Smart Pricing is Key in Balanced Market

Posted by Dave Koszegi on Tuesday, November 5th, 2019 at 8:48am.

NANAIMO, BC – Sales of single-family homes in October dropped by 11 per cent from 2018 and were virtually the same as in September. Apartment and townhouse sales dipped by nine per cent and 22 per cent, respectively. Last month, 343 single-family homes sold on the Multiple Listing Service® (MLS®) System compared to 345 the previous month and 384 in October 2018.

In the apartment category, 88 units sold last month, while 42 townhouses changed hands. Inventory of single-family homes in October rose by 14 per cent from one year ago (1,173 to 1,333). Active listings of apartments increased by 16 per cent (322 to 373) year over year while townhouse inventory dropped by 21 per cent (167 to 132). The benchmark price of a single-family home board-wide was $521,800 in October, a four per cent increase from one year ago and down slightly from September. (Benchmark pricing tracks the value of a typical home in the reported area.) In the apartment category, the year-over-year benchmark price rose by three per cent, climbing to $300,200 and marginally higher than in September.

The benchmark price of a townhouse rose by one per cent year over year, hitting $402,300 last month, which was two per cent lower than in September. Regionally, the benchmark price of a single-family home in the Campbell River area last month was $446,300, an increase of six per cent over October 2018. In the Comox Valley, the benchmark price reached $531,400, up by five per cent from one year ago. Duncan reported a benchmark price of $485,300, an increase of three per cent from October 2018. Nanaimo’s benchmark price rose by less than one per cent to $559,500 in October, while the Parksville-Qualicum area saw its benchmark price increase by three per cent to $583,900. The cost of a benchmark single-family home in Port Alberni reached $336,100 in October, an 11 per cent increase from one year ago.

Trend-wise, VIREB’s housing market is balanced in most areas, with home sales and listing activity at typical levels for our region. Buyers are negotiating competitively and are willing to walk away and wait, so smart pricing is a must for sellers.

“This is a more comfortable market for people on both sides of the real estate transaction,” says VIREB president Kaye Broens. “But correctly pricing your home is the key to a quick sale and may even result in multiple offers. Overpriced properties tend to linger, and that risk increases in a balanced market.” Broens adds that pricing your home to sell isn’t easy, so sellers and buyers may want to consider using a REALTOR®. “We have access to tools and market analytics that empower us to dig deeply into sales data and comparatives,” says Broens. “That knowledge allows us to determine an optimal selling price for your home and find a house that fits your needs and budget.”

Be sure to ​reach out​ to the​ RE/MAX of Nanaimo, Dave Koszegi Group​ - we’re here to help, every step of your Real Estate journey! Thanks for reading.

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