Sunshine Coast real estate sales took another giant leap forward in all segments of the housing market in August.
Although this past week, prior to writing the blog, has seen a small slowdown, I expect it to be short-lived. Let’s see how things break out:
Detached home sales
Detached home sales increased in dollar volume by a whopping 137%, over last year at this time, to $86,600,000. Unit sales are up 114% to 105 units sold! The inventory for detached homes is down 29% to 300 available properties.
This means our sales success ratio (the number of sales versus the available inventory in any given month) was 35%!!! It is considered a balanced market with this ratio between 10 – 15% …. So it is clearly a sellers’ market.
The average sale price last month was up 10% to $825,000.
Year to date, we are showing an increase of dollar volume by 46% to $338,100,000 and an increase in unit sales by 32% to 431 units sold. We are just short of the entire 2019 year total!
The average sale price for the year to date is up 10% to $785,000.
What to do in Roberts Creek BC
Roberts Creek BC has lots to do and explore. Start with a stroll or hike around Cliff Gilker Park. Then head over to the Gumboot Cafe for light lunch, fresh-baked goodies and coffee. Be prepared for an ocean swim and sunbathing by the pier and hand-painted mandala. It’s absolutely gorgeous, especially at sunset.
Condo and Townhome sales
Condo and Townhome sales saw an increase in dollar volume by 258% to $15,580,000, and unit sales are slightly ahead with an increase of 263% to 29 units sold in August. The inventory for condos and townhomes sits at 130, which is even with last year. The sales success ratio for condos and townhomes is 22%, putting this segment of the market firmly in sellers’ hands.
Year to date, we are showing that we are still down 10% in dollar volume to $47,980,000, and we are down 9% in unit sales to 96 units sold in 2020 so far.
The average sale price is down 8% to $512,000…I hesitate to include this stat as many presales were occurring this time last year in the luxury townhome market, and that fact tends to wreak havoc with the stats.
Land only
Land only sales were up by 73% to $8,330,000, and unit sales with up 187% to 23 land only properties sold in August. The inventory for land-only is down 7% to 212 properties available. Still, this means the sales success ratio is 11% putting this segment of the market into a balanced position for the first time in quite a while.
Year to date, we see that we are up in dollar volume by 9% to $28,067,000, and unit sales are up 46% to 88 units sold in 2020.
The average sale price for land-only is down 39% to $362,000; however, this statistic is skewed by some very large dollar sales in 2019.
Home Sellers get your home move-in ready
Home Sellers – there are several strategies to employ in this kind of market that can help take the guesswork out of the perennial “did I leave any money on the table?” question. With all markets, good or bad, you will do better on sale price if your home is ready to move into, and there is little or no deferred maintenance.
Home Buyers get pre-approved for financing
Home Buyers – get preapproved BEFORE you start looking and be prepared to make an offer sooner than later. We’re not in a situation where it’s an instant competition on new listings, but I have seen that happen several times over the summer.
COVID next wave
COVID – the likelihood of a second wave brings an unknown variable to the fall market. If the second wave is heavy we will see a slowdown while we isolate/shelter in place, but the market will continue to rise as we come out of that. If there is no pronounced second wave, we’ll have more fundamental variables to look for, like available inventory and demand. The future is unknown, but I’m optimistic that it’s bright!
For market information, call your REALTOR®.
Economic Fundamentals Of Housing Prices In 2021 On The Sunshine Coast BC
/in Sunshine Coast Real Estate /by russqureshiThe Sunshine Coast market continues to break all kinds of records! Did you know that we have exceeded 2019’s total dollar volume by more than $250,000,000? Yes, you read that correctly, two hundred and fifty million dollars! And, we still have December to go….lets see how this breaks out:
Detached home sales
Detached home sales surpassed last November’s dollar volume by 114% to attain a total of $74,100,000. Unit sales were up 76% to a total of 83 units sold. Available inventory is down 42% to 174 homes on the market. This means our sales success ratio is 52%!!! This is the number of sales versus the available inventory. Anything over 20% is considered a sellers’ market. I have been selling real estate on the Sunshine Coast for the past 18 years, and I have never seen the sales success ratio this high!
Year to date, we are ahead in dollar volume by 72% to a total of $581,900,000 and ahead in unit sales by 51% to 710 units sold so far in 2020.
The average home price has risen 14% this year to $820,000.
Condo and townhome sales
Condo and townhome sales are also way ahead. Dollar volume for November was up 109% to $12,350,000, and unit sales are up 104% to 23 units sold. Available inventory is down 36% to 82 units on the market. This means our sales success ratio is 28%. Not quite the same astronomical rise as the detached market, but puts this segment of the market in the seller’s hands.
Year to date dollar volume is up 26% to $93,500,000 (already surpassing the entire 2019 year by more than $20,000,00), and unit sales are up 29% to 186 units sold.
The average attached home price is actually down 5% to $497,750, but this is due to the high-value presales that occurred with several projects in 2019.
Land only sales
Land only sales are up 65% in dollar volume to $8,200,000, and unit sales are up 50% to 24 units sold in November. Available inventory is down 22% to 171 lots on the market. This puts our sales success ratio at 14%, showing we are in a balanced market for land sales.
Year to date, we have seen a 49% increase in dollar volume to $53,000,000, and unit sales increase by 63% to 155.
The average price for bare land this year is down 8% to $341,000.
Economic fundamentals of housing prices in 2021
Economic fundamentals are in play here as we move forward. Lower and decreasing inventory + higher and higher demand (coupled with the fact the second wave of Covid 19 isolation protocols create more pent up demand) + record low interest rates means we are set to see another year of record-breaking prices and, depending on available inventory, unit sales.
More than just market information, get market intelligence that you can rely on, call Russ at 604-741-7119.
Condo And Townhome Sales Surge Over 400% On The Sunshine Coast BC
/in Sunshine Coast Real Estate /by russqureshiAs we settle into Fall the real estate statistics for our little peninsula continue to amaze me! All segments of the real estate market on the Sunshine Coast BC are up in a big way!
Let’s have a look:
Fully detached home sales
Fully detached home sales surpassed last November in dollar volume by 154% to soar to $89,800,000. Unit sales are up 100% to 104 units sold in November 2020. The inventory of available homes is down 35% to 227. This puts the sales success ratio, the number of sales versus the number of available homes, at 46%….the industry considers it a seller’s market when this percentage is at 20% or higher!
Year to date we have seen an increase in dollar volume of 68% to $507,750,000 and unit sales up 48% to 627 homes sold this year.
The average home price is up 13% this year to $810,000.
Condo and Town Home sales
Condo and Town Home sales have surpassed last November in dollar volume by 494% to $16,500,000….take a moment to let that sink in… and unit sales by 425% to 34! The inventory of available condos and town homes are down by 24% to 87 units available. This puts the sales success ratio the number of sales versus the number of available homes, at 39%…very much a seller’s market!
Year to date we have seen an increase in dollar volume of 20% to $80,200,000 and unit sales have seen an increase of 26% to 163 units sold this year.
The average condo price is down 12% to $495,000. Many of the high-end presales that occurred last year account for this counter intuitive stat.
The average price of a town home is unchanged at $490,000.
Land only sales
Land only sales have skyrocketed by 373% in dollar volume to $8,405,000 and unit sales by 155% to 23 units sold in November! The inventory of available land is down 12% to 198. This puts the sales success ratio 12% putting this segment of the market in a balanced position.
Year to date we have seen a 47% increase in dollar volume to $44,700,000 and an increase in unit sales by 65% to 131 lots sold in 2020.
The average price of a land only sale is down 11% to $340,000.
Detached home sellers get your home ready for sale! I continue to see market price homes, with work to do, sit on the market too long. Those sellers that have made their home as near to move in ready as possible are selling in days and, sometimes, even hours.
The same can be said for those selling condos and townhomes….get your place ready and in good show condition!
Buyers – this is a tough market….get preapproved (fixed rates can be had for as low as 1.84 on a 5-year term mortgage) and then be ready to buy as soon as you see what you want!
For market intelligence beyond just stats call Russ or Terri with Coast Lifestyles Network!
Russ 604-741-7119 / russ@coastlifestyles.ca
Terri 604-741-7774 / terri@coastlifestyles.ca
Sunshine Coast BC Real Estate Market Continues To Explode
/in Sunshine Coast Real Estate /by russqureshiThe Sunshine Coast BC real estate market continues to “explode” late this summer and into the fall season. Those of you who regularly read my stats blog know I am not one to entertain hyperbole, but the market for last month, indeed the last five months, can aptly be described as exploding!
Let’s see how these impressive numbers play out:
Fully detached home sales
Fully detached home sales are up 125% in dollar volume to $79,800,000 and up 100% in units sold to 92….(unit sales even surpassed last month by 22 units!). Available properties are down 29% to 279 available homes for sale. Therefore our sales success ratio (the number of sales versus the available inventory) for September was 33%…clearly, sellers are dictating the terms of this market.
Year to date shows us we are up by 56% in dollar volume to $418,000,000 and up 40% in unit sales to 523 homes sold so far. We are ahead of the entire sales volume of 2019 by 16% and ahead of 2019’s entire units sold by 21 units!
The average price for a home sold in September was $867,000, and this year the average home price is up 11% to $799,000!
Condo and townhome sales
Condo and townhome sales are up 158% to $15,800,000, and unit sales are up 136% too 33. Available properties are down 20% to 96 units for sale. Therefore, the sales success ratio is 34% putting the attached market firmly in sellers’ hands.
Year to date shows a less dramatic, yet still impressive, leap from 2019. YTD dollar volume is up 5.5% to $63,800,000. Unit sales are up 13% to 129 units sold.
The average price for a condo or townhome was $475,000 last month. The average price this year is actually down by 8% to $494,500.
Land only sales
Land only sales are up 179% in dollar volume to $8,191,000, and unit sales are up 100% to 20 units sold in September. Available lots are down 10% to 208. Therefore, the sales success ratio is 9%…making this market “edge” on balanced territory.
Year to date sales show we are up in dollar volume by 26% to $36,250,000 and up on unit sales by 54% to 108 lots sold this year. The average price for a piece of bare land last month was $410,000 but is down by 17% year to date to $335,000.
I have not seen such a fast-moving market as this one…ever.
Buyers, be ready to purchase as soon as you see what you like.
Sellers, this may look like you can charge whatever you like for your property and have it in any shape.
I’m seeing that buyers are willing to pay but don’t want to have to do any work. The more you can make your home “move-in ready,” and there is little or no deferred maintenance, the better you will do on both price and time on the market.
For market stats, call your REALTOR®.
For Market Intelligence, call Russ 604-7417119 and Terri 604-741-7774!
Sunshine Coast BC Real Estate Sales Took Another Giant Leap Forward
/in Sunshine Coast Real Estate /by russqureshiSunshine Coast real estate sales took another giant leap forward in all segments of the housing market in August.
Although this past week, prior to writing the blog, has seen a small slowdown, I expect it to be short-lived. Let’s see how things break out:
Detached home sales
Detached home sales increased in dollar volume by a whopping 137%, over last year at this time, to $86,600,000. Unit sales are up 114% to 105 units sold! The inventory for detached homes is down 29% to 300 available properties.
This means our sales success ratio (the number of sales versus the available inventory in any given month) was 35%!!! It is considered a balanced market with this ratio between 10 – 15% …. So it is clearly a sellers’ market.
The average sale price last month was up 10% to $825,000.
Year to date, we are showing an increase of dollar volume by 46% to $338,100,000 and an increase in unit sales by 32% to 431 units sold. We are just short of the entire 2019 year total!
The average sale price for the year to date is up 10% to $785,000.
What to do in Roberts Creek BC
Roberts Creek BC has lots to do and explore. Start with a stroll or hike around Cliff Gilker Park. Then head over to the Gumboot Cafe for light lunch, fresh-baked goodies and coffee. Be prepared for an ocean swim and sunbathing by the pier and hand-painted mandala. It’s absolutely gorgeous, especially at sunset.
Condo and Townhome sales
Condo and Townhome sales saw an increase in dollar volume by 258% to $15,580,000, and unit sales are slightly ahead with an increase of 263% to 29 units sold in August. The inventory for condos and townhomes sits at 130, which is even with last year. The sales success ratio for condos and townhomes is 22%, putting this segment of the market firmly in sellers’ hands.
Year to date, we are showing that we are still down 10% in dollar volume to $47,980,000, and we are down 9% in unit sales to 96 units sold in 2020 so far.
The average sale price is down 8% to $512,000…I hesitate to include this stat as many presales were occurring this time last year in the luxury townhome market, and that fact tends to wreak havoc with the stats.
Land only
Land only sales were up by 73% to $8,330,000, and unit sales with up 187% to 23 land only properties sold in August. The inventory for land-only is down 7% to 212 properties available. Still, this means the sales success ratio is 11% putting this segment of the market into a balanced position for the first time in quite a while.
Year to date, we see that we are up in dollar volume by 9% to $28,067,000, and unit sales are up 46% to 88 units sold in 2020.
The average sale price for land-only is down 39% to $362,000; however, this statistic is skewed by some very large dollar sales in 2019.
Home Sellers get your home move-in ready
Home Sellers – there are several strategies to employ in this kind of market that can help take the guesswork out of the perennial “did I leave any money on the table?” question. With all markets, good or bad, you will do better on sale price if your home is ready to move into, and there is little or no deferred maintenance.
Home Buyers get pre-approved for financing
Home Buyers – get preapproved BEFORE you start looking and be prepared to make an offer sooner than later. We’re not in a situation where it’s an instant competition on new listings, but I have seen that happen several times over the summer.
COVID next wave
COVID – the likelihood of a second wave brings an unknown variable to the fall market. If the second wave is heavy we will see a slowdown while we isolate/shelter in place, but the market will continue to rise as we come out of that. If there is no pronounced second wave, we’ll have more fundamental variables to look for, like available inventory and demand. The future is unknown, but I’m optimistic that it’s bright!
For market information, call your REALTOR®.
For market intelligence, call Russ 604-741-7119 or Terri 604-741-7774.
Sunshine Coast housing market is up in a big way
/in Sunshine Coast Real Estate /by Ria QureshiSunshine Coast housing market is up in a big way across all segments!
The Sunshine Coast of BC has enjoyed its strongest month for real estate market sales in many years. After months of working from home, folks understand (as are their employers) that they can work from home and be productive!
This has caused many buyers to move up timelines and simply make the decision, to make a move to the Sunshine Coast. Let’s see how this breaks out:
Detached home market sales doubled
Detached home sales were up 99% (yes, they doubled) in dollar amount over last year. July saw $85,500,000 in sales. Unit sales were up 60% to 101 units sold. Inventory is down a full 24% to 331 available homes for sale. Therefore, the sales success ratio (the number of sales versus available inventory) is 30% making it a very HOT seller’s market. The average price for a home last month is up 24% to $845,000. Temper that with the fact that the average price so far in 2020 is up 9% to $772,000.
Year to date sales dollar amounts are up 29% to $251,500,000, and unit sales are up 18% to 326 homes sold.
Where to go in Gibsons?
If you’re planning a tour around the Sunshine Coast you’ll land in Langdale. Your first stop should be Persephone Brewing Co for micro-brewed beer and local nosh handmade with locally grown produce.
Condo and Townhome market is balanced
Condo and Townhome sales were up 17% to $8,050,000 in dollar amount. Unit sales are up 23% to 17 sales. Inventory is up 24% to 138 condos or townhomes available. Therefore, the sales success ratio is 12% bring this segment of the market back into balance from a buyer’s market.
The average price for townhome last month is up 4% to $537,000 but down for the year to date at $474,000. The average price for a condo is down 24% to $383,000 last month and down 9% to $496,000 year-to-date. This change can be accounted for all the presale condos selling on the market last year…the majority of these past months’ sales are pre-existing homes.
Bare land is a buyer’s housing market
Bare land sales are up 479% to $6,400,000 in dollar amount and up 400% in sales to 25 units sold in July. Inventory is down 6% from last year, with 216 available bare land properties. Therefore out sales success ration is 9.25%. This is still a buyer’s market territory, but we are on the cusp of a balanced market.
Year to date, we are down 5% in dollar volume to $19,750,000 and up 25% in unit sales to 65. The average price for bare land on the Sunshine Coast this year is $304,000.
The market is swinging up due to high demand!
Home Sellers, the homes that are sitting on the market, are severely overpriced and/or do not show well.
As per my usual advice, do not defer the maintenance before listing! Especially if you’re selling a rental investment…take care of and clean up your home, so it looks great. If you prepare your home, so there is minimal work for a buyer to do; you are far more likely to achieve your price in a reasonable timeframe. This goes for all segments of the selling market.
Home Buyers, be prepared!
If you require financing, make sure it is in place before you look. Sit down with your REALTOR® and get a handle on the market and be prepared to make your offer that day if you find the “right one.”
Ready to talk with a real estate agent who has local knowledge and over 15 years of experience?
Learn how to navigate the Sunshine Coast housing market with the trusted advice and market intelligence from Russ and Terri at Coast Lifestyles Network!
If you’re making the trip over from the City of Vancouver be sure to book with BC Ferries for priority loading.
See you on the coast soon!
Signs of recovery apparent in the attached real estate market on the Sunshine Coast BC
/in Sunshine Coast Real Estate /by russqureshiSigns of recovery are apparent in all categories across the board for the month of June as the economy “re-opens” in BC.
Both listings and sales for attached units were way up over both last month (3) and last year’s 10 sales. There were 14 strata sales for the entire Sunshine Coast of which 4 were in Gibsons, one of which was for the new Halyard development, and the other 10 in the Sechelt area include 2 for the new Edgewater complex.
Prices are holding steady and even the experts are not certain if a decline in pricing is in the near future. It could very well be the opposite depending on the quantity of new inventory and the number of Home Buyers that come to market. The Covid-19 melt-down has certainly got everyone guessing!
Mortgage rates are the lowest they have ever been, as 2.1% on a 5-year fixed mortgage is a possibility. So my advice is: if you see a home that suits you…go for it!
Due to the new protocols in place in the real estate world of Buying and Selling, as a Buyer’s Agent, I am happy to guide you and help you navigate these difficult times and doing so “safely”.
I will help you negotiate your best price, but be sure you have pre-approved financing in place before you make an offer. I can certainly help with some incentives you are probably not aware of, for a bonus on your accepted price.
The following is a list of new developments in Gibsons. Eagleview Heights is due to break ground this month. The Halyard is coming along and the other 3 have not yet started construction.
* Maplewood: 28 townhomes next to the Gibsons Community Centre.
* The Halyard: 12 townhomes & garden suites located between Lower & Upper Gibsons.
* EagleView Heights: 87 condos, garden suites and townhomes with gorgeous views.
* Cote: 4 luxury view condos overlooking Gibsons Marina.
* Touchstone at Gospel Rock: 49 condos and 22 townhomes for sale now, with approximately 350 homes in total to be built in this master-planned oceanfront community.
If you are considering a purchase the best time is NOW to start the process.
Call or email me directly anytime with questions about our local market.
Please check us out on Facebook, Twitter or our main website at COASTLIFESTYLES.CA
Terri Murphy / 604-741-7774 / terri@coastlifestyles.ca / Coast Lifestyles Network
ReMax City Realty in Gibsons
Sunshine Coast successful at “flattening the curve”
/in Sunshine Coast Real Estate /by russqureshiThe Sunshine Coast continues to positively amaze me with the success of “flattening the curve” and maintaining a situation where COVID-19 is not creating a foothold in our community. Couple this with the fact that the ALL SEGMENTS OF THE MARKET are producing significantly more sales than last year, and we see this is where many folks want to live!
Let’s see how it breaks out:
Fully-detached home sales
Fully-detached home sales are up this month by 88% in dollar volume to $58,500,000 and up by 70% in unit sales to 75 homes sold in June!
Year to date has us up 9% in dollar volume to $166,200,000 and up 5% in unit sales to 225 homes sold in 2020! Our available inventory of homes is down 30% (explaining much of the quickness of this market) to 329 homes.
Therefore our sales success ratio is 23%! We are experiencing a “seller’s market” territory! The median sale price for a home last month (the house that sold right in the middle of the pack) was $650,000.
The average cost for a home on the Sunshine Coast BC this year is up 3% to $738,000.
Condos and townhomes sales
Condos and townhomes sales are up this June by 40% in dollar volume to $6,510,000 and up by 23% to 13 homes sold!
Year to date is a different story after 2019’s run on attached homes. We are down by 41% in dollar volume to $24,350,000 and down 24% in unit sales to 50 units sold this year. Our available inventory of attached homes is up 5% to 119.
Therefore the sales success ratio last month was 11%, putting this segment of the market in a balanced but “leaning toward buyers” position. The median sale for a condo/townhome last month (the house that sold right in the middle of the pack) was $437,000.
The average price for a condo/townhome this year is $490,000.
Land-only sales
Land-only sales are up from last month by 74% to $5,250,000, and unit sales grew 77% to 16 lots sold, a great leap up for this segment of the market.
Year to date, we still lag far behind 2019 with a 32% reduction in dollar volume to $13,350,000 and 14% fewer sales for a total of 40 lots sold in 2020.
The available inventory for land-only is down 4% to 216 units. The sales success ratio is 7% leaving this segment of the market in buyers’ hands. The median sale for a land-only property last month was $370,000.
The average price for land-only units this year is $330,000.
Demand for property on the Sunshine Coast, especially detached homes, is high this summer!
Sellers – Buyers are mostly looking for a move-in ready space, so take a week before listing to make sure your home is show-ready. Complete any deferred maintenance, make the garden/yard look good and have a plan in place for what happens when you sell!
Buyers – Be ready to move quickly! Have your financing options taken care of and, when you find the right one, don’t hesitate with an offer. It’s not a market where one has to write an offer the moment they walk out the door of the viewing, but don’t wait a week either!
For information, call your REALTOR®.
For market intelligence, get in touch with Russ or Terri!
Practicing COVID-19 Safety Protocols During Home Showings
/in Sunshine Coast Real Estate /by russqureshiIn these challenging times of the COVID-19 pandemic, we are taking active measures to ensure all our clients are confident in working with us.
While some of our business operations have veered from the traditional methods you may be used to, our commitment to your success is unwavering.
In adhering to the new protocol of safety measures and social distancing practices, we encourage most of our Home Buyers to initially search from home with our help and view properties on the internet with MLS details, Photos and Virtual Tours.
Physical viewings can still be arranged for most properties for genuinely serious Buyers. When we enter homes to visit Sellers or view homes with Buyers, the following applies.
We expect our clients will understand and adhere to these protocols, as we do, in the name of maintaining safety and health standards in our community.
BE SAFE….BE KIND….and STAY HEALTHY!
Now, best time to start the home buying process on the Sunshine Coast BC
/in Sunshine Coast Real Estate /by russqureshiCondo and Townhome Update for May 2020
Although May sales activity was far below average (as a result of Covid-19), there were encouraging signs of recovery, as both listings and sales were up over last month. There were, however, only 3 strata sales for the entire Sunshine Coast, of which 2 were in Gibsons and none of which were for Gibsons’ brand new developments below.
* Maplewood: 28 townhomes next to the Gibsons Community Centre.
* The Halyard: 12 townhomes & garden suites located between Lower & Upper Gibsons.
* EagleView Heights: 87 condos, garden suites and townhomes with gorgeous views.
* Cote: 4 luxury view condos are overlooking Gibsons Marina.
* Touchstone at Gospel Rock: 49 condos and 22 townhomes for sale now, with approximately 350 homes in total to be built in this master-planned oceanfront community.
Gibsons Northwoods 55+ complex and Parkrise saw the only 2 sales. To date, there are about 60 attached units available in Gibsons. Touchstone will be releasing their home sites for sale in the very near future, so stay tuned in or call me for more info.
I hope you are all healthy and doing well.
The market is definitely starting to pick up, and we are seeing huge activity in the past few weeks.
Many of you might have questions about the market and how to Buy & Sell safely. We have created a safety protocol for all our clients. As the economy “re-opens” and measures to mitigate the spread of Covid-19 ease, we expect home sales to rebound, aided by record-low mortgage rates and pent-up demand.
Current prices are determined by the reaction of supply and the impact of the pandemic. So far, we see the new listing inventory translating to home prices remaining relatively firm for 2020 with a possible increase going into 2021.
So if you are considering a purchase, the best time is NOW to start the process. Get a preapproval from your Lender, as we see multiple offers on value-priced properties.
I am a Buyer Specialist and will be happy to guide and represent you in your search. Call or email me directly anytime with questions about our local market. ⬇︎⬇︎
Please check us out on Facebook, Twitter or our main website at COASTLIFESTYLES.CA
Terri Murphy
604-741-7774
terri@coastlifestyles.ca
Coast Lifestyles Network – ReMax City Realty in Gibsons
May a hectic month for real estate sales on the Sunshine Coast despite the pandemic
/in Sunshine Coast Real Estate /by russqureshiDespite the hectic month for sales on the Sunshine Coast, the COVID-19 pandemic is showing a pronounced effect on sales across the board.
Let’s see how it breaks out:
Detached sales for May are down 42% in dollar volume to $19,000,000, and unit sales dropped 40% to 28 homes sold. You can tell folks are “cocooning” as available inventory is down 29% to 312 units. The sales success ratio is 9% (meaning 9 out of every 100 available properties are selling), putting us in a buyer’s market but very much on the cusp of a balanced market.
Looking at the year to date numbers, we are down only 11% in dollar volume to $107,600,00, and the same in unit sales to 150 units sold this year. The average home price remains unchanged at $717,000.
Condos & Town Home sales for May are down 86% in dollar volume to $950,000….unit sales closely match with being down 80% to 3 units sold. Inventory is up 12% to 107 available units. The sales success ration is 2.5; clearly, the buyers are controlling this segment of the market.
Looking at the year to date numbers, we are down 51% in dollar volume to $17,850,000 and down 44% in unit sales to 37 units sold this year. The average sale price for a condo or townhome is down 12% to $482,000. Look for the year to date numbers to fall further as we are not having the robust pre-sales of some exciting local developments that we had last year.
Land only sales for May, as expected, are down 74% to $1,750,000 in dollar volume. Unit sales tumbled 46% to 7 units sold in May while inventory grew slightly to 227 units. The sales success ratio is 3%.
The year to date numbers, we are down 51% to $8,050,000 in dollar volume and down 36% in unit sales to 24 units sold this year. The average price for a piece of bare land this year is down 23% to $336,000.
The drop in sales was not unexpected as we enter the third month of the pandemic protocols. The detached portion of the market remains strong, and I see no less than a dozen pending sales in our office!
Home Sellers: be nimble with decision making and be prepared to negotiate when that offer does come.
Home Buyers: be prepared to make the deal they want now. Beware of waiting for the “bottom to drop out” of the market. I have seen buyers take this attitude at different times over my 17 years in the business, and everyone tends to wait too long, i.e. the market may dip slightly yet, but by this time next year, you’ll wish you bought instead of waiting. Interest rates are even crazier than in previous years–imagine locking in a ten year fixed around 3.5% or a variable at 2.5%.
People ask me what kind of ongoing effect the pandemic will have on the coastal market
That’s hard to tell. If we see a minimal second wave for the virus, I think we will recover quickly and see minimal slow down in the real estate market. If we experience a pronounced second wave over the summer, with the ongoing relaxation of protocols, then the entire economy will have to readjust, and that will include the real estate market.
For more information, contact your realtor. For market intelligence, contact Russ or Terri at Coast Lifestyles Network.