Sales Activity: A Slight Decline
In August 2023, the Fraser Valley real estate market saw a slight decline in sales compared to the previous month. According to data from the Fraser Valley Real Estate Board (FVREB), there were 1,273 sales recorded in August, marking a 6.9 percent decrease from July 2023. Despite this decline, it’s important to note that sales were still significantly higher compared to August 2022, with a substantial increase of 25.2 percent year-over-year.
New Listings: A Decrease Continues
The trend of decreasing new listings observed in July continued into August. In August 2023, there were 2,622 new listings in the Fraser Valley, representing an 8.2 percent decrease compared to July. However, when compared to the same period last year, new listings remained robust, showing a remarkable increase of 28.2 percent.
Active Listings: A Steady Rise
Active listings have been steadily increasing in the Fraser Valley since December, and August was no exception. The region had 6,291 active listings, which marked a modest 1.5 percent increase from July 2023. This brought the total inventory available for sale to a level just 7 percent off the ten-year average, indicating a balanced market.
Market Segmentation: Balanced and Strong
In August 2023, the Fraser Valley real estate market continued to show different dynamics across various property types:
- Detached Homes: The market for detached homes maintained a balance between supply and demand, with a sales-to-active-listings ratio of 16 percent.
- Townhomes: Demand for townhomes remained strong, with a sales-to-active-listings ratio of 38 percent.
- Apartments: The apartment segment also displayed healthy demand, with a sales-to-active-listings ratio of 32 percent.
These ratios suggest that townhomes and apartments were in higher demand compared to detached homes during this period, a trend that continued from the previous month.
Benchmark Prices: Relatively Stable
Benchmark prices in the Fraser Valley remained relatively stable in August 2023, with gains of less than one percent across all property types when compared to July. This stability in prices indicated that despite the changing market dynamics, property values in the region were holding steady.
August 2023 continued to reflect the cautious sentiment prevalent in the Fraser Valley real estate market, with slight declines in sales and new listings. However, the market remained robust when compared to the same period last year. With interest rates and provincial housing strategy initiatives in focus, both buyers and sellers were advised to consult with professional REALTORS® to assess their options carefully. As we head into the fall months, the Fraser Valley real estate market is expected to regain momentum, and it will be interesting to track its evolution in the coming months.