October 29, 2008 

Consumer confidence key to housing market conditions: BCREA fall Housing Forecast now available

According to BCREA’s fall Housing Forecast, BC MLS® residential sales are forecast to decline 28 per cent from 102,805 units in 2007 to 73,700 units this year. A modest 4 per cent increase to 76,500 units is forecast for 2009.

“The erosion of consumer confidence that began with rising fuel prices earlier in the year is continuing, as the global financial crisis and volatile equity markets have BC households concerned about their own finances,” said Cameron Muir, Chief Economist.

A weaker provincial economy is expected to increase the jobless rate from 4.4 per cent this year to 4.9 per cent in 2009. “While some job losses will occur next year, BC households will remain on a relatively solid financial footing,” added Muir.  

The average MLS® residential price is forecast to increase 3 per cent to $453,000 this year. However, home prices peaked in the first quarter and have been edging lower for several months. For 2009, the average price is forecast to decline 9 per cent to $413,000, with most of the decrease having already occurred by the end this year.

Downward pressure on home prices is expected to ease by the second quarter of 2009, as an increase in affordability and consumer confidence induces a modest growth in sales. The inventory of homes for sale is also expected to decline in the coming months as potential home sellers delay putting their homes on the market until conditions improve. 

Issued twice per year, the Housing Forecast analyzes the BC economy and housing markets, including detailed forecasts by home type of the province’s 12 real estate board areas.

Read the news release: www.bcrea.bc.ca/news_room/2008-10-29Forecast.pdf.   

Copyright British Columbia Real Estate Association. Reprinted with permission.  BCREA makes no guarantees as to the accuracy or completeness of this information.

September 10, 2008

The Shuswap division of the Okanagan Mainline Real Estate Board (OMREB) reported that total MLS® sales for August 2008 were down 42% for number of units sold and down 43% for dollar value sold compared to August 2007.

Average Sold Prices for Salmon Arm and area, Year to Date 2008 (2007):

Salmon Arm SE	$363,904	($332,460)
Salmon Arm NE	$353,208	($322,576)
Salmon Arm NW	$300,000	($214,000)
Salmon Arm SW	$370,090	($384,708)
Blind Bay	$425,404	($392,856)
Eagle Bay	$210,000	($382,566)
Sorrento	$194,285	($294,555)
Sicamous	$326,091	($316,298)
Salmon Valley	$304,500	($283,000)
Tappen / Sunnybrae	$318,333	($372,550)

Listing inventory is at a record high, although August saw a decrease in units listed compared to last year.  Currently there are 1776 active MLS® listings.  Buyers now have more choices when purchasing property, and are taking more time when deciding to buy.

REMAX continues to be 'Above the Crowd' with a listing market share in the Shuswap of 43% and sales through REMAX affiliates at 42%.

Source:  OMREB August 2008 Statistics