Kirk Williams - Royal LePage in the Comox Valley
Realty Check – Your monthly look at Crown Isle Real Estate
One of my guilty pleasures during the first few days of the New Year is to go online and check the latest BC Assessment numbers long before the hard copy comes in the mail. This year Crown Isle residents no doubt congratulated themselves on their wise decision to buy a home in our beautiful, well-kept neighbourhood, where assessment values continue to go up. It’s good to remember, however, that your assessment reflects a “snapshot” of what your home was worth on July 1st last year. Where do we stand now?
We have all seen the headlines: Interest rates on the rise, “free money” is now more costly to borrow and home sales have dropped. We need a little context here. Despite the headlines, the housing market has not collapsed. Far from it. The Canadian Bankers Association reported in January that of the 5,103,312 mortgages in Canada, just 0.15% were in arrears. In high-priced BC, the rate was even lower at 0.10%.*
The Bank of Canada has raised interest rates a remarkable eight times in less than a year to cool the economy and bring down inflation. This has hit the housing market. First time buyers facing increased financing costs were particularly hard hit. Other buyers took a “wait and see” approach, as did sellers. Inventories dropped and prices in some areas fell compared to a year earlier. However, along with its January 25th increase of just .25%, the Bank of Canada also signaled it would “pause rate hikes”. This will provide much needed stability for both buyers and sellers and may entice some to make a move. Many industry pundits predict a housing market recovery as the year unfolds.
We are now closer to a balanced housing market. Buyers have the time to do their due diligence when making a purchase. Sellers may not be able to get the prices their neighbours did during the frothy days of the pandemic, but if you have owned your home for awhile you have enjoyed solid returns on your investment. Selling and buying in the same market also has its benefits—your current home may not sell for what you hoped, but your next home’s price might be lower, too. Your realtor can provide a more detailed Comparative Market Analysis of how your home compares to others listed or sold in Crown Isle.
Now for some fun with Crown Isle MLS stats**:
- For the year ending January 25th, 68 properties were sold or under contract in Crown Isle worth a total of $78,179,888.
- For the year ending January 25th the median sale price of a single family home: $1,167,500
- For the year ending January 25th the median sale price of a condo: $689,950
- For the year ending January 25th the median sale price of townhome/patio home: $ 741,750
Kirk Williams is a realtor and works out of the Royal LePage in the Comox Valley kiosk in the Crown Isle Clubhouse.
604.340.4597 • [email protected]
*Source: https://cba.ca/mortgages-in-arrears
**Source: Vancouver Island Real Estate Board. Median prices are not average prices. 50% of the properties sold for more than the numbers shown, 50% sold for less. New homes constructed and sold by Crown Isle Homes or other builders may not be included in the MLS statistics.
