We are nearing the turnover from summer to fall. As expected, the weather is starting to change and so has the Comox Valley real estate market has changed as predicted at the start of the year. The market has gone from one that favours home buyers to one that is neutral, and in some sectors, to one that favours sellers. Overall, sales are up, listing inventory is down and prices are up over last year.
As of the end of August 2015:
• Total number of units listed are down about 7%;
• Total number of units sold are up about 13%;
• Sell to list ratio is up about 10%;
• Total sales volume is up about 14%;
• Average sell price is up about 1%; and
• Average days to sell is down about 5%.
So what do these statistics mean? When the total number of listings decreases and sales go up, the total inventory (homes available to home buyers and therefore choices) goes down. At the end of last year and going into this year the overall market favored buyers. Over the course of the spring and summer this has changed. Some sectors of the market still favour buyers but others have become more neutral and others are now favouring buyers. Currently well priced luxury homes with all the latest bells and whistles that are placed on the market for sale that are viewed by buyers as having value and the features that they are looking for are selling quickly.
Sell to list ratios are a metric that provides information on the percentage of homes in a specific category that are selling compared to the total number listed in that category. Overall, this ratio has improved to about 58% meaning that just over one half of the homes placed on the real estate market for sale are selling. These statistics vary by type of home and location. For example, Crown Isle year to date was 78% while single family waterfront year to date was 36%.
Prices in the valley have started to climb. Reported sales show about a 1% rise. When sales agreed to but not yet completed and recorded are added to this total the result at the end of the year should show an increase in the 2-3% range. For a $350,000 home this means an increase of about 7 to 10 thousand dollars.
well appointed luxury homes are selling more quickly than last year but this does not mean that all homes sell instantly. The average time to sell year to date has dropped from 99 days to 94. Some home take longer to sell and some take less time to sell. These times vary by things such as location, type of home, price, features and updates, and condition. There are things that can be done to improve the appeal of most homes in the eyes of most home buyers. Doing these things will often help sell the home.
If you are looking to buy or sell a home in the Comox Valley contact Brett Cairns of RE/MAX Ocean Pacific realty to get the most out of your next real estate experience.