The Fraser Valley Real Estate Board has released the housing market statistics from March and we continue to see a more moderate version of the frenzy that has been occurring over the past year.
The housing market is still speeding ahead, with a slight release of the accelerator. An example of this is sales activity; condos, townhomes and detached homes all experienced a drastic increase (54.7%, 39.3% & 36.3%) when compared to last month; however, sales were down when compared to March of last year (by 1%, 19.3% & 34.2% respectively).
We can also see the level of activity through the number of new listings entering the market; last month saw a 10.4% month-over-month increase in condo listings, a 19% increase in detached home listings, and a whopping 36.5% increase in townhome listings. This is the third month in a row that new listings have increased (and significantly at that), providing buyers additional options and helping to push overall active inventory to levels not seen since last July.
Despite the persistent influx of listings, sales remain very strong across all product types. Consistent sales activity has continued to add upward pressure on benchmark prices as all product types experienced a drastic increase over March:
- Detached Home: $1,726,900 (3.4%)
- Townhome: $886,400 (5.4%)
- Condo: $643,000 (4.6%)
What does this mean for the development land market in the Fraser Valley?
The rise in benchmark pricing implies that demand continues to outstrip supply, and there is little evidence of this trend easing unless more houses are added to the mix. As a result, land values continue to climb, albeit at a slower pace than we have seen in the previous 12-18 months.
The development land market continues to boom, with developers scrambling to keep their pipelines full of sites. It’s no secret that developers want to put their money into new projects, but with rising interest rates, international political uncertainty, and the possibility of a recession, many buyers have loosened their grip on the trigger, particularly for sites with longer timelines to development.
Check out our curated summary of the Fraser Valley Real Estate Board’s March stats in our infographic below.
View the Fraser Valley Real Estate Board’s entire stats package for March 2022 here.
This representation is based in whole or in part on data generated by the Fraser Valley Real Estate Board which assumes no responsibility for its accuracy.