Category: B.C. Real Estate News

BCREA 2022 Third Quarter Housing Forecast Update

Vancouver, BC – September 8, 2022. The British Columbia Real Estate Association (BCREA) released its 2022 Third Quarter Housing Forecast Update today.

Multiple Listing Service® (MLS®) residential sales in BC are forecast to decline 34.4 per cent from a record high 2021 to 81,900 units this year. In 2023, MLS® residential sales are forecast to fall an additional 5 per cent to 77,790 units.

“Mortgage rates have risen at a much faster rate and to a higher level than previously anticipated,” said BCREA Chief Economist Brendon Ogmundson. “Faced with a dramatic shift in the cost of borrowing, housing market activity is likely to fall well below normal over the next year.”

Weaker sales and rising inventory mean that some regions, largely in more expensive markets, have tipped into buyers’ market territory. Consequently, average MLS® home prices have come down from peak levels.

While the housing market is currently feeling the weight of higher interest rates, the downturn is unlikely to be long-lived as BC’s strong population growth combined with extremely favourable demographics means there will be no shortage of demand for housing in the province.

To view the BCREA Housing Forecast Update PDF, click here.

Click here to visit to BCREA’s website. To view other statistics for the Kamloops and BC real estate market click here.

If you want to be kept informed on Kamloops Real Estate, News and more visit our Facebook Page.

To search for Kamloops real estate and homes for sale click here.

Vancouver, BC – July 12, 2022. The British Columbia Real Estate Association (BCREA) reports that a total of 7,136 residential unit sales were recorded by the Multiple Listing Service® (MLS®) in June 2022, a decrease of 35.7 per cent from June 2021. The average MLS® residential price in BC was $951,105, a 4.6 per cent increase from $909,657 recorded in June 2021. Total sales dollar volume was $6.8 billion, a 32.8 per cent decline from the same time last year.

“While a still growing economy and robust population growth point to strong demand, it is increasingly difficult to satisfy that demand at current interest rates,” said BCREA Chief Economist. “As a result, sales activity across the province, but especially in more expensive markets, continues to slow.”

For the second straight month, year-over-year provincial active listings rose, with listing in June 16.4 per cent higher than this time last year. While active listings remain below what is typical for a balanced market, some markets and housing types have tipped into balanced or even buyers’ market territory as sharply higher mortgage rates push potential buyers to the sidelines.

Year-to-date, BC residential sales dollar volume was down 17 per cent to $53.5 billion compared with the same period in 2021. Residential unit sales were down 27.6 per cent to 51,202 units, while the average MLS® residential price was up 14 per cent to $1.05 million.

Click here to visit to BCREA’s website. To view other statistics for the Kamloops and BC real estate market click here.

If you want to be kept informed on Kamloops Real Estate, News and more visit our Facebook Page.

To search for Kamloops real estate and homes for sale click here.

BCREA released it’s latest Housing Market Update for June 2022. Chief Economist Brendon Ogmundson discusses the May 2022 statistics.

Mortgage rates have rapidly increased and have reached their highest level since 2009. Due to the changing interest rates home sales in BC are returning to a more average activity level. BC home sales in May were 8,214 units which is down 35.1% from May 2021 and 12% from April which is seasonally adjusted. There are 4.4% more active listings in the province than this time last year. This is the first year over year increase in active listings since 2019. As sale activity slows, the inventory of active listings will normalize. Markets will likely reach a healthy level of listings in 8-12 months in most markets. The sales to active listings ratio was 30% in May which has driven the markets closer to a more balanced market.

The MLS average price for BC was up 9.3% year over year in May. Fewer expensive homes are selling this year compared to last year due to many economic factors. Because of this the average price of homes has come down as a result of the changing composition of home sales.

Kamloops specifically saw 286 units sales which was a 28.5% decline year over year. The average price was up 18.7% to $641,232. The year over year change was very similar to what was seen in the Okanagan for unit sales however Kamloops saw a larger year over year change in price. Active listings in the city are up 26.2% to 849. This equates to 3 months worth of supply.

It is a challenge to compare the sales to the past year or two as the real estate markets in BC and all over Canada saw huge growth. Low interest rates and Covid related policies have fueled the market. Buyers found that they had more money during these times as it was much more difficult to travel and spend substantial amounts of money. It appears our market volumes are returning to pre-pandemic levels where the market was more balanced and not frantic like we have seen over the past year or so.

Click here to visit to BCREA’s website. To view other statistics for the Kamloops and BC real estate market click here.

If you want to be kept informed on Kamloops Real Estate, News and more visit our Facebook Page.

To search for Kamloops real estate and homes for sale click here.