March Home Sales Growth Off Last Month’s Pace, But Supply Still Building in the Fraser Valley

As spring blooms in Surrey, BC, the Fraser Valley real estate market shows a mixed bag of activity. While home buyers are seeing a notable increase in inventory levels for March—the highest in the past five years—sales are not meeting expectations. This article dives into the latest statistics, market trends, and insights to help you navigate the current real estate landscape.

Surge in Inventory Levels

Home buyers in the Fraser Valley can look forward to more options this spring. Inventory levels in March reached their highest point in five years, providing a significant boost to market choice. The Fraser Valley Real Estate Board’s Multiple Listings Service® (MLS®) recorded 6,197 active listings in March, an 11% increase from February and a remarkable 37% rise compared to March 2023.

This influx of available properties is good news for buyers, offering more opportunities across both detached and attached markets. Jeff Chadha, Chair of the Fraser Valley Real Estate Board, highlighted this growth, noting that buyers now have more opportunities compared to a year ago.

Sales Slower Than Anticipated

Despite the increase in inventory, March sales lagged behind expectations. The Fraser Valley saw 1,395 transactions in March, which is a 13% rise from February. However, this figure remains 31% below the 10-year average and marks the second-lowest March sales in a decade.

Baldev Gill, CEO of FVREB, emphasized the importance of working with knowledgeable REALTORS® to navigate these conditions, noting that some sellers are still achieving multiple offers and quick sales when properties are priced appropriately.

Market Conditions and Pricing Trends

The market conditions in the Fraser Valley continue to favor sellers. New listings rose by 7% in March to 2,986, though this is still 12% below the 10-year average. The sales-to-active listings ratio stood at 23%, indicating a seller's market (a balanced market typically has a ratio between 12% and 20%).

Benchmark prices are also on the rise. In March, prices saw a 1.4% increase from February and a 4.6% rise over the previous year. Here's a closer look at the price activity for different property types:

• Single Family Detached: The benchmark price increased by 2.1% from February 2024, reaching $1,517,100, which is an 8.8% increase from March 2023.

• Townhomes: The benchmark price rose by 1.9% from February 2024 to $846,900, marking a 7.2% increase compared to March 2023.

• Apartments: The benchmark price climbed by 1.6% from February 2024 to $555,000, showing a 6.9% rise from March 2023.

Decreasing Days on Market

Another positive trend for sellers is the decrease in the average number of days homes are spending on the market. In March, single-family detached homes spent an average of 27 days on the market, down from 35 days in February. Apartments saw a reduction to 26 days from 29 days, and townhomes moved even faster, averaging 20 days on the market compared to 28 days in February.

Buyer Sentiment and Market Outlook

While the market dynamics are shifting, some buyers remain cautious. Jeff Chadha pointed out that despite the increased inventory, some buyers are still on the sidelines, awaiting a more stable financing landscape before making a move. This cautious approach can be attributed to fluctuating interest rates and economic uncertainties.

However, the current conditions offer a window of opportunity for those ready to buy. With a wide array of properties available and competitive pricing, now might be the perfect time for buyers to act.

Additional Resources

• Real Estate Affordability Calculator: Calculate what you can afford in the current market.

• Complimentary Home Evaluation: Find out the value of your home with a free evaluation.

• Home Search: Explore available properties and find your next home.

• Current Market Insights: Stay updated with the latest market trends and news.

Contact Us

Have questions or need assistance? Contact us for expert advice and support. Read our Google Reviews to see what our clients have to say about our services.

Disclaimer

This article is intended for informational purposes only and does not constitute professional advice. Always consult with a qualified real estate professional before making any real estate decisions.

About Us

Learn more about our team and our commitment to providing exceptional real estate services on our About Us page.

Privacy Policy

Your privacy is important to us. Read our Privacy Policy to learn how we protect your personal information.