Today is November 20th, 2023 bringing you a market update for October 2023.
Provincially, the number of actual sales have slowed down mainly due to high borrowing costs. I am finding that buyers are being very cautious and many are waiting on the sidelines watching the market and interest rate announcements.
Looking at the Parksville and Qualicum Beach Zone 5 area - with a focus on single family detached homes:
In August 2023: there were 118 Active Listings; in September there were 160 and October was slightly higher at 168 active listings. This is showing that supply has grown with increased listings since the summer.
Now for the number of actual SOLD homes: There were 57 units reported sold in August 2023; 33 units sold in September; and 37 units sold in October. These stats are showing the actual number of sales have decreased since the summer.
In the month of October 2023, homes were selling for 97% of the list price. Most of the offers I have written for buyers in the last few months have had negotiating and have included subjects to give buyers time for their due diligence.
When we look a little further back and compare 12 months to date as of October 2023: the average sale price was $920,255 = down 6% from 980,493 the year prior.
Overall, supply has been increasing with sellers being somewhat flexible in prices. When we look at the 168 active listings on the market divided by the units reported sold 37 = this gives us 4.5 months of inventory in zone 5 for Single Family Homes. Generally a balanced market is 4-6 months of inventory, so we have moved into more of a balanced market.
So what does this mean for you? Buyers have more selection, listings are staying on the market a bit longer; and have some negotiation power.
If you are a seller, it’s important to be priced right and have to have your home ready for viewings. With more listings on the market, it’s most ideal to be in the top 2 regarding price and presentation.
If you have any questions regarding the current market, feel free to give me a call. I would be pleased to chat.
***All stats above are from the Vancouver Island Real Estate Board monthly stats reports.