In September, the Fraser Valley Real Estate Board (FVREB) processed 897 sales on its Multiple Listing Service® (MLS®), a decrease of 11.8 percent compared to last month and a 51.9 percent decrease compared to this time last year.
The Board received 2,273 new listings in September, an increase of 11.1 percent compared to August, and only 2.9 percent less than September 2021. The month ended with a total active inventory of 5,805, a decrease of 1.1 percent from last month but up by 52.3 percent compared to September 2021. Once again, September saw a balanced market in the Fraser Valley with an overall sales-to-active ratio of 15 percent (the market is considered balanced when the sales-to-active ratio is between 12 percent and 20 percent).
“There’s no question that interest rates continue to be a primary factor in the market trends over the past six months or so,” said Sandra Benz, President of the Fraser Valley Real Estate Board. “The sales slowdown we’re seeing reflects a level of caution exercised by buyers, who are likely waiting for the market to settle further before jumping in. In the meantime, we anticipate prices may continue to decline across all categories.”
Weaker demand in the face of interest rate hikes, continued to bring downward pressure on Benchmark prices across all property categories. Prices have been falling steadily since late spring and, in the case of detached homes, are at October 2021 levels.
“It’s encouraging to see inventories start to rise in the region, however slight,” said Board CEO Baldev Gill.
“Adequate supply is a key underpinning of a vibrant and equitable housing market – not just in the Fraser Valley, but throughout the province. As we meet with candidates during the upcoming municipal elections and later on this month with MPs in Ottawa, FVREB Realtors will continue to press for swift action on this fundamental issue.”
Across the Fraser Valley in September, the average number of days spent on the market before selling continued to increase: 34 days for a single-family detached, 32 for townhomes, and 30 for apartments.
MLS® HPI Benchmark Price Activity
• Single Family Detached: At $1,462,000, the Benchmark price for an FVREB single-family detached home decreased 3.4 percent compared to August 2022 and increased 4.1 percent compared to September 2021.
• Townhomes: At $822,400, the Benchmark price for an FVREB townhome decreased 2.3 percent compared to August 2022 and increased 11.6 percent compared to September 2021.
• Apartments: At $530,400 the Benchmark price for an FVREB apartment/condo decreased 2.1 percent compared to August 2022 and increased 14.5 percent compared to September 2021.