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A “tapping of the brakes” for residential real estate on the Sunshine Coast in August

August saw a continued “tapping of the brakes” across all sections of the residential Real Estate market on the Sunshine Coast. We are still way up over last year at this time but trending toward a slowdown overall.

Let’s see how this breaks out:

Fully detached sales

Fully detached sales were down in dollar volume from last year by 17% to $71,750,000 and unit sales by 36%, down to 67 units sold in August. Compared to last month, we are down 10% in dollar volume and 13% in sales. Our inventory in this market segment is down by 45% from last year to 163 homes for sale. This means our sales success ratio, the number of sales versus the available inventory, is 41% – still very much a sellers’ market. Compared to last month, inventory is down by 12%!!! This lack of inventory continues to drive the higher price points.

Year to date tells the story we are becoming used to…dollar volume is up 111% to $532,000,000 and up in sales by 60% to 522 homes sold this year.

The average price for a home on the coast remains unchanged from last month but up from last year by 31% to $1,017,000.

Condo and townhome sales

Condo and townhome sales were up in dollar volume by 5.5% to $16,500,000, and unit sales were even at 23 compared to last year at this time. Compared to last month, we are way up in dollar volume by 49% and 48% in unit sales. Our inventory in this market segment is down from last year by 57% to 56 available condos or townhomes for sale. The sales success ratio for this portion of the market is equal with the detached market at 41%….a sellers’ market! The inventory for August was down 15% from July.

Year to date is up in dollar volume by 56% to $108,750,000, and unit sales are up 47% to 180 units sold so far this year.

The average price for a condo or townhome is up 12% to $572,000.

Land only sales

Land only sales were up in dollar volume by 116% to $18,050,000, and unit sales were down 13% to 20 lots sold….that tells us something about the average price! We are up in dollar volume by 52% and unit sales by 30% compared to last month. Our inventory for bare land is down from last year by 47% (and down from last month by 9%) to 111 lots available. This means the sales success ratio is 18% which puts the market, just, in the hands of sellers.

Year to date is up in dollar volume by 259% to $101,000,000 and unit sales by 110% to 185 units sold in 2021 so far.

That average price from a bare land property is up 71% from last year to $545,000.

Inventory continues to be the single most deciding factor when it comes to buyer’s willingness to pay the prices we see recently…

Buyers – we are not seeing as many competitive offers but be prepared. If you require financing, make sure you have done the paperwork with your lender so you are ready with true preapproval and your purchase needs only appraise at the agreed-upon price.

Sellers – buyers will buy quickly but make sure your home is show-ready, and you have dealt with any deferred maintenance.

Of course, strategies for success are based on many personal variables as well, so give me a call, and we can chat! Call Russ Qureshi at 1-604-989-2253 or send him an email with your questions to russ@coastlifestyles.ca