Fewer sales may not mean lower prices in the Chilliwack real estate area.
The B.C. Real Estate Association (BCREA) released its second quarter forecast Tuesday (May 31).
After 4,799 units sold in 2021, a decline was almost certain to happen. But the BCREA suggests a substantial dip is coming, projecting sales to drop by 27.1 per cent in 2022 (down to 3,500 units) and a further 17.1 per cent in 2023 (down to 2,900 units).
The BCREA breaks the province down into 11 real estate regions.
Chilliwack and District, which includes an area from Yarrow to Hope including Agassiz and Harrison, is predicted to see the second steepest drop in unit sales, trailing only the Fraser Valley at 30.3 per cent.
Part of that has to do with rising interest rates.
“After a strong first quarter, B.C. markets are now adjusting to a much different interest rate environment,” said BCREA Chief Economist Brendon Ogmundson. “With mortgage rates surpassing four per cent for the first time in over a decade, the housing market over the next two years may have very little resemblance to the housing market of the past year.”
A slowdown in housing starts also plays a role.
The BCREA suggests there will be 10.4 per cent fewer single and multiple family housing starts in Chilliwack in 2022, compared to 2021, falling from 1,362 to 1,220. The drop from 2022 to 2023 is expected to be even stepper, an 18 per cent fall from 1,220 to 1,000.
Less to sell equals less sales, and that’s been the case for much of the last few years. But it’s also the reason prices remain high, and are projected to get higher.
Demand is still there, and continued low inventory means people are motivated to snap up what is available.
The MLS average price for a single family home is expected to jump another 14.7 per cent this year, rising from $923,998 in 2021 to $1,060,000 in 2022.
The average price of a townhouse is expected to hit $720,000 this year, up 21.2 per cent from $594,015 in 2021. Apartments are projected to see the biggest price increase of all, jumping 23 per cent from $353,618 in 2021 to $435,000 in 2022.
The average price of all residential sales in Chilliwack and area is predicted to jump 16.4 per cent in 2022, fifth highest behind the Okanagan (22.1 per cent), Vancouver Island (19 per cent), Kamloops and District (18.8 per cent) and Victoria (17.8 per cent).
HALIFAX – A village of tiny homes is set to open next month in a Halifax suburb, the latest project by the provincial government to address homelessness.
Located in Lower Sackville, N.S., the tiny home community will house up to 34 people when the first 26 units open Nov. 4.
Another 35 people are scheduled to move in when construction on another 29 units should be complete in December, under a partnership between the province, the Halifax Regional Municipality, United Way Halifax, The Shaw Group and Dexter Construction.
The province invested $9.4 million to build the village and will contribute $935,000 annually for operating costs.
Residents have been chosen from a list of people experiencing homelessness maintained by the Affordable Housing Association of Nova Scotia.
They will pay rent that is tied to their income for a unit that is fully furnished with a private bathroom, shower and a kitchen equipped with a cooktop, small fridge and microwave.
The Atlantic Community Shelters Society will also provide support to residents, ranging from counselling and mental health supports to employment and educational services.
This report by The Canadian Press was first published Oct. 24, 2024.
Housing affordability is a key issue in the provincial election campaign in British Columbia, particularly in major centres.
Here are some statistics about housing in B.C. from the Canada Mortgage and Housing Corporation’s 2024 Rental Market Report, issued in January, and the B.C. Real Estate Association’s August 2024 report.
Average residential home price in B.C.: $938,500
Average price in greater Vancouver (2024 year to date): $1,304,438
Average price in greater Victoria (2024 year to date): $979,103
Average price in the Okanagan (2024 year to date): $748,015
Average two-bedroom purpose-built rental in Vancouver: $2,181
Average two-bedroom purpose-built rental in Victoria: $1,839
Average two-bedroom purpose-built rental in Canada: $1,359
Rental vacancy rate in Vancouver: 0.9 per cent
How much more do new renters in Vancouver pay compared with renters who have occupied their home for at least a year: 27 per cent
This report by The Canadian Press was first published Oct. 17, 2024.
VANCOUVER – Voters along the south coast of British Columbia who have not cast their ballots yet will have to contend with heavy rain and high winds from an incoming atmospheric river weather system on election day.
Environment Canada says the weather system will bring prolonged heavy rain to Metro Vancouver, the Sunshine Coast, Fraser Valley, Howe Sound, Whistler and Vancouver Island starting Friday.
The agency says strong winds with gusts up to 80 kilometres an hour will also develop on Saturday — the day thousands are expected to go to the polls across B.C. — in parts of Vancouver Island and Metro Vancouver.
Wednesday was the last day for advance voting, which started on Oct. 10.
More than 180,000 voters cast their votes Wednesday — the most ever on an advance voting day in B.C., beating the record set just days earlier on Oct. 10 of more than 170,000 votes.
Environment Canada says voters in the area of the atmospheric river can expect around 70 millimetres of precipitation generally and up to 100 millimetres along the coastal mountains, while parts of Vancouver Island could see as much as 200 millimetres of rainfall for the weekend.
An atmospheric river system in November 2021 created severe flooding and landslides that at one point severed most rail links between Vancouver’s port and the rest of Canada while inundating communities in the Fraser Valley and B.C. Interior.
This report by The Canadian Press was first published Oct. 17, 2024.
