Housing demand eases as inventory drops while prices remain high

The Sunshine Coast real estate market is realizing our seasonal slowdown. Fully detached and Land only properties are down a wee bit from last year’s totals, and the Condo/Townhome market is up! Let’s see how it breaks out:

Fully detached sales are down 7% in dollar volume to $68,750,000, with unit sales down 33% to 55 homes sold in November.  This stat shows the increase in value of each unit and how significant that has been over the recent past. 

It’s interesting to note, too, that we are only down $1,000,000 from last month’s dollar volume (approximately 1.3% lower), but we sold 8 fewer homes (approximately 12% less).  The available inventory is down 40% to 104 homes for sale…Therefore the sales success ratio (the number of sales versus the available inventory) is 53% keeping the detached market in sellers’ hands. 

Year to date, we are still up in total dollar volume by 40% to $820,000,000 and up 9% in unit sales to 777. 

November’s average sale price (total dollar volume divided by total sales) was $1,250,000, while the average sale price year to date is $1,054,000. 

Condos and Townhome sales are up in dollar volume by 18% to $12,350,000, and unit sales were down by 3% to 23 homes sold last month. As with the detached stat, this clearly illustrates the increase in value. 

Compared to last month, we are up 34% in dollar volume! The available inventory for the market segment is down 55% to 37 homes. Therefore, the sales success ratio (the number of sales versus the available inventory) is 51% keeping the attached market in sellers’ hands.

Year to date, we are up in dollar volume by 35% to $141,975,000 and unit sales by 25% to 249 condos or townhomes sold so far this year. 

November’s average sale price is $612,000, while the average price year to date is $570,000.

Land only sales are down in dollar volume by 5% to $7,700,000 and unit sales by 41% to 14 lots sold in November.  We are up 49% in dollar volume and up 40% in unit sales compared to last month. 

The available inventory for land is down 49% to 86 available units.  Therefore, the sales success ratio is 16%, giving this market segment some balance.

Year to date, we are up in dollar volume by 132% to $123,000,000, and units sales are up 46% to 227 lots sold in 2021 so far.

November‘s average price is $550,000, while the average year-to-date price is $540,000.

While demand eases, inventory continues to drop, causing prices to remain high and continue to climb in many cases.

Sellers are in control, but realizing a quick offer at or over the asking price requires thoughtful planning and preparation.

Buyers need to be prepared to act quickly and robustly to acquire the property they want…..there are rumours of increased interest rates next year that would affect the market strongly.  There are also rumours of the Provincial Government implementing a “cooling off” period for buyers (one of the strangest “sounds good” ideas I’ve heard in my career) in 2022.  More on both of those potential eventualities in my 2021 year-end review coming in early January. 

For market statistics, call your realtor. For market intelligence, call Russ Qureshi at Coast Lifestyles Network 604-741-7119.