Home sales across BC were – very unusually – higher in December 2017 than in November, according to figures released January 12 by the British Columbia Real Estate Association (BCREA).
The 5,738 residential unit sales represented a four per cent month-over-month rise and a whopping increase of 21.5 per cent over December 2016.
The BCREA noted in its report, “The year-end results were likely pushed higher by some homebuyers advancing their purchases to avoid tougher mortgage qualification rules in the new year.”
Those strong sales capped off a busy fall and early winter for real estate activity across most of the province, which made up for a weak spring market following the late-2016 introduction of the foreign buyer’s tax. However, the later-year rush of activity in 2017 was not enough to compete with the scorching hot market of spring 2016.
The total number of sales in BC in 2017 topped the 100,000 mark for the third year running – far above the 85,000 10-year average – although this was still 7.5 per cent lower than in 2016.
“Robust housing demand in 2017 was underpinned by a strong economy, employment growth and rising wages,” said Cameron Muir, BCREA’s chief economist. “Above trend migration, both international and interprovincial, also bolstered housing demand, while broader demographic fundamentals added fuel to condominium sales in urban centres and to all home types in retirement-oriented communities.”
The province’s average resale price in 2017 was $709,579, up 2.7 per cent from the previous year. Total sales dollar volume was $73.63 billion, down 5.1 per cent from 2016.
