Real Estate Market Report – September 2023

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As leaves are starting to fall and the weather is getting colder, the fall market is upon us. Let’s explore the details!

A balanced market is a real estate market where the supply of homes matches the demand, resulting in stable prices and fair conditions for both buyers and sellers. In contrast, a seller’s market is a real estate market where there are more buyers than available homes, leading to quick sales and potentially higher prices, favoring sellers. Lastly, a buyer’s market is a real estate market where there are more homes for sale than there are interested buyers, leading to advantageous conditions for buyers, such as more choices and potentially lower prices.

It’s important to note that the real estate market is highly dynamic and subject to fluctuations, and this article may not cover all the complexities of the market activity across British Columbia. The market varies daily and can be influenced by a wide range of factors.

The condo and townhouse markets are still in a seller’s market for the most part, except for Surrey and Downtown Vancouver, which are both in a balanced market. This month, Mission has shifted from a balanced market into a buyer’s market. Most areas across the Greater Vancouver area and Fraser Valley saw inventory levels rise in September. The only areas that saw a decrease in inventory over the past month were New Westminster, North Delta, Cloverdale, and Mission. Another interesting finding is that every city saw the number of sales decrease except for Abbotsford. In areas such as Coquitlam, Port Coquitlam, Port Moody, Surrey, Cloverdale, East Vancouver, and North Vancouver, all saw the average sale price stay similar to August. This is mainly due to the fact that interest rates did not increase in September. On the other hand, Burnaby, New West, Maple Ridge, Langley, Mission, and Downtown Vancouver all saw the average sale price decrease in September.

As we enter October, we expect to see a few more listings come onto the market. Buyers will be out looking for a deal, especially first-time homebuyers, as many investors are selling their tenanted units. Given the high rental rates, it sometimes makes more sense for renters to enter the housing market. The market will likely start to slow down even more by the end of November into December. Across Greater Vancouver and the Fraser Valley, we are noticing an increase in listings lingering on the market. This do not meet they are not getting offers, sometimes the sellers are looking for a particular price. Condos and Townhouses priced at market value or slightly below are selling quickly, especially those that are more desirable.

Let’s dive right into the detached housing market in Greater Vancouver and the Fraser Valley. Most areas are now in a balanced market, with the exception of Coquitlam, Port Coquitlam, and Tsawwassen, which are in a seller’s market. Surprisingly, Maple Ridge and Surrey are both now in a buyer’s market. This means that if you’ve been contemplating upsizing to a detached house and have the savings to do so, it’s a great time in most areas, but especially in Maple Ridge and Surrey. Another reason it’s a great time to upsize is that the number of homes sold in September either decreased or remained stable throughout the month. Areas like New Westminster, Maple Ridge, Surrey, South Surrey/White Rock, Cloverdale, Langley, Abbotsford, Mission, and Ladner all saw a decrease in the number of sales this past month. Port Coquitlam and Port Moody had the number of sales remain the same. Although the market in Burnaby, Coquitlam, North Delta, and Tsawwassen saw an increase in the number of sales. Now, turning to the average sale price, there wasn’t too much movement in areas like Burnaby, Port Coquitlam, Pitt Meadows, Maple Ridge, Surrey, South Surrey/White Rock, and Langley. However, the average sale price in Port Moody, North Delta, Cloverdale, Mission, and Ladner all saw decreases in September.

This fall is likely to be more favorable for buyers, a trend not seen in a couple of years. Sales and inventory levels are expected to remain similar over the next month. Many buyers are out looking for great deals. Some are willing to take on home improvement projects, but a lot of buyers do not want to commit to significant projects like drainage work or foundation repairs when they intend to live in the property. The government is making efforts to incentivize developers to build more to help with our the housing demand.

Curious about your market value? Send me a quick note, and I can run some numbers based on the current market and pricing forecasts.

As we look ahead, the upcoming month promises to maintain a steady market pace, presenting an excellent opportunity to have a discussion with a real estate specialist like myself. Together, we can create a customized plan to help you achieve your real estate goals, whether they are short-term or long-term. If you want a more detailed analysis of your property or to go more in-depth about a specific area, please never hesitate to reach out. I am always happy to help.