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Home sales decline 23% and buck the upward summer trend

The Sunshine Coast Real Estate market endures a small setback in August…..!

The detached market showed a significant decrease in sales last month while the condo and townhome and land only markets were up.  Let’s see how it breaks out:

Detached home sales

Detached home sales in August showed a decline of 23% in total dollar volume to $36,500,000 and unit sales were down 9% to 49 unit sold.  Available inventory is up 10% to 428 homes.  This means the sales success ratio (or the number of sales versus the available inventory) was 11% This shows us detached homes are in a balanced market but only just…if this ratio dips to 10% or less it will be considered a buyers market.  Year to date we are down 19% in dollar volume to $231,300,000.  Unit sales are down 15% to 325.  The average sale price over the year has been $712,000 which is down 4% compared to last year.

Condos and Townhome sales

Condos and Townhome sales in August showed a marked increase in dollar volume of 96% to $6,050,000 and unit sales were up 38% to 11.  (There were two penthouse unit sales for 1.1 and 1.2 million respectively).  Available inventory is way up (including presale units with several new developments) by 63% to 132.  This means the sales success ratio was 8 %.  That puts the attached market in the buyer’s hands. Year to date dollar volume is actually up by 11% to $53,200,000. Unit sales are down 8% to 100. (again, the discrepancy can be accounted for the higher end sales skewing the dollar volume results).  The average sale price is very skewed by those high-end sales so I will not include the average sale price as it does not make the picture any clearer.  Contact us for specifics anytime.

Land only sales

Land only sales in August show some unexpected results.  Dollar volume is up 100% to $4,800,000.  This statistical strangeness is due to a large property being sold in Princess Louisiana Inlet for $3,000,000.  As an aside, this sale was completed through a grass routes crowdfunding campaign to maintain the property in its wild state! Unit sales up 33% to 8.  Available inventory is up 10% to 229.  This means the sales success ratio is 3.5%….this market continues to be a buyers market. Year to date dollar volume is down 37% to $25,700,000. Unit sales are down 44% to 60.  The average sale price for land this year is $427,000.

Results buck the upward trend

The August market is traditionally slow on the Coast with most buyers and sellers enjoying the summer and it’s leisure activities (realtors, too).  Nonetheless, these results buck the upward trend from June and July.

Sellers in all segments of the market need to continue to be cognizant of pricing.  Not only realistically to what is happening in the market but competitively if the timing is an issue for you. Make your home showable! Have your realtor come around to get fresh eyes on your home and listen to what they say regarding making your home ready for market.  The number of homes Terri and I see that is asking top of market prices but are in need of a major freshening up is astounding.  It’s not the seller’s fault as we all know we can and do stop seeing all the little faults (cosmetic or otherwise) in our homes over time.  These small issues are something that a buyer sees right away and can affect decision making early.

Buyers who are actively looking are encouraged to write the offer that works for you when you find the right home.  Your realtor should have a sense for where pricing it at for what you are looking at and can give you a realistic idea of where value is today.

For market information contact your realtor. For Market Intelligence contact Russ or Terri with Coast Lifestyles Network!