The February 2023 residential real estate market statistics are suggesting that there might be early signs of stabiization in the market. House prices were up slightly in February 2023 compared to the prior month. This is the first bump up in prices after almost a year of month over month declines.
Similarly, sales numbers also trended up compared to the prior month. In fact, 898 sales were processed by the Fraser Valley Real Estate Board in February 2023. Although half the number of a year ago, they were higher by 44% compared to January 2023.
Here is an overview of key statistics for Detached Houses, Townhomes and Apartments.
The sales to active listings ratios for townhouses and apartments suggested a seller's market for these categories, for the month of February. This might suggest pent-up demand was being set forth into the market and possibly suggesting a firming in prices moving into the spring. Further reinforcing this ideas was the fact that the number of average days on market fell compared to January.
If interest rate increases do pause, as the Bank of Canada has suggested it would do, it might give buyers more clarity around their purchasing power and affordability. In turn, this could inspire confidence to act. On the other side of the coin, we need to see more new listings come to market to normalize market conditions. These next couple of months will be key to determining the next phase of market movement in Fraser Valley real estate.