Dollar volume and unit sales continue to decline in the detached market while the condo and townhome market saw a big jump in both dollar volume and sales last month. Let’s see how this breaks out:
Detached home sales
Detached home sales were down in dollar volume by 21% compared to last year for a total of $21,100,000. Units sales were down 30% to 29 homes sold. Year to date we seem to be closing the gap! Dollar volume is down only 18% to $88,500,000 and unit sales are down only 22% to 122. Inventory has jumped up 25% to 381 units available. The success ratio, or the amount of sales versus available inventory, for detached homes is 8% putting the detached home market firmly in the hands of buyers. All this said the average home has increased in value by 4% to $725,000.
Condos and Townhomes
Condos and Townhomes show a rosier result with dollar volume up by 34% to $11,300,000. Unit sales are up only slightly by 5% to 18 units. This “weirdness” can be accounted for by presales in a Gibsons project/development. Year to date numbers shows we are closing the gap in this portion of the market as well. Dollar volume is up by 15% to $29,700,000. Unit sales are down slightly by 10% to 51. Available inventory is up 38% to 88 units available. The success ratio is 20% putting the attached market in sellers hands. The average price, again skewed by some of the high-end presales, is up 11% to $575,000.
Bare land is down in dollar volume by 78% to $700,.000 and down 86% in unit sales to 2…bare land properties sold in April….Year to date is not quite as pronounced with a reduction in dollar volume by 50% to $9,850,000 and unit sales closely matching that by being down 54% to 25 units sold this year. Inventory is up 13% to 206. The success ratio for bare land is less than 1%. The average price of a property this past month was $350,000.
Seasonality of the real estate market
The seasonal cycle is back and showing in the detached and attached statistics. We should see a further closing of the gap and good numbers over the next month. I’m at a loss as to why only 2 bare land sales occurred last month but let’s call it an anomaly and we’ll see how that plays out next month.
Detached home sellers MUST COMPETE on price with other listings and should be looking at sales going back only to the beginning of the year to reference value.
Attached home sellers can continue to push the envelope on price if they want to chance it. If you want to be sure of a sale in the shortest time (and there can be lots of value in that!) then be competitive on price!
Bare land sellers should hold off. If you have no choice but to sell then keep the price sharp and be prepared to be on market for a while….that said, larger view lots are always in demand.