Happy New Year to everyone who reads this Blog. I hope your holiday season was full of family friends and laughter.
2018 was another year with low inventory which kept Single family dwellings ,condos , patio homes and lots at an all time high in Campbell River. With many homes having competing offers and selling for above asking price. The average house price in Campbell River is now approximately $507,000.00 with newer homes with 2 x 6 construction selling quickly. Fixer uppers tend to stay on the market longer as many buyers opt to buy a newer home that has less maintenance and heating costs. There were only 517 Single Family Homes SOLD in Campbell River in 2018 Versus 652 in 2017 that's 135 less homes that SOLD in 2018. The reasons for this short fall in sales are, the 20% foreign buyers tax , the new stress test, and a rise in interest rates. With fewer people selling in Vancouver and area moving to less expensive cities the ripple effect has slowed dramatically. I've read two articles in the news in the last week saying that Vancouver real estate is in a free fall, which of course will not be good for 2019 sales if it continues. The New Stress test has also become a problem because potential sellers cannot in some cases buy a home as nice as the one they live in and a rise in interest rates haven't helped anyone as well. My advice to people thinking of selling who will need a mortgage, make sure you see your lender and pre qualify for your next home before you list your current one. My advice for buyers, be prepared with a pre approved mortgage when making an offer. Also, don't hesitate to look at a home because if it's priced well and in good condition it wont last long and be prepared to offer as much as you are willing to spend on the first offer as you probably won't get a second chance. I wish you and your family a fantastic 2019.