Realty market continued upward trend in 2007
January 09, 2008
LOCAL REALTORS now have the evidence to back up 2007 as being a banner year for the housing market here.
There were 398 Multiple Listing Service sales worth $62.9 million, an increase from the 361 properties sold and $48.5 million registered in 2006 and the 322 properties worth $40.3 million that sold in 2005.
Within that 398 number were 220 single family residential sales at an average price of $182,561 for 2007.
That’s compared to 209 single family home sales in 2006 at an average price of $144,205 and 193 sales with an average price of $126,612 in 2005.
“It was a really good year. Actually it started about two years ago when the number of sales and prices went up somewhat but last year is when it really started to happen,” says Diana Wood from the Royal LePage agency here.
“So it’s been good when you think of what it was here for six or seven years.”
Wood and John Evans from Remax Terrace both say the standard single family home in the $150,000 range of just a few years is now worth more than $200,000 and, in some cases, selling in the $225,000 area.
“Some of the homes that would have sold in the $100,000 range four years ago have doubled in price,” Evans added.
In addition, 35 pieces of vacant land sold, 19 apartment units sold, 27 homes on acreage sold, 22 manufactured homes in mobile home parks changed hands as did 36 manufactured homes on acreage.
Both Evans and Wood noted the decrease in the length of time it took in 2007 to sell a house – 38.7 days compared to 67.7 days in 2006 and 61 days in 2005.
“That kind of turnaround is really better for everyone,” Evans.
Wood says people from Edmonton and the Lower Mainland looking to retire are forming a key contingent of buyers.
“They’re able to sell what they have and buy the equivalent house here for a lot less and put the rest in the bank,” she said.
Evans said sellers represent a variety of groups, from the out-of-town retirees to speculators to first time local buyers to locals trading up to people returning who left in the early part of the decade.
Wood cautions she wouldn’t want local prices to get to the point home ownership becomes unaffordable for local young people.
When it comes to the mix of housing, both point to the Deep Creek Masonry multi-family development behind the farmers’ market and the Sun Ridge townhouse development off of Yeo St. on the Bench as welcome additions to broaden the city’s appeal to current or prospective residents.
And both realtors are buoyant about 2008, although the kind of price increases experienced in 2007 may not be repeated.
As of late last week, Evans said there were 87 MLS single family residences on the market which is not a lot given demand.
Right now, demand is steady,” said Evans. “I’d say we can expect increases in the range of 10 to 15 per cent this year.”
Terrace Standard
