Posted on
March 2, 2009
by
Mark Roozendaal (Re/Max Camosun)
Each spring we have historically seen an increase in the number of properties sold and, for the last several years at least, an increase in the median price as well. But, this year all bets were off. The market has been quite volatile, with the overall trend in volume and price being down.
However, February was a pleasant surprise. In the office the phones were much busier and we could see more deals being put together. The month end VREB results backed up what we were feeling. Overall, the number of units sold was up 63% from January. Of course, we expect February to be better than January, but not by that much!
The number of single family homes sold increased by 56% with a 2% increase in the median price. Yes, I did say an increase in price. The current median price is still well off the peaks of 2007 and 2008.
A whopping 75% more condos sold in February than in January but prices still seem to be softening, although not by much anymore. The median price for the last four months has hovered between $250,000 and $259,000.
Townhouses posted the smallest increase in volume at 37% - more inline with what we would expect as we move from the Winter to the Spring buying season. The median price continues to hover between $360,000 and 380,000, where it has been stuck for more than half a year.
There is something for everybody in here. The stabilizing pricing helps sellers set an asking price that will attract buyers. The increasing volume shows buyers that property is selling, and that sitting on the sideline too long means that the home they really want may sell to someone else. The low mortgage rates and availability of credit is the grease for the wheels that makes the transactions possible, and affordable.
