Richmond Housing Report - May, 2011

June 20, 2011

Richmond Housing Report - May, 2011

Source: RealtyLink Online

Housing Type Active Listings May Sales Av. 3 mth No. Months Average Price
Detached 905 135 180 5.03 $1,120,000
Townhouse 445 103 118 3.77 $565,000
Condominiums 800 135 166 4.82 $370,000

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ri-apt1.gifRichmond’s total homes sale for May, 2011 totaled 373 units was slightly lower than the previous month sale of 385 homes. The supply of detached homes, townhomes and condos/apartments increased 26% from 1,705 units the previous month to 2,150 units.

The *months of inventory for May 2011 at 4.63 months was an improvement compared with the previous month of 3.87 months of supply.  When new townhouses and condos that are available via pre-sale through developers directly, the supply of townhouses and condos would have resulted in a near balance supply and demand in the market place. There are signs that more home sellers are cashing in to list and try to catch the prevailing high prices of homes. The demand for older detached homes had slowed down significantly. But home prices are some 10% to 15% higher than what was selling at the end of 2010.

The slowing down in sales activities is noticeable, and a moderation in price can be expected. There are now more resale home listings competing for buyers with presale new condos from new multi-family developments around the City.   Mortgage rates are still very low and remained relatively stable. The market is not expecting any significant change in interest rates the next 3 months.  While market activities are expected to remain strong, home prices are expected to remain stable for now.  For home sellers, this could be a good time to sell their homes while the market is favorable.

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.

months of inventory (MOI) is a ratio based on total supply against the average 3 months sale. A ratio of 6 MOI is considered a “market in balance” .  A ratio much higher than 6 will result in home prices under pressure to go lower and a ratio much under 6 will result in home prices under pressure to go up. 

Disclaimer: The writer assumes no liability whatsoever, for errors and/or omissions and any consequences arising either directly or indirectly from the use of information provided by this website. Any data provided are strictly for guidance and planning purposes only and may not be applicable due to ever changing market dynamics.

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