Looking back at 2022-A year of caution in the real estate market

Sunshine Coast Real Estate Statistics December 2022 and Year End

After seeing record sales and prices during the pandemic, the Sunshine Coast housing market experienced a year of caution in 2022 due to rising borrowing costs fueled by the Bank of Canada’s ongoing battle with inflation. “The headline story in our market in 2022 was all about inflation and the Bank of Canada’s efforts to bring inflation back to target by rapidly raising the policy rate. This is a story we expect to continue to make headlines into 2023, as inflationary pressures remain persistent across Canada,” Andrew Lis, REBGV’s director of economics and data analytics, said. I concur…. let’s see how last month and 2022 as a whole breaks out:

Fully detached sales were down in dollar volume by 65% to $19,200,000, and unit sales were down 56% to 20 homes sold in December. Our available inventory is up 154% from last year to 186 homes. This means our sales success ratio is 11% putting the market in buyers’ hands.

Year to date, we are down in dollar volume by 34% to $572,800,000, and unit sales are down 39% to 502 homes sold in 2022.

The median sale price last year was $999,000.

Condos and Townhome sales were down in dollar volume by 53% to $2,750,000; unit sales were down 56% to 5 units sold in December. Our available inventory is 29% to 51 available attached homes. This means our sales success ratio is 10%, putting this market segment in buyers’ hands.

Year to date, we are down in dollar volume by 43% to $84,100,000, and unit sales were down 50% to 129 attached homes sold in 2022.

The median sale price for a condo or townhome was $605,000.

Land-only sales were at zero for December.

Year to date was down in dollar volume by 43% to $71,400,000, and unit sales were down by 51% to 114 properties sold in 2022. Our inventory for land only is up 59% to 288 available properties.

The median sale price for land-only properties was $449,000.

Many folks in the market to buy are continuing with the “wait and see” game…..unspent demand continues to build, and we’ll see how this plays out over the winter and spring months. Jon and I think we will need to see a catalyst(s) to bring confidence to buyers in the short term. For example, news stories and press releases say inflation is being held in check or is less than expected for a given month. Additionally, the Bank of Canada announced that they are holding rates steady. These factors will set a spring rush and allow us to return to a more familiar Sunshine Coast sales cycle for the foreseeable future.

Call Russ or Jon anytime for solid real estate advice backed by market intelligence!

 

Russ Qureshi, PREC 604-741-7119

Jon McRae, PREC 604-740-6263

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