505,618, down 0.1 per cent compared to
December and 0.9 per cent higher compared to $500,931 in
January 2010.
The benchmark price of Fraser Valley townhouses in
January was $317,414, a 1.4 per cent decrease compared
to December and a 0.1 per cent decrease compared to
January 2010 when it was $317,719. Year-over-year, the
benchmark price of apartments decreased 2.6 per cent
going from $243,470 in January 2010 to $237,171 last
month and decreased 1.2 per cent compared to December
2010.
The average number of days to sell for detached homes in
January was 62.2, down from 67.9 in December. Townhouses
on average sold in 57.7 days last month, down almost
nine days compared to December, however apartments took
on average 14.6 days longer to sell, going from 65.6 in
December to 80.2 days in January.
News Entry January 2011
It barely feels like 2010 is over yet we are already
three weeks into 2011. The year 2010 ended with 8139
active listings in the Fraser Valley; an increase of
24.6% from December 2009. Listings were up but sales
were down with 29% less sales in December 2010 than
December 2009. It can seem pretty shocking when you look
at those numbers alone. Was 2010 an improvement over
2009? And what do we foresee for 2011? There may have
been less sales overall but we did see some improvement
from 2009. In most cases we saw prices increase from
2009. I say “most” because there is always the exception
to the rule. In the Fraser Valley the average price for
a detached home increased by 7.5%. In some areas such as
Mission or North Surrey the increase was much less
significant at 3% while White Rock saw 9%. Sometimes
statistics can be shocking. Especially when you work in
the industry every day and you see price reduction after
price reduction coming through your email inbox. We
started 2010 in more of a seller’s market and ended in a
buyer’s market. Towards the end of the year there were
many listings for buyers to choose from. Sellers had to
reduce their prices in order to sell. There are still a
lot of listings to choose from with more coming on the
market every day. It is a great time to be a
buyer...especially for first time home buyers. If I was
a first time home buyer I wouldn’t hesitate to get into
the market. The federal government just announced
changes to residential mortgages which come into effect
March 18th. The most significant change is the
shortening of the maximum amortization period from 35 to
30 years. This can amount to a huge difference a person
can qualify for. It can be the difference between buying
a townhouse or an apartment. All first time home buyers
should visit a mortgage broker today and get
prequalified. Waiting a month or two could mean not
qualifying for what you are looking for. Changes such as
these give the market a boost. The same happens when
interest rates are on the rise. The buyers that were
sitting on the fence get more serious. So with buyers
motivated I can’t think of a better time to get your
home on the market. It is also possible this change can
result in prices increasing over the next few months as
demand increases and inventory (hopefully) decreases.
So what is my forecast for 2011? I think the market
will see some improvement. Overall prices may have a
modest increase. I don’t think we will see record
numbers of sales though. I think we have to be
realistic. Buyers are still being more cautious.
Developers are keeping less of an inventory. The federal
government is coming out with new mortgage rules. The
HST...it’s still a factor. All of these things have an
impact on the market & the economy. You don’t see
recovery over night.
Fraser Valley Real Estate Board News Release
News Release: January, 2011
STABILITY REIGNS IN LATTER HALF OF 2010 REAL
ESTATE MARKET
(Surrey, BC) – Stable property sales and a steady
erosion of inventory for the last seven months of 2010
have brought equilibrium to Fraser Valley’s real estate
market.
“Our market was a bit of a rollercoaster in 2010 with
buyers appearing earlier than expected in the year,
tapering in the summer and returning in the fall,” says
Deanna Horn, Board president.
“As consumers regained their confidence in the
overall economy, we saw a normalization of the market
with sales at or slightly below average, inventory
dropping and modest changes in home prices.”
A total of 895 sales were processed on the Board’s
Multiple Listing Service® (MLS®) in December, a decrease
of 17 per cent compared to November and a decrease of 29
per cent compared to 1,260 sales in December of last
year. The Board’s 10-year average for December sales in
the last decade is 1,020.
In terms of listings, the Board finished 2010 with
8,139 active listings, 10 per cent fewer than in
November and an increase of 25 per cent compared to the
6,534 properties available in December 2009. December’s
inventory represents a 28 per cent drop from 2010’s peak
of 11,411 active listings reached in May.
Horn adds, “If there’s one lesson buyers and sellers
can take from our market in 2010, it’s to recognize
there are real differences in home values based on their
type and location making it prudent to have your
REALTOR® show you comparisons specific to your property
type and neighbourhood.
“For example, benchmark prices of condominiums in
North Surrey have decreased by 3.8 per cent in the last
year while benchmark prices of detached homes in west
Abbotsford have increased by 4 per cent.”
Overall, the benchmark price for Fraser Valley
detached homes in December was $506,145, an increase of
0.3 per cent compared to November and 1.7 per cent
higher compared to $497,732 in December 2009.
The benchmark price of Fraser Valley townhouses in
December was $322,054, an increase of 0.8 per cent
compared to November and a 1.2 per cent increase
compared to December 2009 when it was $318,174.
Year-over-year, the benchmark price of apartments
increased 1.2 per cent going from $237,157 in December
2009 to $240,101 in December 2010 and 0.9 per cent lower
compared to November 2010.
Fraser Valley Real Estate Board News Release
News Release: December, 2010
CONSISTENT HOME SALES IN THE FRASER VALLEY SPEAK
TO CONSUMER CONFIDENCE
(Surrey, BC) – For the fifth consecutive month, sales
processed on the Fraser Valley Real Estate Board’s
Multiple Listing Service® (MLS®) have remained stable
with November’s figures showing a modest increase over
October.
“Consumers are responding to how prices have moderated
in the last six months, in addition to the double dip in
mortgage rates,” says Deanna Horn, Board president.
“Buyers are optimistic because of the improved economic
conditions, which is why we’re seeing consistency in
homes sales in the Fraser Valley.”
A total of 1,084 sales were processed on the Board’s
MLS® in November, an increase of 7 per cent compared to
1,014 sales in October and a decrease of 29 per cent
compared to 1,522 sales in November of last year.
The Board received the fewest number of new listings
this year to date with 1,773 new properties coming on
stream in November, a 17 per cent decrease from October
and a 15 per cent decrease compared to November 2009.
The Board finished November with 9,049 active listings,
5 per cent fewer than in October and an increase of 9
per cent compared to the 8,334 properties available in
November 2009.
Horn says, “It’s not unusual to see a dip in new
listings at this time of year, however the level of
home-buying interest, in particular for homes priced
competitively, is stronger than we expected given we’re
approaching the holiday season. That combination
continues to have a stabilizing effect on home prices in
the Fraser Valley.”
The benchmark price for Fraser Valley detached homes in
November was $504,848, down 0.2 per cent compared to
October and 1.4 per cent higher compared to $497,697 in
November 2009.
The benchmark price of Fraser Valley townhouses in
November was $319,623, a 0.2 per cent increase compared
to October and a 1.2 per cent increase compared to
November 2009 when it was $315,890.
Year-over-year, the benchmark price of apartments
increased 2.7 per cent going from $235,842 in November
2009 to $242,276 last month and 0.7 per cent higher
compared to October 2010.
News Entry November 2010
Although it’s still a month away it feels like
Christmas is approaching at full speed. A co-worker of
mine was telling me about a friend of hers that had all
her Christmas shopping done already. ARE YOU KIDDING ME?
For those of you with your houses listed for sale
Christmas shopping may be the last thing on your mind
right now. You may be wondering if it is a smart move to
keep your home on the market. And for those looking to
purchase you may be considering putting your plans on
hold until the new year. Typically you will see less
sales happen during the winter months. Keep in mind
there are typically less homes on the market during this
time of year as well. Buyers remember that the sellers
that have their home on the market throughout the winter
are generally more serious about selling. Just because
you are looking at purchasing a home in the winter
doesn’t mean you will be moving in the winter. When you
make your offer you can choose a later possession date.
Maybe you can get a really great price on a property
today but choose to move in March 1st. It is very likely
the seller isn’t a fan of moving when it’s 0 degrees and
snowing either.
At Christmas time many of us think about the less
fortunate. Maybe we donate to the food bank or dig in
our pockets for change when we see the Salvation Army
Kettle Volunteers. There is Operation Christmas Child
where generous Canadians fill shoe boxes with small
necessities & toys for Children in third world
countries. Whatever it is you do big or small remember
you ARE MAKING A DIFFERENCE for somebody. Fraser Valley
& Greater Vancouver Realtors are currently collecting
blankets, bedding and warm clothing for the homeless and
working poor. (See article below) Prudential Power Play
Realty is also having a silent auction during our staff
Christmas Party to raise money for local Children’s
Charities. This year I have met many people that have
serious financial needs. The wonderful thing is that I
have met even more people that give selflessly even when
they themselves don’t have much to give. At this time of
year I look around and I see so much love and kindness I
can’t help but be proud to live in Canada. I feel truly
blessed to have been born in this country. This is why I
want to do my part as well. My clients all know that I
give $250.00 every time I close a deal to the charity of
my client’s choice. I have given to many wonderful
charities this year including Vancouver General
Hospital’s Burn Unit, Owl Canada, Children’s Hospital,
Make a Wish Foundation, BC Brain Injury & many more.
During the month of December I will donate an additional
$50.00 for each deal I close. So for every deal I
complete in December I will donate $300.00. HELP ME MAKE
A DIFFERENCE in our community.
Fraser Valley Real Estate Board News Release
News Release: November, 2010
REALTORS CARE® BLANKET DRIVE GEARS UP FOR COLD, WET
WINTER
(Surrey, BC – With predictions for this winter to be
the coldest and wettest in 50 years, and the number of
homeless people on the rise in the Lower Mainland, the
need for the annual REALTORS Care® Blanket Drive could
be at its highest in its 16-year history.
The REALTORS Care® Blanket Drive runs November 29 to
December 6 at over 100 real estate offices across the
region, collecting blankets, bedding and warm and
waterproof clothing for the homeless and working poor.
Over 30 charities from Whistler to Chilliwack receive,
on average, more than 4,000 bags of gently-used or new
items donated by REALTORS®, their clients and the
public.
Earlier this year, the City of Vancouver announced that
the homeless count in Vancouver has increased 12 per
cent since 2008. Also, meteorologists are calling for a
La Nińa weather cycle this winter, meaning
colder-than-normal temperatures and heavier
precipitation.
“Add to that, the economy is still in recovery,” said
Jake Moldowan, president, Real Estate Board of Greater
Vancouver. “So for all of those reasons, there’s a huge
need for warm clothing and blankets for vulnerable
people in our communities. Charities will need even more
donations if they’re to adequately respond to the
perfect storm of a recovering economy, an anticipated
tough winter and increased homelessness.”
Deanna Horn, president, Fraser Valley Real Estate Board,
encourages the public to donate the best quality of
items that they can – both gently-used and new. “Our
charities give us wish-lists,” she said. “People coming
in from the streets are looking for warm winter coats,
sleeping bags, hoodies, toques and gloves. Community
service clients are looking for blankets, bed sheets and
everyday clothing for themselves and their children that
they otherwise just can’t afford.”
The president of the Chilliwack & District Real Estate
Board, Kyle Hislop, is confident no matter what weather
conditions REALTOR® volunteers may face during their 10
days of collecting donations, they will deliver. “During
our first year in 2006, we received over a foot of snow
the week before the Blanket Drive and then three days
into it, we were hit with another massive snowstorm.
Regardless, our volunteers were determined to collect
donations for our community. There’s a tremendous amount
of passion behind the REALTORS Care® Blanket Drive
because of the difference it makes.”
Donations to the REALTORS Care® Blanket Drive stay
within the communities in which they are donated, or if
the volumes are too large, go to charities in greatest
need in neighbouring communities. Again, the 2010
REALTORS Care® Blanket Drive will run from November 29
to December 6. To find a list of all drop-off locations
and charitable recipients, go to
www.blanketdrive.ca.
News Entry October 2010
Many sellers are frustrated with having their homes
on the market for so long and are wondering if there is
a benefit to keeping it listed for the remainder of the
year. They wonder if the best step to take would be to
cancel their listing and to relist in the spring.
Numerous sellers do this with great success. In many
cases they will be able to relist their property at a
higher price as property values had increased during the
few months that their home was off the market. We all
know how difficult it is to have your home listed; the
constant cleaning and many showings. This can be even
more stressful during Christmas time when our schedules
are over-packed with family visits and Christmas events.
Besides doesn’t a home show better in the warmer months
when it is brighter out and the flowers are blooming? If
you are asking yourself these questions right now I also
want to point out HOMES DO SELL IN THE WINTER MONTHS as
well. There are many less listings on the market at this
time of year. The buyers out there have less selection
to choose from and are generally more serious about
moving. These buyers may have already sold their homes
already or are work transfers and don’t have a choice as
to when they move. There is no definite way to know what
will come in 2011. Some people are speculating that
prices will drop this coming year while others will tell
you that the market is in recovery and prices will
slowly increase over the next year. If prices do in fact
continue to climb taking it off the market for a few
months could possibly be beneficial. If you keep your
home listed throughout the winter your home may be only
one of a few similar homes in its price range. This
could give you a lot of leverage if an offer comes in.
If you relist in the spring the number of sellers of
similar properties could increase enormously giving the
buyers an advantage. Whatever you decide it has to be
right for you.
Here is a great article I found on
realestate.msn.com.
13 tips for selling your home in winter
Sure, there are fewer buyers and the skies are
gloomy. So warm and brighten up the place; make it look
like a refuge from the weather.
By
Bankrate.com
What makes selling a home more stressful? Selling it
in the middle of winter.
The lawn is brown, the weather is usually bad and,
unlike the longer days of summer, you have less time to
show it off during daylight hours.
But not everyone has the luxury of waiting until the
traditional spring or summer home-buying season to plant
that "for sale" sign. And while it's true that in most
areas you'll probably have fewer buyers during the
winter, you will have less competition from other
sellers.
The season makes staging — the concept of showing
your house at its best — even more important.
Be prepared to put a little effort into it. "It's
more difficult to make something look really appealing
this time of year," says Ron Phipps, broker with Phipps
Realty in Warwick, R.I.
If you do it right, you can really make your house
stand out.
1. Keep snow and ice at bay.
The top tip from agents: If the buyer can't get in
easily, the house won't sell. That means keeping
walkways and driveways free of the frozen stuff. Just
like trimming the lawn in the summer, you want to make
the home look like it's been maintained. If you're away
frequently or live in an area that's subject to bad
weather, it can pay to hire a service to regularly salt
or shovel the driveway and sidewalks.
2. Warm it up.
If you're showing during the winter, think "warm, cozy
and homey," says Ken Libby, owner of Stowe Realty in
Stowe, Vt., and a regional vice president of the
National Association of Realtors.
Before a buyer comes through, adjust the thermostat to a
warmer temperature to make it welcoming. "Sellers like
to turn the temperature down because of heat costs,"
says David Ledebuhr, president and owner of Musselman
Realty in East Lansing, Mich., and a regional vice
president of the National Association of Realtors. "But
buyers who come in and aren't comfortable won't stay
long."
If you have a gas fireplace, turning it on right before
the tour can give the house a little ambience, Libby
says.
With a wood-burning fireplace, you've got to be a little
more careful. If the house is vacant, don't chance it.
But if you're still living there and will be there
during the tour, it can be a nice touch.
Many times, sellers leave right before the agent and
prospective buyers arrive. In that case, adjust the heat
to a comfortable temperature and have the hearth set for
a fire. Buyers feel the warmth and see the potential,
and you don't have to worry about safety concerns.
3. Take advantage of natural light.
"Encourage showing during the high-daylight hours,"
Ledebuhr says. At this time of year, "if you show after
work, you're totally in the dark."
Make the most of the light you do have. Have the
curtains and blinds cleaned and open them as wide as
possible during daytime showings. Clean all the lamps
and built-in fixtures, and replace the bulbs with the
highest wattage that they will safely accommodate.
Before you show the house, turn on all the lights.
4. Get the windows washed.
"Buyers act on the first impression," Ledebuhr says.
Windows are one thing that many sellers don't even
consider. In winter, that strong southern light can
reveal grime and make it look like the home hasn't been
well-maintained.
5. Play music softly in the background.
To create a little atmosphere, tune the radio to the
local classical station. Turn it down so that you barely
hear it in the background. "It's soothing," says Libby,
who finds that soft classical music tends to have the
most appeal to buyers. "I think people tend to stay
around a little longer and look a little longer."
6. Make it comfortable and cozy.
Set the scene and help the buyers see themselves living
happily in this house. Consider things such as putting a
warm throw on the sofa or folding back the thick
comforter on the bed. Tap into "the simple things this
time of year that make you feel like you're home,"
Phipps says.
7. Emphasize winter positives.
Is your home on a bus route or some other vital service
that means it's plowed or de-iced regularly in bad
weather? Be sure to mention that to the buyers.
8. Set up timers.
You want your home to look warm and welcoming whenever
prospective buyers drive past. But you're not home all
the time, so put indoor and outdoor lights on timers,
Phipps says.
Look at the outside lighting around the door. Is there
enough illumination to make it inviting? If not, either
get the fixtures changed or have new ones added.
9. Make it festive.
Even if you're not actually going to be present, greet
your buyers as if they were going to be guests at a
party, Phipps says. Set up the dinner table with the
good china and silver. Have a plate of cookies for your
guests, some warm cider or even chilled bottles of
water.
"First impressions are so powerful," Phipps says. "If it
looks like you're expecting me and greeting me as
company, that's a powerful impact."
10. Give the home a nice aroma.
The No. 1 favorite? "Chocolate-chip cookies," Libby
says. "Just about everybody likes that smell."
Other popular scents: cinnamon rolls, freshly baked
bread, apple pie, apple cider or anything with vanilla,
cinnamon or yeast.
"But don't overdo it, either," Ledebuhr says. Scented
candles in every room or those plug-in air fresheners
can leave buyers wondering what you're trying to mask.
Watch the bad smells, too. Pet smells, smoke and musty
odors can cling to curtains and carpets. Ask your
real-estate agent or a friend to give it a sniff test.
Then clean the house, air it out and replace drapes,
carpets or rugs before you show it.
11. Protect your investment.
Some sellers (or their agents) will ask buyers to either
remove shoes or slip on paper "booties" over their
footwear before touring the house. Many buyers like
that, Phipps says. It indicates a "pride of ownership
and meticulousness that resonates with buyers," he says.
12. Use the season to your advantage.
While the holidays are over (and the Christmas and
Hanukkah stuff should come down), you can still use
winter wreaths and dried arrangements around the door to
spark interest. "Anything seasonally appropriate is
fun," Phipps says.
In the winter, with the leaves off the trees, you might
also have a nice view that isn't as apparent in the
spring and summer months. It's a great time to sell
waterfront properties, Phipps says. "You can see the
views better this time of year."
13. Consider the area.
In some parts of the country, such as ski areas or
warmer regions where the snowbirds flock, winter weather
can actually be a selling point. "We're right in the
middle of our selling season," says Libby, who is
located in Vermont. "It's not always spring and summer."
Fraser Valley Real Estate Board News Release
News Release: October, 2010
SEPTEMBER PREVIEWS FALL REAL ESTATE MARKET
IN THE FRASER VALLEY
(Surrey, BC)– After a slowdown in July and August,
the Fraser Valley Real Estate Board (FVREB) saw a modest
month-over-month increase in sales on its Multiple
Listing Service (MLS®) in September and a decrease in
overall inventory for the fourth month in a row.
Deanna Horn, FVREB President, says, “This is the
beginning of the fall market. Our sales, while lower
than a typical September, are up compared to the summer
and the average days to sale for single detached homes
decreased slightly compared to August.”
A total of 1,044 sales were processed on FVREB’s MLS® in
September, an increase of 5 per cent compared to 997
sales in August, however a decrease of 34 per cent
compared to 1,590 sales in September of last year. The
Board received 2,411 new listings last month, a 15 per
cent increase from August, yet a 9 per cent decrease
compared to September 2009. The Board finished September
with 9,959 active listings, 3 per cent fewer than in
August and an increase of 13 per cent compared to the
8,799 properties available in September 2009.
Horn explains, “Although consumers have 13 per cent
fewer properties to look at in Fraser Valley than they
did in May, it remains a buyers’ market with a healthy
selection, near-record low interest rates and stable
prices.
“It’s important that both buyers and sellers recognize
that as long as inventory levels continue to decline,
there is less downward pressure on pricing.”
The benchmark price for Fraser Valley detached homes in
September was $507,429, down 0.5 per cent compared to
August and 3.3 per cent higher compared to $491,404 in
September 2009.
The benchmark price of Fraser Valley townhouses in
September was $321,843, a 0.8 per cent decrease compared
to August and a 3.1 per cent increase compared to
September 2009 when it was $312,143.
Year-over-year, the benchmark price of apartments
decreased 0.3 per cent going from $240,378 in September
2009 to $239,625 last month. It remained unchanged from
the benchmark price in August.
News Entry
With only a few months left in 2010 people are
speculating on whether real estate will increase or
decrease in value. I can tell you I have heard some
great arguments for both. This year has been unique in
the world of real estate. We started the year out very
slow. People had the Olympics on their minds. There
would be time for business once the Olympics were over
with. We were told the Olympics would do great things
for our economy. Maybe they are right....in the long
run. This positive impact hasn’t been so apparent yet.
Only time will tell. Post Olympics and pre-HST the real
estate market seemed to improve from earlier in the
year. We were in a typical spring market. Buyers of new
homes were pushing to have their purchases complete
before the HST came into effect. The average home price
in the Fraser Valley was at least 10% higher in the
spring of 2010 than the average price in the spring of
2009. Things changed quite quickly as summer started and
we found ourselves in a full on buyer’s market. There
were 24.5% more listings in June 2010 as compared to
June 2009. Buyers had their pick and they were using it
to their advantage. Sellers with real motivation to sell
quickly were dropping their prices. Homes were no longer
selling for 10% higher than last year. In fact it was
reported that the average residential sale price in the
Fraser Valley in August 2010 was less than the same in
2009. Have things really improved from 2009? Many
sellers have cancelled or allowed their listings to
expire. There isn’t the selection there was two or three
months ago. I believe that there are many buyers out
there that have been waiting to see what would happen.
They felt that prices would drop after the HST came into
effect. In many cases this is true but the selection
isn’t there anymore. So although prices are lower there
may be less bargaining room. Nonetheless interest rates
are still very attractive. Many of these buyers that
have waited until now may be ready to make a move this
fall. We should see an increase in the number of sales
in the fall so there is still hope for the sellers that
would like to sell before the end of this year. Will
prices increase as well? Personally I don’t feel this is
a yes or no question. I believe in one municipality
prices may increase while the neighbouring municipality
might not have such positive results. In fact you can
see extremely different trends from one neighbourhood to
the next. We can look at statistics until our heads
hurt. What you really need to do is talk to a Realtor
who works in & knows your neighbourhood. They will have
a better feel for what is happening than some economist
working out of his or her 10th floor office in downtown
Toronto.
Fraser Valley Real Estate Board News Release
News Release: September, 2010
2nd Quietest August in Decade Presents Opportunity
for Fraser Valley Buyers
(Surrey, BC)– The Fraser Valley
Real Estate Board (FVREB) processed 997 sales on its
MLS® in August, a decrease of 44 per cent compared to
the 1,786 sales during the same month last year and 9
per cent fewer than in July, however 10 per cent more
than the 910 sales in August 2008.
Deanna Horn, FVREB President, explains, “In August,
sellers in the Fraser Valley took as much of a break as
buyers.
“Even with our slowdown in sales, we’re seeing inventory
edge lower. Since May, we’ve seen our volume of active
listings decrease by 10 per cent.”
The Fraser Valley Board posted 11 per cent fewer new
listings in August compared to the previous month, the
fourth month in a row of declining new inventory. At the
end of August, the total active inventory was 10,287, 5
per cent less than in July, however still 14.5 per cent
more than the selection available in August 2009.
Horn adds, “Our selection of homes is healthy, interest
rates remain historically low and prices are moderating,
which represent excellent conditions for buyers. We’re
currently seeing residential prices edge down
month-over-month, but remain 4.7 per cent higher than
they were a year ago.”
The benchmark price for Fraser Valley detached homes in
August was $510,107, down 0.1 per cent compared to July
and 5.4 per cent higher compared to $483,839 in August
2009.
The benchmark price of Fraser Valley townhouses in
August was $324,485, a 0.4 per cent decrease compared to
July and a 4.5 per cent increase compared to August 2009
when it was $310,389. The benchmark price of apartments
decreased by 1.9 per cent from July and increased 1.5
per cent year-over-year going from $236,146 in August
2009 to $239,659 in August 2010.
Fraser Valley Real Estate Board News Release
News Release: August 4, 2010
FRASER VALLEY HOME BUYERS TAKE
HOLIDAY IN JULY
(Surrey, BC) – The Fraser Valley
Real Estate Board (FVREB) processed 1,101 sales on its
Multiple Listing Service (MLS®) in July, a decrease of
47 per cent compared to the 2,089 sales during the same
month last year and down 39 per cent compared to June.
“Last year, we experienced the
busiest July in our history and this year it was the
quietest in a decade,” says FVREB President, Deanna
Horn. “Although the real estate market typically slows
in the summer months, we didn’t anticipate this level of
change.
“We attribute it to a combination
of factors, the beautiful weather, interest rates edging
up and reaction to the Harmonized Sales Tax in BC –
although the HST does not apply to resale housing, not
everyone knows that,” explains Horn.
“The plus side of this market is
highly favourable conditions for buyers – potentially
the best they will be this year due to the significant
volume of listings currently, which is already showing
signs of decreasing.”
In July, Fraser Valley’s MLS®
received 25 per cent fewer new listings, 2,355, compared
to the 3,153 new listings received in June. At month’s
end, the total active inventory was 10,852, 14 per cent
more than was available in July 2009, however 2 per cent
fewer than in June.
For the first time since January
2009, benchmark prices for the three main residential
property types: single family homes, townhomes and
condos, decreased compared to the previous month. The
benchmark price for Fraser Valley detached homes in July
was $510,470, down 1.5 per cent compared to June and 6.9
per cent higher compared to $477,420 in July 2009.
The benchmark price of Fraser
Valley townhouses in July was $325,856, a 0.7 per cent
decrease compared to June and a 6.9 per cent increase
compared to July 2009 when it was $304,940. The
benchmark price of apartments decreased by 0.8 per cent
from June and increased 4.4 per cent year-over-year
going from $234,178 in July 2009 to $244,368 in July
2010.
Information and photos of all
Fraser Valley Real Estate Board listings can be found on
the national, public web site
www.REALTOR.ca. Further market statistics can be
found on the Board’s web page at
www.fvreb.bc.ca. The Fraser Valley Real Estate Board
is an association of 2,980 real estate professionals who
live and work in the communities of North Delta, Surrey,
White Rock, Langley, Abbotsford, and Mission.
News Entry
News Release: July 15, 2010
It is hard to believe we are halfway through the
summer and more than halfway through 2010. The HST
has now been in effect for two weeks. It is too hard
to tell at this point what effect it will have on
the BC Economy. I am sure people will think twice
about where they spend their money. It doesn’t mean
people will stop spending altogether. I was at the
spa yesterday and can tell you the HST hasn’t
stopped people from treating themselves to a
pampering session. Although many of the restaurants
seem to have quieted down some. It is hard to
imagine the 15 – 20% tip after the 12% HST has been
added to my bill. OUCH.
Although we saw a 23%
increase in sales between May and June of this year
there was also an 8% decrease in sales between June
2009 & June 2010. The year 2009 was a slow year in
real estate. So why were there less sales this June
than last June? From my experience many buyers were
hesitant to purchase so close the implementation of
the HST. They were worried that prices would drop
significantly or there would be a major market
correction post HST implementation. We are only two
weeks in and YES we are seeing price reductions. Is
this because of the HST? Not exactly. There are a
lot of homes on the market. A lot more homes than
there are buyers. These price reductions would have
had to happen regardless. The buyers that decided to
wait to buy will buy. It is just a matter of when.
There are definitely a lot of homes for them to
choose from and the prices are becoming more
attractive every day. Interest rates are still very
reasonable.
If you are thinking about purchasing a new home
but unsure if now is the time please give me a call.
I would love to sit down with you to discuss your
options. Maybe you will be surprised what you can
afford.
It is also a great time to get into the
investment market. Looking to add a rental property
to your real estate portfolio? I see many great
rental properties every day. Some of which are
already tenanted with the rental income covering
well over the mortgage payment amount. Looking for
commercial properties or foreclosures? There are
many opportunities right now regardless of the
property type you are looking to purchase.
Enjoy the summer & the wonderful sunshine we have
been having.
Fraser Valley Real Estate Board News Release
News Release: July 5, 2010
Fraser Valley real estate market picks up in June
(Surrey, BC) – Sales processed on the Fraser Valley Real Estate Board’s Multiple Listing Service (MLS®) increased by 23 per cent in one month going from 1,477 sales in May to 1,815 in June. June’s numbers represent an 8 per cent decrease compared to the 1,982 sales during the same month last year.
Deanna Horn, president of the Board, says, “Historically, it’s not unusual for June sales to outperform May in the Fraser Valley. This has happened in nine of the last twenty years.
“However, a 23 per cent increase in one month is significant. We were busier than expected and it could be due to the combined effect of mortgage rates edging down, the Harmonized Sales Tax coming into effect July 1, as well as the tremendous selection of homes available in the Fraser Valley.
“Although we’re seeing a decrease in the number of new properties coming on stream, June buyers have only had this volume of homes to choose from two other times in our history, in 1995 and 2008.”
The total active inventory on Fraser Valley’s MLS® at month’s end was 11,110, 19 per cent more than was available in June 2009. The Board’s MLS® received 9 per cent fewer new listings in June compared to May, good news according to Horn.
“Listings typically do decrease in the summer, which will continue to stabilize the market.
“Over the last few months, we’ve seen residential benchmark prices leveling. Year-over-year, price increases may still appear dramatic depending on the property type and location because at this time last year, we hadn’t yet begun our recovery phase.
“In a stabilizing market, consumers know to rely on the expertise of a REALTOR® because prices are highly local and competitive.”
In June, the benchmark price for Fraser Valley detached homes was $518,355, a 9.9 per cent increase compared to $471,788 in June 2009.
The benchmark price of Fraser Valley townhouses in June was $328,080, a 9 per cent increase compared to $301,103 in June 2009.
The benchmark price of apartments increased by 6.6 per cent year-over-year going from $231,014 in June 2009 to $246,351 in June 2010.
Fraser Valley Real Estate Board News Release
News Release: June 28, 2010
MAJORITY
OF ATTACHED HOMES IN FRASER VALLEY FALL UNDER HST
THRESHOLD
SURREY, BC – The Fraser Valley will offer buyers of new homes noticeable savings after July 1 when the Harmonized Sales Tax (HST) comes into effect, according to the Fraser Valley Real Estate Board.
Deanna Horn, President of the board explains, “Since the majority of new townhomes, apartments, as well as select, new single family homes in our region sell for less than $525,000, the BC new housing rebate threshold in BC, the impact of the new HST will be lessened.”
On July 1, the seven per cent Provincial Sales Tax (PST) will join the five per cent Goods and Services Tax (GST) for a combined HST rate of 12 per cent. The HST will apply to the sale price of all new residential homes however; the BC government will provide a rebate up to a maximum amount of $26,250. According to the provincial government, homes that sell for up to $525,000 will cost the same or less than what they would have when only the GST applied.
“When the HST was first announced, we were concerned for our clients,” explains Horn, who represents nearly 3,000 REALTORS® working in the Fraser Valley.
“Although the HST impacts new home purchases more dramatically than resale, we’re pleased that through our lobbying efforts alongside other BC housing industry representatives, we were able to convince the government to increase both the threshold for the new housing rebate, and the amount of the rebate itself.
“The result is that most buyers of new, attached homes and select detached homes in the Fraser Valley will be able to maximize the benefit of the government’s rebate program. Just recently, I was recommending a lovely new, single family home in Cloverdale to one of my clients with an asking price of $519,000. A similar home in other Lower Mainland communities could be considerably higher in price and after July 1, will result in higher taxes because it is above the HST threshold.”
According to Canada Mortgage and Housing Corporation (CMHC), the average price of new townhomes in Surrey in May was $475,154 and in Abbotsford $403,469. The average price of new detached homes in Abbotsford in May was $532,129. CMHC also reports new apartments – 1,000 square feet in size – are selling currently on average for $294,860 in Surrey; $232,800 in Abbotsford; and, $273,880 in Langley.
HST
News Release: June 14, 2010
We are less than three weeks away from the HST
implementation. This has been a topic of choice over the
last several months. I have spoken with many individuals
and business owners with respect to the HST. Many
individuals are upset & annoyed. Even if people agree
with the new tax they disagree with how this all came
about. The business owner’s I have spoken to don’t feel
it will affect their business too much. Many pointed out
to me that their companies already charge GST & PST.
Over the next several months people may be a little
hesitant to make certain types of purchases that will
charge HST but may have been PST or GST exempt in the
past. Consumers will expect to have some kind of
discount on the price of these goods to make up for the
additional tax they will be paying. Isn’t that the point
anyway? The PST is currently embedded in the cost of
these items. Therefore if we are to pay HST on these
items shouldn’t we be allowed some kind of discount so
that we aren’t being overcharged?
I think people feel the same way about the real
estate market right now. There has been a lot of
negative press stating that prices are inflated and will
come down significantly after the HST comes into effect.
People are hesitant to buy new homes right now. If they
purchase a new home right now with their deal closing
after July 1st they will have to pay 12% tax. If they
wait will the price of that home drop? And by how much?
We can only wait and see. If the prices of new homes
drops will the prices of used homes drop as well? How
will the developers proceed? Will they include HST in
the price of the home? Keep in mind some developers are
already do include the net tax.
There is an over abundance of listings in the Fraser
Valley right now. We are seeing price reductions happen.
I assume we will see many more. HST or NO HST the
situation is the same. We are in a buyer’s market. If
sellers really want to sell they will need to price
their property accordingly. They will need to understand
that there are way more listings than there are buyers
out there. Your property CAN sell but price is going to
make all the difference.
Housing Market Push and Pull: Economic Growth Versus
Affordability
BCREA Housing Forecast - Second Quarter 2010
Read the Article...
Fraser Valley Real Estate Board News Release
News Release: June 2, 2010
FRASER VALLEY BUYERS ENJOY
ABUNDANT SELECTION
(Surrey, BC) – Property buyers continued to see an
increase in selection while sellers faced more
competition as listings grew and sales decreased on
Fraser Valley’s Multiple Listing Service® (MLS®) in May.
The Fraser Valley Real Estate Board posted 1,477 sales
in May, a decrease of 2 per cent compared to the 1,501
sales processed on the MLS® during May 2009. At the same
time, the Board received 3,457 new listings, taking the
number of active listings to 11,411, an increase of 14
per cent compared to the 10,047 listings available
during May of last year.
Deanna Horn, president of the Board, puts the numbers
into context. “May’s sales were 16 per cent below our
ten-year average, 1,760 sales for that month.
Considering how busy the market has been in the last
decade that represents solid sales activity, slower yes,
but steady.
“What’s changed most is the increase in inventory. The
last time this many homes were available on Fraser
Valley’s MLS® in May was in 1995.”
Horn adds, “Tremendous selection allows buyers the
luxury to find the right home, comparison shop and gives
their REALTORS® the ability to negotiate hard on their
behalf.
“For sellers, getting specific advice about home values
in your local neighbourhood is crucial in a competitive
market.”
In May, the benchmark price for Fraser Valley detached
homes was $515,375, a 10.6 per cent increase compared to
$465,939 in May 2009. The average number of days to sell
a detached home in May was 43 days, one day faster than
it was in May of last year.
The benchmark price of Fraser Valley townhouses in May
was $328,295, a 10.1 per cent increase compared to
$298,308 in May 2009. Townhomes in May sold on average
27 days faster than they did a year ago – 39 days
compared to 66 days in 2009.
The benchmark price of apartments increased by 8.6 per
cent year-over-year going from $232,170 in May 2009 to
$252,221 in May 2010. The average days to sell in May
for apartments in the Fraser Valley was 51 compared to
69 days during the same month last year.
May/June 2010
The real estate market in the Fraser Valley remains strong. In April there were 1793 units sold which is an increase of 38.7% over April 2009. Buyers are motivated by the upcoming HST and with interest rates increasing. Although we are seeing many sales happen we are seeing even more listings that are not selling. There is an unusually high number of listings on the market. There were 3670 new listings in the Fraser Valley in April alone. There are significantly more sellers than buyers and buyers are able to use this to their advantage. Overall the market is moving. We have seen great improvement over last year. There is still a lot of negative talk. Some people fear that the recession hasn’t come. Others feel like we are in the clear...that 2009 was the worst of what we will see here in BC. Which is it? Will the HST have a real negative effect on the housing market in BC? Will the housing market come to a standstill? Truthfully I don’t think we have that much to worry about. At first people may be a bit hesitant to buy a new home. You cannot incorporate HST into your mortgage. It has to be paid in cash. Mortgage rules have all tightened. What does this all amount to? Simply put, you will need more money in your pocket to qualify to buy
new property after July 1st. This is TRUE...but it is also NOT TRUE. The Provincial Government is offering new housing rebates of 71.43% of the provincial portion of the HST to a maximum of $26,250.00. There is also a 36% savings on the federal portion of the HST. This is a substantial savings. The government is even offering HST rebates on rental properties! On an average new home you shouldn’t notice a cost difference as long as this rebate is in effect. You can learn more about the HST by visiting this site
http://hst.blog.gov.bc.ca/faqs/new-housing-rebate/. Or contact me with any housing HST questions you might have. The most important thing is to be informed.
FRASER VALLEY REAL ESTATE BOARD
News Release: May 4, 2010
BUSY HOUSING MARKET MEANS MORE
CHOICE FOR FRASER VALLEY BUYERS
(Surrey, BC) – The Fraser Valley
Real Estate Board’s Multiple Listing Service (MLS®) saw
close to record levels of listings in April, in addition
to strong sales and prices.
Deanna Horn, president of the
Board, says, “This is a typical, healthy spring market
for the Fraser Valley. We received an abundance of new
listings in all price categories giving buyers
tremendous opportunity, while sellers saw a typical
detached home sell in an average of 40 days for 13 per
cent more than in April of last year.”
The Fraser Valley Real Estate
Board received 3,760 new listings in April compared to
2,477 new listings received during the same month last
year, an increase of 51.8 per cent. The new inventory
increased the number of active listings to the second
highest April on record, reaching 10,635, with only
April 1995, at 11,891, offering more selection.
Along with the surge in listings,
April sales remained strong, similar to the same month
in 2007 and 2008, finishing with 1,793 total units sold,
an increase of 38.7 per cent compared to the 1,293 sales
sold in April of last year when the market was beginning
to recover.
“A number of factors are
motivating buyers. Spring is one of the most popular
times of year to house hunt, plus interest rates are
edging up and buyers are inquiring about the upcoming
Harmonized Sales Tax in BC.”
Horn explains, “The Fraser Valley
will offer savings when the HST comes into effect
because many new homes in our region fall under the new
housing rebate threshold.”
Thanks to lobbying efforts by
REALTORS® and other housing industry advocates, the
threshold to receive the maximum BC new housing rebate
was increased to $525,000 from $400,000, the
government’s originally proposed limit. Horn says, “It’s
important for buyers to know that the majority of new
townhomes and apartments in the Fraser Valley cost less
than $525,000, including some single family detached
homes.”
In April, the benchmark price for
Fraser Valley detached homes was $520,423 – reflecting
all residential sales on the MLS®, of which
approximately 10 per cent were new homes. That benchmark
price is 13.1 per cent higher than it was in April 2009,
when it was $460,229.
The benchmark price of Fraser Valley
townhouses in April was $326,367, a 10.6 per cent
increase compared to $295,078 in April 2009. The
benchmark price of apartments increased by 8.3 per cent
year-over-year going from $230,337 in April 2009 to
$249,453 in April 2010.
Information and photos of all Fraser Valley Real Estate
Board listings can be found on the national, public web
site
www.REALTOR.ca. Further market statistics can be
found on the Board’s web page at
www.fvreb.bc.ca. The Fraser Valley Real Estate Board
is an association of 2,978 real estate professionals who
live and work in the communities of North Delta, Surrey,
White Rock, Langley, Abbotsford, and Mission.
MARKET FORECAST & NEWS
The BCREA reported that there were 63% more MLS® home
sales in February 2010 compared to the same month last
year and the average MLS® residential price climbed 17
percent over the same time period. In the Fraser Valley
Real Estate board we saw over 100% more sales this
February in comparison to February 2009.
Click
here to view the entire report released by the BC
Real Estate Association.
Consumer confidence has increased significantly over the
last year. One year ago there were over 7000 houses on
the market in the Fraser Valley Real Estate Board with
only about 8% of those selling. This year we have less
than 6800 listings and over 16% are selling at much
higher prices. We’ve seen prices increase an average of
10% this past year. With interest rates forecasted to
increase, the HST coming in to effect in July and new
rules from CMHC buyers are more urgent than ever. First
time home buyers are worried that if they don’t buy now
these new rules will put their home buying plans on hold
for much longer than they’d like. Are we seeing a
housing bubble form? Personally I don’t think so. Sure
we have seen twice as many houses sell this February
than last but keep in mind the market was very unstable
last year. They are still reporting ONLY 16% OF THE
HOUSES LISTED IN FEBRUARY SOLD. This is not a high
number. The consumer is more confident than last year
but many buyers are still playing it cautious. The
higher priced homes are still sitting on the market
longer and many are not selling. Some product is moving
quickly; especially homes with suites. Is right now the
time to buy? What will happen once the HST comes in?
Will the housing market slow down & prices decrease? I
cannot predict the future...having a real estate license
doesn’t make me an economist. We also need to remember
that the media doesn’t know what will happen either.
Nobody really does. What I do know is that we need to
live within our means. Don’t overextend yourself on your
home purchase. Be prepared for the unknown so that you
will still be enjoying your property in 5 or 10 years
and will (hopefully) be reaping the benefits of its
increase in value!
Real Estate in 2009
In the beginning of 2009 the real estate sales were extremely slow. It’s typical to see a slowing down of sales throughout the winter months but this was extreme. People were hesitant to purchase anything. Sales hit an all time low. Property values dropped significantly between 2008 & the beginning of 2009. Many people feared the worst. Especially those who bought their homes when prices hit an all time high in 2006. Were they going to have problems refinancing their home when the time came due? Were we going in to a recession? The media sure seemed to think so. All the signs seemed to be there. Big companies were closing their doors. Unemployment rates were hitting an all time high. Banks tightened up on the funds they had to lend. In the spring of this year sales seemed to pick up slightly. Possibly prices had hit rock bottom. Interest rates were extremely low. Some people who were unable to purchase before now found them qualifying for a mortgage. They were not going to miss out on the opportunity to own a home. Sales have been increasing steadily ever since. August and September were record breaking months for sales in the Lower Mainland. The Fraser Valley Real Estate Board reported a 122% increase between sales in October 2008 and October 2009. November has been just as incredible so far. We are experiencing a much different problem now. This new problem is lack of listings on the market. Although sales have increased prices have not increased at the same pace. That isn’t to say prices haven’t risen at all. We’ve seen prices increase incredibly just between the spring and now. Prices are still not up to what they used to be. THANKFULLY for those first time home buyers out there. Some home owners have chosen to hold off listing their properties until prices come up a little further. Needless to say the confidence in the market has come back a long way. Are we in the clear completely? I would have to say no. We cannot always completely predict what is going to happen in the future. If things continue like they have been I foresee prices to increase at a steady pace well into next summer. As these prices increase more people will list their homes for sale. There will be more stock on the market for buyers to choose from. Then the market will correct itself. Do I see prices increasing to what they were in 2006? Eventually, I do. How soon, that I am not sure. Whatever happens in the market it is up to you, the consumer, and me, your agent, to ensure you buy within your means. You want to feel secure that you will not lose your home if interest rates go up. Make sure you have some equity in your home. Be smart, just because the bank tells you that you can put as little as 5% down...do you really want to??
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Deanna Tall
Prudential