Housing Market Push and Pull: Economic Growth Versus Affordability
By Jaime Briggs, REALTOR®
www.BriggsOnHomes.com
June 7th, 2010
For immediate release
Housing Market Push and Pull: Economic Growth Versus Affordability
BCREA Housing Forecast - Second Quarter 2010
Vancouver, BC – June 7, 2010. The British Columbia Real Estate Association (BCREA) released its Housing Forecast for the second quarter of 2010 today.
BC Multiple Listing Service® (MLS®) residential sales are forecast to ease back 3 per cent from 85,028 units in 2009 to 82,350 units this year, before increasing 4 per cent to 85,900 units in 2011.
“Eroding affordability will trim home sales by 3 per cent this year despite improving economic conditions and related employment growth,” said Cameron Muir, BCREA Chief Economist. “The push and pull of positive economic growth versus rising mortgage interest rates is expected to keep BC home sales near their 10-year average of 85,569 units both this year and next.”
The average MLS® residential price is forecast to climb 6 per cent to $494,600 this year and remain relatively unchanged in 2011, albeit increasing by 1 per cent to $499,700.
"Strong consumer demand in Vancouver, Victoria and the Fraser Valley was largely responsible for driving the average home price in the province higher over the last three quarters,” added Muir. “However, demand has moderated in those markets and a larger inventory of homes for sale has pulled market conditions into balanced territory, providing less upward pressure on home prices"
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The full BCREA Housing Forecast is available at: www.bcrea.bc.ca/economics/HousingForecast.pdf.
For more information, please contact:
| Cameron Muir | Damian Stathonikos |
| Chief Economist | Director of Communications and Public Affairs |
| Direct: 604.742.2780 | Direct: 604.742.2793 |
| Mobile: 778.229.1884 | Mobile: 778.990.1320 |
| Email: cmuir@bcrea.bc.ca | Email: dstathonikos@bcrea.bc.ca |
BCREA represents 12 member real estate boards and their approximately 18,000 REALTORS® on all provincial issues, providing an extensive communications network, standard forms, economic research and analysis, government relations, applied practice courses and continuing professional education (
cpe).
To demonstrate the profession’s commitment to improving
Quality of Life in BC communities, BCREA supports policies that encourage economic vitality, provide housing opportunities, respect the environment and build communities with good schools and safe neighbourhoods.
For detailed statistical information, contact your local real estate board. MLS® is a cooperative marketing system used only by Canada’s real estate boards to ensure maximum exposure of properties listed for sale.
