The latest housing market figures indicate that northern BC home sales are at their highest since 2006. Across Canada the number of home sales hit new records as buyers take advantage of historically low mortgage interest rates.
In BC there were 9,416 home sales last month, a 46 per cent increase from November last year. In Northern BC, 363 homes sold, 15 per cent higher than November of 2019. Now entering the usually quieter holiday season there is so far little sign of the market slowing down.
British Columbia Real Estate Association (BCREA) Chief Economist Brendon Ogmundson says home sales have been “unseasonably strong,” in November, adding:
“While demand continues to be strong, the supply of listings has reached near-record lows in several parts of the province, with prices rising sharply as a result.”
In fact in BC, the average residential price reached $816,074 up from $746,310 last year. The number of active sales listings has fallen 14 per cent year-over-year in November leading to this home price hike. These figures are great news for existing homeowners, especially those looking to refinance and release equity. For new home buyers the market is challenging. But, the lowest mortgage interest rates available for nearly a decade make it even more rewarding when they find the perfect home.
DLC’s own economist says home sales are “historically strong.”
Dr Sherry Cooper, Chief Economist, Dominion Lending Centres, says of Canada’s equally strong overall performance that “home sales continued to run at historically strong levels last month.” In her latest blog, penned for DLC, she quotes Shaun Cathcart, the Canadian Real Estate Association’s (CREA) Senior Economist, who says:
“It’s looking like 2020 will be a record year for home sales in Canada despite historically low supply. We’re almost in 2021, and market conditions nationally are the tightest they have ever been, and sales activity continues to set records.”
Speaking to Vista Radio Prince George, BCREA’s Ogmundson cites “pent up demand,” from the Covid-19 lockdowns in the spring as a driver for northern BC home sales highs, as well as low mortgage rates. He predicts for 2021:
“For the north, we are going to get a real ramp-up of all those major capital projects that had to put their tools down for a big part of this year so I can think we are going to have a strong BC economy with a lot of that led in the north like it was in 2019.”
Here at Dominion Lending Centres Northwest we’re already seeing more mortgages close in December for our buyers and homeowners than in November. This is a clear indication that despite the holiday season there is plenty of activity in the market. We expect January to be just as fulfilling. Especially as even more existing homeowners refinance to take advantage of BC mortgage interest rates as low as 1.89%.
Would you like to take advantage of Canada’s lowest mortgage interest rates for a decade?
Call Adam Coultish, Mortgage Advisor, Dominion Lending Centres Northwest, on 250-638-3302. Or, visit brokeradvice.ca to begin your new mortgage or mortgage refinance application.