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INTEREST RATES and INVENTORY

Metro Vancouver home sales down in May while inventory continues to increase

The number of transactions on the Multiple Listing Service® (MLS®) declined in May compared to what is typical for this time of year in Metro Vancouver. This shift has allowed the inventory of homes available for sale to continue to accumulate with over 13,000 homes now actively listed on the MLS® in the region. 

The Greater Vancouver REALTORS® (GVR) reports that residential sales in the region totalled 2,733 in May 2024, a 19.9 per cent decrease from the 3,411 sales recorded in May 2023. Last month’s sales total was also down 19.6 per cent from the 10-year seasonal average for May (3,398).  

“The surprise in the May data is that sales have come in softer than what we’d typically expect to see at this point in the year, while the number of newly listed homes for sale is carrying some of the momentum seen in the April data,” Andrew Lis, GVR’s director of economics and data analytics said. “It’s a natural inclination to chalk these trends up to one factor or another, but what we’re seeing is a culmination of factors influencing buyer and seller decisions in the market right now. It’s everything from higher borrowing costs, to worries about the economy, to policy interventions imposed by various levels of government.”  

There were 6,374 detached, attached and apartment properties newly listed for sale on the MLS® in Metro Vancouver in May 2024. This represents a 12.6 per cent increase compared to the 5,661 properties listed in May 2023 and a seven per cent increase compared to the 10-year seasonal average (5,958).  

The total number of properties currently listed for sale on the MLS® system in Metro Vancouver is 13,600, a 46.3 per cent increase compared to May 2023 (9,293). This total is also up 19.9 per cent above the 10-year seasonal average (11,344).  

Across all detached, attached and apartment property types, the sales-to-active listings ratio for May 2024 is 20.8 per cent. By property type, the ratio is 16.8 per cent for detached homes, 25.1 per cent for attached, and 22.5 per cent for apartment properties. 

Analysis of the historical data suggests downward pressure on home prices occurs when the ratio dips below 12 per cent for a sustained period, while home prices often experience upward pressure when it surpasses 20 per cent over several months.  

“With market trends now tilting back toward more balanced conditions, as the number of new listings outpaces the number of sales, we should expect to see slower price growth over the coming months,” Lis said. “Up until recently, prices were climbing modestly across all market segments. But with rising inventory levels and softening demand, buyers who’ve been waiting for an opportunity might have more luck this summer, even if borrowing costs remain elevated.”  

The MLS® Home Price Index (HPI) composite benchmark price for all residential properties in Metro Vancouver is currently $1,212,000. This represents a 2.3 per cent increase over May 2023 and a 0.5 per cent increase compared to April 2024.  

Sales of detached homes in May 2024 reached 846, an 18.9 per cent decrease from the 1,043 detached sales recorded in May 2023. The benchmark price for a detached home is $2,062,600. This represents a 5.9 per cent increase from May 2023 and a 1.3 per cent increase compared to April 2024.  

Sales of apartment homes reached 1,338 in May 2024, a 22.7 per cent decrease compared to the 1,730 sales in May 2023. The benchmark price of an apartment home is $776,200. This represents a 2.2 per cent increase from May 2023 and a 0.3 per cent decrease compared to April 2024.  

Attached home sales in May 2024 totalled 523, a 14 per cent decrease compared to the 608 sales in May 2023. The benchmark price of a townhouse is $1,145,600. This represents a 5.2 per cent increase from May 2023 and a 0.9 per cent increase compared to April 2024.

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Bank of Canada Interest Rate Announcement - December 6, 2023
 
 

As expected, the Bank of Canada held its overnight rate at 5 per cent this morning. In the statement accompanying the decision, the Bank noted that economic growth stalled through the middle quarters of 2023 and that slowdown in growth is expected to extend into the fourth quarter. As a result, inflationary pressure is easing, though the Bank stated that it is still concerned about risks to the outlook for inflation and wants to see a sustained easing of core inflation in future months.

Given the evidence of a slowing economy and some long-awaited downward momentum in core inflation, it appears likely that the Bank of Canada’s rate-tightening cycle is at an end.  If so, the conversation around Bank of Canada meetings in 2024 will shift toward when the Bank might lower rates and how fast. Given that the Bank’s estimate for its neutral rate is between 2 and 3 per cent, we can expect between 200 and 300 basis points of rate cuts once it is clear that inflation is returning to its 2 per cent target. 

After hitting a 15-year high this fall, Canadian bond yields have been tumbling to finish the year as financial markets process meaningful progress on reducing inflation and the projected end of central bank rate hikes. The five-year Government of Canada bond yield has trended near 3.5 per cent over the last week and if that trend sustains, we will see a meaningful decline in fixed mortgage rates to start 2024.

Our forecast is for the average 5-year fixed mortgage rate to fall to about 5 per cent by the end of 2024, while variable rates will begin falling as the Bank of Canada lowers its overnight rate starting in the first or second quarter of next year. 

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Canadian Housing Starts

Feb - March 15, 2021


Canadian housing starts decreased by 13.5% m/m to 246k units in February at a seasonally adjusted annual rate (SAAR), following a strong increase of 24% in January. Housing starts decreased in all provinces except for BC. Building activity declined in both the multi-unit (-16%) and single-detached (-9%) segments. Despite February's decline, national housing starts were up by 17% compared to the same time last year. Also, the six-month moving average was still a strong 243k units SAAR. 

In BC, housing starts increased by 21% m/m to 43.5k units SAAR in February, following a decrease of 17% in the previous month. Building activity was up by 39% in the multi-unit segment, while single-detached starts were down by 14%. The rise in the multi-unit segment was led by Vancouver, which reported a 70% increase in multi-unit starts in February. Compared to the same time last year, housing starts were up by 2% in BC. 

The decline in February comes on the heels of a very strong 2020. Also, the level of residential construction activity is still above pre-pandemic levels, reflecting the high demand for housing that we've seen across the country. The value of BC residential building permits was down by 1% in January, led by the multi-unit segment, while permits were up for the single-detached segment.  



For more information, please contact:  
 

Brian White PREA

Team 3000 Realty Ltd

info@brianwhite.ca

1.604.961.4104

 



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Concert begins massive North Vancouver development

North Harbour spans a third of a mile of waterfront and will include 290,000 square feet of commercial space and more than 900 homes on the 12-acre site

February 19, 2021
 
North Harbour is largest North Vancouver development in decades. | Concert Properties
 
North Harbour is largest North Vancouver development in decades. | Concert Properties


A decade after planning began and seven years since it was approved by city council, Concert Properties has started its massive North Harbour waterfront development in North Vancouver, the largest city project in decades.


North Harbour will begin with the development of four buildings at the eastern edge of the community. The first building will include 164 condominiums and townhomes in a nine-storey tower. North Harbour plans include 17 mid-rise residential buildings, alongside approximately 290,000 square feet of retail, restaurants and office space.


As planned, there will be over 700 condominium homes, 110 rental homes in a 10-storey building and 125 seniors housing units, all built under a master plan that could take 10 to 15 years to complete. There will be no light industrial buildings and all of the commercial space will be leased, not sold as strata, according to Brian McCauley, president and CEO of Concert.


Once complete, Concert will manage the 80,000-square-foot rental building at North Harbour. It will join Concert’s portfolio of 27 rental properties across Vancouver, Victoria and Toronto.


The delay in getting construction started on the 12-acre site including specific site engineering. It is the first in North Vancouver to require preloading to nearly five feet (1.5 metres) above the shoreline to mitigate against sea levels rising. COVID-19 added to the the timeline of what Concert expects to be a premier mixed-use development. 

“The direct access to the waterfront is one of the most exciting aspects of North Harbour,” McCauley said in an email to Western Investor. The stepped design of the residential will provide most residents with views of the Inlet and downtown Vancouver.


The site is located at Fell Avenue and Harbourside Drive along the Burrard Inlet shoreline, and in close proximity to the SeaBus station that links to downtown Vancouver. The area is also home to the public Kings Mill Walk Park, which the city is planning to renew and improve.


The first-phase residential buildings are being built to LEED (Leadership in Energy and Environmental Development) Gold standards and the BC Energy Step Code.


While marketing for the first-phase condominium and townhouses begins this spring, pricing has yet to be released, according to Concert. - WI Staff Western Investor

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December 2020


The COVID-19 pandemic has affected almost every aspect of British Columbians’ personal and professional lives. It has accelerated adoption and use of technology as a means of communication and doing business. Nowhere is this truer than in the purchase and sale of real estate.


Technology was already changing the way realtors were conducting daily business. One of the most substantial recent changes relates to how sale contracts and listing agreements are transmitted and executed.


Over the past several years, it’s become more common for not only the preparation, but also the review and execution, of core transaction documents to occur electronically through one of several commercially available web-based computer programs. Buyers and Sellers to a transaction can sign and initial contract documents electronically from their computer, tablet, or phone. The pandemic and resulting social distancing requirements are currently making the use of such programs the rule rather than the exception.


One of the principal benefits of using an electronic signing program is the convenience and safety for both licensee and client. It makes meeting and associated travel, and in some cases printing, scanning and emailing, unnecessary. Realtor and client can create, transmit, or execute documents, solely in electronic form, asynchronously, with a few quick keystrokes, from wherever in the world they are.


However, with these significant benefits come meaningful risks, some of which are not openly obvious. Mitigating these risks requires the realtor to be sensitive to risks and perhaps modify past practices.


Ensuring a buyer or seller understands the documents they are signing is fundamental to a realtor’s professional standards and practice. Before the advent of electronic communication, typically your realtor would sit down with the client, go over the terms of a purchase contract or listing agreement, and through a conversation with them, ensure that they understood what they were offering or agreeing to. The process allowed both realtor and client to review the documents, notice, and or correct any drafting errors which may have crept in. This also allowed an opportunity for more advice and second thought.


Such meetings are invaluable from a risk management perspective. If a dispute develops later with a client as to the content of a document or their understanding of it, you could produce documents setting out the arrangements for the meeting and give evidence that you reviewed the document with the client and explained it to them, and the client was happy with it. This is powerful evidence should a client bring a claim. Faced with such evidence in examinations for discovery, a client will often admit the realtor did meet with them and reviewed and explained the document before they signed it.


When using an electronic signature program, all parties must keep in mind the benefits of such in-person meetings and be sensitive to the records to generate if such a meeting does not occur. Realtors must ensure that there is sufficient communication with the clients by other means, to ensure the client understands what they are offering or agreeing to, and sufficient review of the document, by both you and the client, together, to ensure any errors are caught and corrected.


Errors may creep into contract documents in many ways, some of which are not obvious or unique to the current electronic technology.


It bears repeating, that when preparing an offer or counteroffer, typos may occur. Many people find that typographical errors in documents are difficult to see when the review of the documents are conducted on a computer screen, particularly when they have typed the document, or the material portions of it, themselves.


Technology itself may cause errors. There have been several reports of electronic signing programs picking up old versions of documents created in the MLS Webforms. In some cases, a change in price was not picked up, and the error not caught by the realtor or client before the document was executed and sent to the other party.


Where parties use an electronic signing program, realtors must take into account that the client may be hurried or distracted when receiving a document, and may not, or may not be able to, review it carefully or at all.


Some electronic signing programs, when presenting a document to the client for execution, automatically scroll through the document without providing an opportunity to review, stopping at only the spots identified for initials or a signature. The buyer or seller may not take the time necessary, or be able, to manipulate the program to read the document in its entirety. They may be trying to review a document in small type on their cell phone, and not be able to read it correctly.


The client may assume the licensee has accurately understood and given effect in the document to their (perhaps summary or ambiguous) instructions.


To address these risks, it’s prudent for realtors to review each contractual document carefully: before you send to a client; with a client, while the document is in front of both you and client, by telephone or other means prior to electronic execution; and again, following execution, before you send to the other party. It’s also prudent to print the document at several points to review it in paper form.


To ensure a meaningful review occurs with the client, and is recorded, it is prudent to provide the client with contractual documents by email, and arrange a time to review them, by telephone, or video conference (perhaps using a “screen share” function), in detail, before you transmit them through an electronic signature program for execution. This creates a paper trail to later confirm such a review occurred.


The importance of being sensitive to the record cannot be overstated. All electronic signature programs generate logs, recording the time at which a party opens the document and when it is executed. Smart claimant’s counsel will demand production of these logs in any dispute. It will be impossible to maintain that there was a meaningful review of a document with a client where the log shows that there were only a few seconds between when the document was sent, opened, executed by the client, and returned to the realtor.


It is also prudent, when transmitting a document to a client by email or other electronic means, to include a warning stating that, as typographical errors or errors caused by technology may occur, the document should be reviewed carefully to ensure that it accurately reflects the client’s understandings or instructions.


Incorporating these steps and considerations into practice will provide realtors and their clients with the benefit of current technology, while minimizing the associated risk to all parties.


Source: Scott Cordell, Killam Cordell, Barristers

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IMPORTANT NOTICE

If you are in the process of purchasing or selling a property.

The force majeure clause.

Force majeure translates literally from French as superior force, "force majeure" describes those uncontrollable events such as war, labor stoppages, extreme weather or present day COVID-19 that are not the fault of any party and that make it difficult or impossible to close in time in the terms of the contract or carry out normal business.

An individual or company may consider inserting a force majeure clause into a contract to absolve itself from liability in the event it/they cannot fulfill the terms of a contract or if attempting to do so will result in damages or loss for reasons beyond its control.

If you are negotiating a purchase or sale of property, please protect yourself and seek independent legal advise on the terms and conditions of your contract and purchase and sale.

Please exercise social distancing, washing your hands and self isolation are the best practices to flatten the curve.


My commitment to serving the Real Estate needs to our clients continues. I am open and working.


Communicate with me through voice mail, texting, emails and good old fashioned phone calls. Property viewing can be accomplished by live streaming through platforms such as, Facetime, Whatsapp, Wechat, Skype etc.


If meeting in person is required we will follow the proper guidelines and protocols set out by our real estate board for everyone's safety.

 

Stay safe my friends,

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Buying, selling and even building a home can continue during the COVID-19 pandemic – using reasonable practices, say industry groups

 

Realtors are being strongly discouraged to hold any open houses in light of the COVID-19 pandemic and social distancing requirements, the Real Estate Board of Greater Vancouver (REBGV) announced March 19.

The board said that it was making “this explicit recommendation today with the support of real estate brokerages, and after an assessment of the latest information and commentary from public health and other government authorities.”

REBGV said that, earlier in the week, it had also “removed the rule requiring that properties listed on MLS be made available for showings.”


Ashley Smith, REBGV president said, “Realtors want to do their part to help prevent the spread of illness in our communities and to meet the housing needs of residents in a responsible way. We’ve heard from some in the community who are unhappy that their Realtors are not holding Open Houses. To those people, we ask for your understanding given the public health crisis we all face today.”


The board said that “anyone looking to buy or sell a home in today’s environment is encouraged to discuss COVID-19 preparedness with their Realtor” and offered some key tips for buyers and sellers. These include:

• If you recently travelled abroad and/or are unwell, do not view a property, and stay home.

• If you’re a seller, talk with your Realtor about alternative approaches to open houses, such as virtual showings and other technology-based solutions.

• If you’re a buyer, only visit a property when others are not present, sanitize your hands before and after a showing, and avoid touching doorknobs and other surfaces in the property.

The REBGV is also offering other tips for buyer and sellers at www.rebgv.org.


Construction must go on

Announced the same day was approval to B.C. construction companies to continue site operations, as the ban on gatherings of more than 50 people does not apply to construction sites, according to the Urban Development Institute.


The UDI said in a March 19 statement that “a senior provincial government official has contacted UDI president and CEO Anne McMullin to assure our industry and membership the 50-person limit does NOT apply to construction sites. The provincial government official confirmed that all sites can and should remain operating… Sites must continue to conform to Worksafe BC practices and current COVID-19 prevention protocols. That means additional handwashing stations should be made available, that workers should maintain their social distance of 1-2 metres from one another and during any on-site meetings.”


The UDI statement added, “In addition, the Provincial Health Officer Dr. Bonnie Henry said during the March 17 news conference… that ‘Construction work outside is not as much of a risk that we are concerned about... but anyone who’s sick should not be going to work.’”

The Homebuilders Association of Vancouver (HAVAN) also sent out a statement March 19 offering advice to construction employers on site safety during the pandemic. 

The dedicated web page, www.havan.ca/covid-19-resources, also has links to various government resources that are helping small businesses during this time, plus a link to a COVID-19 self-assessment tool.

Source: Joannah Connolly Glacier Media Real Estate
March 19, 2020
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March 19, 2020

REBGV strongly recommends no Open Houses
 
With concerns about the spread of COVID-19, the Real Estate Boards strongly recommends that all members refrain from holding Open Houses.
 
The Boards are making this recommendation after consulting with Brokers in the community and assessing the latest information and commentary from public health and other government authorities.
 
“It’s important that all of us in the real estate profession do our part to help prevent the further spread of illness in our communities,” Ashley Smith, REBGV president said. “This is one step we can and should all take immediately as good corporate citizens.”
 
The Real Estate boards are in the process of disabling the Open House feature on Paragon MLS. Members are encouraged to consider other approaches to Open Houses, such as virtual showings and other technology-based solutions.
 
In keeping with the social distancing recommendations from health care officials, realtors are encouraged to use strict control measures to limit the number of people who view a home, require guests to register, sanitize their hands before and after the viewing and encourage guests to avoid opening cupboards, touching doorknobs and other surfaces in the property.
 
Clients are asked not to view or show properties if they, or anyone they live with, has recently travelled abroad or are unwell or not feeling 'quite right'
 
Earlier this week, REBGV removed the rule requiring that properties listed on MLS® be made available for showings.
 
We will continue to assess the COVID-19 situation and provide updates and resources as necessary.
 
Cut and paste these COVID-19 resources
 
• BC Centre for Disease Control
 
http://covid-19.bccdc.ca/

• Provincial and federal governments joint statement

https://www.canada.ca/en/department
finance/news/2019/06/joint-statement--federal-provincial-and-territorial-governments-working-together-to-combat-money-laundering-and-terrorist-financing-in-canada.html

• World Health Organization COVID-19 resources

https://www.who.int/westernpacific/emergencies/covid-19
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Be Careful What You Wish For

 

Careful What You Wish For

 

The Economic Fallout of Housing Price Stocks

 

 

The desire of some well-meaning British Columbians for government to drive down the price of homes through demand-side policies may sound practical at first. However, when you consider the broad and deep economic toll that a downward shock to home prices would exact on both homeowners and renters, it quickly becomes apparent that such an approach is at best, a shell game. BCREA Economics analysis* shows that even a relatively modest negative price shock will produce significant consequences to the BC economy.

 

 Nearly 70 per cent of British Columbians own their home. A relatively minor 10 per cent negative shock to home prices would extinguish $90 billion of their wealth, or $70,000 of the average home owner’s equity. While some may see this as a paper loss, it will have a significant impact on the economy, as declining household wealth reins in consumer spending. Retail sales suffer, with an estimated $1.8 billion in forgone revenue in the first year after the decline.  

  

Home construction activity would fall dramatically. Home builders would cut back production 25 per cent; thats, 10,000 fewer housing starts in the first year alone. A negative price adjustment would markedly slow the expansion of the housing stock, creating even more critical housing supply problems in our market that already sees demand out strippiing market supply.

  

Across the economy, a negative housing price shock will slow growth. Tens of thousands of jobs will be forfeited. The unemployment rate will shoot up. A 10 per cent negative price shock will slow real GDP growth to 1.5 per cent from a baseline of 2.7 per cent. That's$3 billion in lost activity. If home prices fell 35 per cent, a level some activists are championing, the BC economy would collapse into recession. The average home owner would have lost $245,000 in equity, housing starts would fall by half, 64,000 jobs would be forfeited sending the unemployment rate to 7.5 per cent with $4.4 billion in forgone retail sales and a colossal $8 billion loss to GDP in the first year.  

 

This analysis does not account for the negative impact on provincial tax revenues, expanding deficits, ballooning debt and credit downgrade risks.  

  

*Based on simulations using BCREA’s econometric model of the BC economy augmented by a housing Vector Autoregression model.






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Despite slight increases to both active and new build inventory in the Fraser Valley, overall supply in February remained well below the ten-year average for the month historically.

The Fraser Valley Real Estate Board processed 1,385 sales of all property types on its Multiple Listing Service® (MLS®) in February, a decrease of 0.8 per cent compared to the 1,396 sales in February of last year, and a 14.5 per cent increase compared to the 1,210 sales in January 2018.

Of the 1,385 sales processed last month 336 were townhouses and 379 were apartments, together representing 52 per cent of all transactions in February.

"Attached apartment inventory in particular has struggled to keep up with the shift in demand we saw prominently throughout last year," said John Barbisan, Board President. "Without sufficient supply, it has become increasingly challenging for buyers looking to enter the market at that level."

Active inventory for the Fraser Valley finished at 4,340 listings last month, increasing 9.5 per cent month-over-month, and decreasing 6.6 per cent when compared to February 2017. The 10-year average for February active inventory is 7,487 units.


The Board received 2,293 new listings in February, a 9.6 per cent increase from January 2018’s 2,092 new listings, and a 5.6 per cent increase compared to February 2017.

"With the sales-to-actives ratio for townhomes and apartments at 67 per cent and 75 per cent respectively, sellers can expect interest if they price their homes effectively. Talk to your REALTOR® who can evaluate your local market and find the right price point for success.”

For the Fraser Valley region the average number of days to sell an apartment in February was 13, and 16 for townhomes. Single family detached homes remained on the market for an average of 38 days before selling.


 

The challenge in the market today is managing our existing population as first time buyers come of age and young families looking to move up  to their second home are creating the greatest demand in housing today. Migration, both nationally and internationally also are pushing the demand. Streamlining the approval and building process would help get units to the market faster. Take into consideration a piece of land gets purchased in Delta, in takes 1-4 years for approval and another 2-3 year build out to occupancy. People looking for housing in a particular area have to wait up to 7years for units to be ready. That my friends is an issue.



HPI® Benchmark Price Activity

• Single Family Detached: At $992,100, the Benchmark price for a single family detached home in the Valley increased 1 per cent compared to January 2018, and increased 15.7 per cent compared to February 2017.

• Townhomes: At $531,000 the Benchmark price for a townhome in the Fraser Valley increased 2.2 per cent compared to January 2018, and increased 25.4 per cent compared to February 2017.

• Apartments: At $422,300, the Benchmark price for apartments/condos in the Fraser Valley increased 4.5 per cent compared to January 2018, and increased 46.7 per cent compared to February 2017.



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2018 brings more of the same for Fraser Valley real estate

Fraser Valley housing market activity in January continued on the momentum seen throughout 2017 with year-over-year increases seen for both sales and pricing.


The Fraser Valley Real Estate Board processed 1,210 sales of all property types on its Multiple Listing Service® (MLS®) in January, an increase of 24 per cent compared to the 976 sales in January of last year, and a 10 per cent decrease compared to the 1,344 sales in December 2017. This was the third highest sales total for a January in the Board’s history, behind only 2016 (1,338) and 1992 (1,270).

Of the 1,210 sales processed last month 281 were townhouses and 338 were apartments, together representing 51 per cent of all transactions in January.

“This will be the third consecutive year of heightened market activity for our region, and we’re starting 2018 exactly where we left off – gradually rising prices, tight inventory, and the dominance of attached home sales," said Gopal Sahota, Board President.

Active inventory for the Fraser Valley finished at 3,962 listings last month, increasing 3.8 per cent month-over-month, and decreasing 10 per cent when compared to January 2017. January’s sales-to-active listing ratio was 31 per cent.


The Board received 2,092 new listings in January, a 63.8 per cent increase from December 2017’s 1,277 new listings, and a 3.9 per cent decrease compared to January 2017.

"Generally, pricing continues to be heavily impacted by ongoing demand and a lack of incoming inventory,” continued Sahota. “While conditions may differ depending on property type and area, it remains a complex real estate environment overall where a thorough understanding of the market and knowing what you’re looking for can make all the difference.”

For the Fraser Valley region the average number of days to sell an apartment in January was 19, and 24 for townhomes. Single family detached homes remained on the market for an average of 46 days before selling.


HPI® Benchmark Price Activity

• Single Family Detached: At $982,700, the Benchmark price for a single family detached home in the Valley increased 0.6 per cent compared to December 2017, and increased 15.1 per cent compared to January 2017.

• Townhomes: At $519,400 the Benchmark price for a townhome in the Fraser Valley increased 1.2 per cent compared to December 2017, and increased 23.4 per cent compared to January 2017.

• Apartments: At $404,100, the Benchmark price for apartments/condos in the Fraser Valley increased 4 per cent compared to December 2017, and increased 44.1 per cent compared to January 2017.



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For a limited time, one of the banking Partners I work closly with is offering the following:

 

18 month non-redeemable term deposit

Rate: 2.25%

Available for new & existing funds

 

3 year escalator term deposit (convertible on anniversary)

1st year: 2.25%

2nd year: 2.50%

3rd year: 3.00%

Effective rate of 2.58% for 3 years


Convertible on an anniversary to a non-redeemable term deposit with an equal or longer maturity date

Available for new & existing funds

 

TFSA Park-It Savings

Rate: 2.25%

Reverts to regular rate schedule effective May 1, 2018

 

RRSP Park-It Savings

Rate: 2.00%

Reverts to regular rate schedule effective May 1, 2018

 

 G&F is also offering 1 year non-redeemable and cashable short term GIC options for members whom are looking for shorter investment time frames. They will work and cater options for all of our members to support their current and long term goals.


The campaign rate options end March 1st 2018.

 

If you have any further questions you can contact,

 

Emilie Cook - Assistant Branch Manager

West Broadway Branch | G&F Financial Group

Phone: 604-549-5421

email: ecook@gffg.com

 

Thinking of buying or selling this spring? This October I celebrated 27 years in real estate & construction industries.  My competitive knowledge base is an advantage you won’t get from any other realtor in the industry. I treat my clients like family, so when you time come, they are comfortable moving forward, and have complete confidence that they have made the right decision.

 

I'm never too busy for any of your referrals.

 

Your Realtor for Life

Brian

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December 8, 2017


Canadian housing starts surged in November, rising 13 per cent from October to 252,184 units at a seasonally adjusted annual rate (SAAR).  The six-month trend in Canadian housing starts jumped to 226,270 units SAAR, the highest its been in ten years.

The increase in new home construction was concentrated outside of BC, which saw starts decline 16 per cent to a still very strong 45,000 units SAAR in November on a monthly basis. Total starts in BC were up about 4 per cent year-over-year. Single detached starts were up 23 per cent on a monthly basis and 31 per cent compared to November 2016 while multiple starts were down 24 per cent month-over-month and fell 6 per cent year-over-year.

Looking at census metropolitan areas (CMA) in BC: 

  • Total starts in the Vancouver CMA declined from a 12-month high in October, falling 8 per cent. The market is likely close to full-capacity with close to 40,000 units under construction across the metro-Vancouver area.
  • In the Victoria CMA, housing starts fell 17 per cent year-over-year and were down 71 per cent on a monthly basis after a wave of new multiple units in October.
  • New home construction in the Kelowna CMA were up 32 per cent from October and increased 62 per cent year-over-year due to jump in multiple unit starts.
  • Housing starts in the Abbotsford-Mission CMA jumped from just 20 total starts in November 2016 to 169 in November 2017.  On a monthly basis, starts were 45 per cent higher compared to October due primarily to an increase in single-family starts. 

Thinking of buying or selling? This October I celebrated 27 years in real estate & construction industries. Hire me and I will get you the home or property you really want for you and your family. My clients call me innovative, insightful, diligent and direct. All of my competitive knowledge base is an advantage you won’t get from anyone else in the industry. I treat my clients like family, so when you time come, they are comfortable moving forward, and have complete confidence that they have made the right decision.

 

I'm never too busy for any of your referrals.

 

Your Realtor for Life

Brian

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For immediate release

 

 

Vancouver, BC – November 14, 2017.

 

TheBritish Columbia Real Estate Association (BCREA) reports that a total of 8,677 residential unit sales were recorded by the Multiple Listing Service® (MLS®) in October, an increase of 19.3 per cent from the same period last year. Total sales dollar volume was $6.25 billion, up 41.6 per cent from October 2016. The average MLS® residential price in the province was $720,129, up 18.7 per cent from October 2016.

“BC home sales trended higher in October, up 23 per cent from January on a seasonally adjusted basis," said Cameron Muir, BCREA Chief Economist."A lack of supply in the resale market continues to put upward pressure on home prices in most BC regions."

 

Total active listings were down 5.1 per cent to 27,987 units in October compared to the same month last year, and have declined 49 per cent over the last five years. The ratio of home sales to active listings was up from 24.7 per cent in October 2016 to 31 per cent last month.

 

The BC housing market is considered to be in relative balance when the ratio of home sales to active listings is between 12 and 20 per cent.

Year to date, BC residential sales dollar volume was down 9.4 per cent to $63.8 billion, when compared with the same period in 2016. Residential unit sales declined 10.7 per cent to 90,290 units, while the average MLS® residential price increased 1.4 per cent to $706,881.


Thinking of buying or selling? This October I celebrated 27 years in reale state & construction industries. Hire me and I will get you the home or property you really want for you and your family. My clients call me innovative, insightful, diligent and direct. All of my competitive knowledge base is an advantage you won’t get from anyone else in the industry. I treat my clients like family, so when you time come, they are comfortable moving forward, and have complete confidence that they have made the right decision.

 

I'm never too busy for any of your referrals.

 

Your Realtor for Life

Brian


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Change to Mortgage Underwriting - October 17, 2017


The Office of the Superintendent of Financial Institutions (OSFI) announced new restrictions on uninsured mortgages today. Effective January 1, 2018, all home-buyers with a down-payment of more than 20 per cent will have to qualify at the higher of the posted 5-year qualifying rate and their contractual rate plus 200 basis points (2 per cent).  This is in addition to policy announced in October of 2016 that required all insured borrowers qualify at the posted 5-year qualifying rate.

In addition to the new stress test for uninsured mortgages, OSFI is also requiring lenders to establish and adhere to appropriate loan-to-value limits reflective of risk and the current economic environment and is prohibiting s lending arrangements designed to circumvent loan-to-value limits such as combing mortgages with other lending products.

These new residential mortgage underwriting requirements will apply to all Federally regulated financial institutions.
 
The impact of the new stress test requirement will be to lower the purchasing power of households by up to 20 cent. Like past tightening of mortgage regulations, we anticipate that the market impact will be sharp but temporary. In the past, we have seen home sales decline in the 3 to 9 months following the implementation of tighter mortgage lending standards, with the severity of the impact fading within one year.  However, these new regulations impact a larger pool of mortgages and so the impact could be more significant than in the past.


This October I am celebrating 27 years in the real estate & construction industry. All of my clients enjoy my competitive knowledge base an advantage they don’t get from most of the agents in the business. I treat my clients like family, so they are comfortable moving forward, and when the time comes to make a move, they have complete confidence in their decision. Experience matters!


I'm never too busy for any of your referrals,


Your Realtor for Life,


Brian White







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Canadian Housing Starts - October 10, 2017


Canadian housing starts decreased by 4 per cent in September to 217,118 units at a seasonally adjusted annual rate (SAAR).  The six-month trend in Canadian housing starts also declined to 214,821 units SAAR.

New home construction in BC rose 6 per cent on a monthly basis to 37,470 units SAAR but was down 18 per cent on a year-over-year basis.  Single detached starts were flat compared to one year ago while multiple unit starts declined 24 per cent year-over-year.

Looking at census metropolitan areas (CMA) in BC: 

  • Total starts in the Vancouver CMA fell 13 per cent from August and were down about half compared to September 2016. Multiple unit starts were down 58 per cent from one year ago as record levels of units under construction weigh on new projects.
  • In the Victoria CMA market, housing starts continue to surge, rising 127 per cent year-over-year. Multiple unit starts continue to drive new home construction, with starts more than triple levels seen last September.
  • New home construction in the Kelowna CMA jumped more than 200 per cent year-over-year as close to 350 new multiple unit starts were recorded.
  • Housing starts in the Abbotsford-Mission CMA also more than doubled year-over-year due to strong growth in both single and multiple starts.

As you see outside the forgien tax umbrella markets continue to grow while the changes have had a negitive impact on the market and is shrinking the equity of BC homeowners.

 

This October 19th, I am celebrating 27 years in the real estate & construction industry. All my clients enjoy my competitive knowledge base an advantage they won’t get from most agents in the business. I treat my clients like family, so they are comfortable moving forward, and when the time comes to make a move, they have complete confidence in their decision.

 

I'm never too busy for any of your referrals.

 

Your Realtor for Life

Brian

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The Ontario real estate industry received some long overdue good news from the Toronto Real Estate Board, as home prices climbed 6%, representing the first monthly increase since the slide began in April.

The housing slowdown that began when Ontario following in British Columbia's footsteps instituted a set of new regulations, including a 15% foreign buyers’ tax, that caused house prices to slip almost 20% since the peak in April of this year.


Home Capital Group Inc.(TSX:HCG) also played a large part in souring investor sentiment. The crisis sparked a sell-off in other alternative lenders, like Equitable Group Inc.(TSX:EQB) and mortgage insurers like Genworth MI Canada Inc.(TSX:MIC). After a tumultuous spring and summer, Canada housing has shown signs that it may be ready for a significant bounce back in the coming months.


CMHC is set to explore loosening of regulations

The Canadian Mortgage and Housing Corporation (CMHC) is reportedly mulling regulatory changes to make it easier for small-business owners to qualify for new mortgages. Current mortgage regulations have stringent income stipulations that force small-business owners, contractors, and other non-salaried workers to qualify based on a two-year average. This can be especially complicated for younger workers in contract work, which is becoming more prevalent in the so-called gig economy.

Intuit Canada released a study in January in which it projected self-employed Canadians will make up 45% of the workforce in 2020. If and when these regulations are loosened to adapt to the new working environment, it could entice many new prospective buyers.


New construction and real estate investment continues at a record pace

Toronto and its surrounding cities saw an incredible rise in the first third of 2017. Hamilton, Ontario, was of particular interest as a city undergoing a transition into an affordable landing spot for those priced out of Toronto. On September 29, Hamilton surpassed the $1 billion mark when it came to construction investment in the city. This represents the fastest growth in investment in the city’s history.


RioCan Real Estate Investment Trust(TSX:REI.UN) announced that it plans to pursue a $2 billion sale of its holdings in secondary markets and focus more on commercial and residential properties in major cities.


Immigration is set to rise in 2018

Canadian immigration minister Ahmed Hussen indicated that immigration levels may increase in 2018 from the already record levels of 300,000 per year seen in 2015 and 2016. Some experts are predicting a rise in the 310,000-320,000 range.

 

Immigration from outside Canada into Ontario was the highest reported in five years in 2016. Immigration also remains one of the main sources of population growth in the city of Toronto, both from outside and inside Canada. There is still debate over how immigration has impacted demand, but the continuing surplus should yield positive results for the market.

 

Investors in housing and alternative lenders should also take solace in the recent comments by the Bank of Canada following the September 6th rate hike. Governor Stephen Poloz has assured that the bank will proceed with caution, which seems to indicate a gradual approach to rising interest rates. This should help lenders and the industry at large keep borrowing costs low.

 

This October 19th, I am celebrating 27 years in the real estate & construction industry. My clients enjoy my competitive knowledge base an advantage they won’t get from most agents in the business. I treat my clients like family, so they are comfortable moving forward, and when the time comes to make a move, they have complete confidence in their decision.

 

I'm never too busy for any of your referrals.

 

Your Realtor for Life

Brian

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Canadian Employment - October 6, 2017


Canadian employment increased by 10,000 jobs in September while the the national unemployment rate remained steady at 6.2 per cent. In the twelve months to August, employment in Canada is up 1.8 per cent, or 320,000 jobs. Somewhat tepid job growth along with slumping exports and flat real GDP in recent months means the Bank of Canada will very likely hold off on raising rates at its October meeting.
 
In BC, employment declined for a third consecutive month, falling by 6,700 jobs in September. Full-time employment was up by 5,000 jobs but an 11,600 decrease in part-time work more than offset those gains.   Over the past twelve months, the level of employment in BC is up 3.6 per cent.  Despite three months of falling employment, the provincial unemployment rate continued to slide lower due to declining participation in the labour market. The BC unemployment rate fell 0.2 points to 4.9 per cent, the lowest rate since September 2008.


 

This October 19th, I am celebrating 27 years in the real estate & construction industry. All of my clients enjoy my competitive knowledge base an advantage they won’t get from most agents in the business. I treat my clients like family, so they are comfortable moving forward, and when the time comes to make a move, they have complete confidence in their decision.

 

 

 

I'm never too busy for any of your referrals.

 

 

 

Your Realtor for Life

 

Brian


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Canadian Monthly GDP (July 2017) - September 29, 2017


Growth in the Canadian economy was essentially flat in July following 8 consecutive months of growth.  Only 11 of 20 industrial sub-sectors posted positive growth with output in key industries like mining, oil and gas and manufacturing declining.   Given today's release, third quarter growth in the Canadian economy is tracking at about 2.5 per cent - a deceleration from the nearly 4 per cent growth in the first half of 2017. 

The Bank of Canada has been emphatic that future rate adjustments will be highly data dependent. Slower growth in the third quarter likely means the Bank will hold off on increasing rates at its October meeting. However, beyond that meeting, as long as the Canadian economy is growing well above trend, which the Bank sees as a signal of rising future inflation, we expect further rate increases to come either by the end of this year or in early 2018.


 

This October 19th, I am celebrating 27 years in the real estate & construction industry. My clients call me innovative, insightful, diligent and direct. All of my clients enjoy my competitive knowledge base an advantage they won’t get from most agents in the business. I treat my clients like family, so they are comfortable moving forward, and when the time comes to make a move, they have complete confidence in their decision.

 

 

 

I'm never too busy for any of your referrals.

 

 

 

Your Realtor for Life

 

Brian


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