September 2017 Market Report

Fall is here, the air is cooler, so is the market, just a tad…

The market continues to be very active but with less of the crazed intensity we experienced a couple months ago, and with fewer multiple offers, affording some much needed breathing room for buyers.

That being said, inventory continues to be very low with buyers far outnumbering sellers — keeping prices buoyant.

Still a Solid Sellers’ Market…

At the current rate of sales, (absorption rate), it would take about 2.5 months to sell all single family homes currently listed in Nanaimo — and only 1.95 months to clear out Parksville/Qualicum.

In a balanced market there is about a 6 month supply. That means we are still solidly in a “Sellers Market”.

Regional Numbers – VIREB

The Vancouver Island Real Estate Board (VIREB) reports that single-family home sales dipped in

September, down to 511 from last year’s 527, a decrease of three per cent. Sales declined by five per cent from August, which saw 540 sales. However, VIREB attributes the slight decline in sales numbers to seasonal market conditions and inventory challenges. There were only 1,233 single-family homes for sale in September, a decrease of three per cent from 2016.

Nanaimo Numbers – September

In September 2017, the benchmark price of a single-family home in Nanaimo rose 1% to $498,300, up 15 per cent from one year ago. (Benchmark pricing tracks the value of a typical home in the reported area.) The benchmark price of an apartment last month rose to $282,000, up 30 per cent from one year ago, while the benchmark price of a townhouse hit $321,000, a 27 per cent increase from a year ago.

The average selling price of a single family home in Nanaimo in September was $526,392 with 152 units sold vs. $517,887 in August with 138 units sold. A year ago it was $478,390 with 157 units sold. The median selling price in September was $489,252

The Nanaimo HPI continues to trend upward, rising in September to 223 from 220.6 a month ago, 214 three months ago, and 203 six months ago.

Over the last 12 months some 2196 single family homes were listed compared to 2112 a year ago. Of those listed, 1524 units were sold in the last 12 months with 1712 the 12 month before that. As of the end of September there were 319 active listings in Nanaimo.

Parksville/Qualicum Numbers – September

In September 2017, the benchmark price of a single-family home in Parksville/Qualicum rose 2% to $518,000, up 16 per cent from one year ago. (Benchmark pricing tracks the value of a typical home in the reported area.) The benchmark price of an apartment last month rose to $322,800, up 24 per cent from one year ago, while the benchmark price of a townhouse hit $432,400, a 20 per cent increase from a year ago.

The average selling price of a single family home in Parksville/Qualicum in September was $598,188 with 64 units sold vs. $584,492 in August with 63 units sold. A year ago it was $490,360 with 68 units sold. The median selling price in September was $566,000.

The Nanaimo HPI continues to trend upward, rising in September to 210.8 from 206.8 a month ago, 202.5 three months ago, and 186.6 six months ago.

Over the last 12 months some 1003 single family homes were listed compared to 1182 a year ago. Of those listed, 791 units were sold in the last 12 months with 945 the 12 month before that. As of the end of September there were 129 active listings in Parksville/Qualicum.

What does it all mean…

Sellers – Make hay while the sun shines. Nothing lasts forever, especially in real estate. If you’ve been contemplating selling but have waited for the prices to go up more, now may be a good time to cash in, especially if you’re moving away or downsizing.

Buyers – This is the first time this market has taken a bit of a breather in a long time. Now may be the best time to make your move as right now things are calmer. That doesn’t mean you can go in and lowball, the numbers tell us it is still a Seller’s market after all.

 

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