Thursday September 9, 2010

Local Real Estate News

Slow and Steady Wins In Long Haul

Real Estate market cools off

 

 

ith one of the slowest summer seasons in decades for local real estate sales behind us, realtors are confident that a healthy inventory of homes, better understanding of the HST and continued low interest rates will build renewed activity in the real estate market this fall.

 

Slow and Steady Will Triumph In Local Housing Market

With one of the slowest summer seasons in decades for local real estate sales behind us, REALTORS are confident that a healthy inventory of homes, better understanding of the HST and continued low interest rates will build renewed activity in the real estate market this fall.

While still well below last summer's sales figures, August home sales in Chilliwack and area strengthened from the month before - to 145 sales - from 201 in August of last year.

"Historically, sales dip in the summer months and we typically see an increase in both listings and sales when summer holidays are over and people are back at work and school," said Kyle Hislop, President of the Chilliwack
and District Real Estate Board (CADREB).

"We are already hearing reports of more activity leading up to and including the Labour Day weekend".

Hislop notes that it is taking some time for consumers to understand the effects of the Harmonized Sales Tax.

"The fact is, for new properties under $350,000, of which there are many in our area, HST has little impact. For properties slightly higher, a large percentage of the tax is rebated, so we are in a good position here where prices have not gone through major fluctuations. Resale housing does not have HST on the purchase; of course there will be HST on the closing costs etc, as there was under the GST."

Of the 145 sales recorded last month, the highest number (23) were those in the $300,000 - $349,999 range, perhaps reflective of the HST ceiling for pre-owned homes. The next most popular range was in the $350,000 - $399,999
range, where 18 sales were recorded. Noticeable was a decrease in higher end homes, with only seven sales over the half-million dollar mark.

A total of 371 new listings joined the roster in August, for a total of 1,767 active listings.

"The selection of homes is great, interest rates remain historically low, and prices are adjusting to meet market conditions," said Mr. Hislop. "This presents excellent opportunities for buyers, whether they are first-time homeowners, moving up, or investing.

Chilliwack is a growing community and housing here has not been subject to wild price fluctuations. Real estate remains one of the soundest long-term investments."

For more information contact President Kyle Hislop at Chilliwack & District Real Estate Board, 604-858-7179 #1-8433 Harvard Pl., Chilliwack, BC  V2P 7Z5

 

 

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