Time to bail out of the housing market?

April 17, 2010

 Garth Turner, author for The Greater Fool Blog commented on his blog “List this” dated April 15, 2010:

“In a single month almost 100,000 families decided it was high time to bail out of their houses, flooding the market across Canada with a sea of new listings”.”There’s now every reason to believe listings will continue to climb in all markets. As I have explained previously, people list when markets fall and sit on properties while they rise. Read more

Richmond Housing Report – March, 2010

April 6, 2010

Richmond Housing Report – List Vs Sold March, 2010
Source: RealtyLink Online

Housing Type Active Listings March Sales Av. 3 mth No. Months Average Price
Detached 530 222 163 3.25 $970,000
Townhouse 265 149 101 2.62 $510,000
Condominiums 730 200 165 4.42 $350,000

Richmond detached homes
Richmond townhomes

The Richmond total home sale for March, 2010 at 571 units was about 47% higher than the previous month sale of 389 homes. The supply of detached homes, townhomes and condos/apartments totaled around 1,515 units was 15% higher than the previous month total of 1,315 units.

With more listings coming onto the market, the tight supply of homes in Richmond is expected to ease gradually. Sale momentum can be expected to be maintained, as buying interest is expected to continue until the end of June. Home buyers are trying to make their purchases and close before the end of June, 2010. The market continued to be very active with home buyers ready to commit when they come across homes meeting their requirements.

The list/sale ratio improved greatly from 3.47 to 3.53 months inventory. There are now more sellers and listings, and the rush to buy by buyers is easing. Currently, price reduction is not as prevailing, but this is expected to change if homes are sitting on the market too long. It may take some time before the list to sale ratio increase to 6 months inventory to reach a balanced market.

Home buyers are looking out for new listings and ready to pay prevailing market prices which are now  surpassing the previous heights in 2007. The media and housing experts are cautioning home buyers, to only consider taking on home mortgages that they can afford.

Heading towards a balanced market?

The sales pace is expected to remain active until the middle of the year. Buyers are prompted to buy now before the interest rates spike up the second half of 2010. The pending implementation of HST for new homes will likely affect higher valued new homes that are priced over a quarter of a million.

You can use the link here to view homes available for sale in Richmond. For more information on Richmond real estate, you are welcome to contact me at 604-721-4817 or email me.

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Home listings rise to start the spring season

April 6, 2010

Real Estate Board of Greater Vancouver Housing Report – read full report here.A steady influx of new listings has helped create a balanced ‘typical spring’ housing market in the Greater Vancouver region.

The Real Estate Board of Greater Vancouver (REBGV) reports that new listings for detached, attached and apartment properties in Greater Vancouver totalled 7,004 in March 2010. This represents a 60 per cent increase compared to March 2009 when 4,385 new units were listed, and a 52.1 per cent increase compared to February Read more

Making Sense Of Canadian Real Estate Prices

April 4, 2010

 Canadian real estate and money supply

Real estate as an asset class is subject to supply and demand like any other goods that are in demand by people. The historical prices for Vancouver real estate may have a close relationship with crude oil prices and the supply of money for Canada and the world (global supply).

The following table summarizes the prices for real estate, crude oil, gold and the supply of money as recorded for January of 1990, 2000 and 2010 – for a period of 20 years. Read more

Buyer/Seller Opinions and Preferences

April 2, 2010

In 2009, the REBGV commissioned Skunkworks Creative Group Inc. to conduct its latest body of research on consumers’s expectation from their realtors, and what gaps that may exist between client and realtor expectations. Read The Vancouver Sun article here >.

The study found that:

  •  With improved technology and the increased availability of information, homebuyer expectations of their realtors are shifting away from traditional norms.
  • Read more