Metro real estate market to pick up steam in late 2013

End in sight for 'mild' housing market correction, economist predicts

Real estate prices sagged slightly in most of Metro Vancouver in 2012.

Real estate prices sagged slightly in most of Metro Vancouver in 2012.

Home prices dipped in much of the Lower Mainland last year but not by nearly enough to count as a bursting of what some had considered a real estate bubble.

The composite benchmark price of all residential property in Greater Vancouver dropped 5.8 per cent from the price peak in May to the end of 2012.

That represented a 2.3 per cent one-year drop from December of 2011, according to the Real Estate Board of Greater Vancouver.

“It’s a mild market correction,” said Central 1 Credit Union economist Helmut Pastrick.

He predicts a continued soft real estate market for the next several months before buying and prices perk up in the second half of the year.

Pastrick bases his forecast on improving growth in the U.S. that will spill over into B.C. later in the year, and spur continued economic growth and home price gains in 2014-16.

He said the recent decline in prices may also help draw some prospective buyers back into the property market.

Greater Vancouver Real Estate Board president Eugen Klein said the “modest” change in home prices and the steeper 22 per cent drop in overall sales reflected a “collective hesitation” of home buyers and sellers.

The benchmark price for detached houses in the Greater Vancouver area was down 2.7 per cent year-over-year to $904,000.

Composite residential prices fell the most in 2012 on the Sunshine Coast (-6.3 per cent), Richmond (-5.3 per cent) and Vancouver’s west side (-2.8 per cent.)

Areas that gained year-over-year included Port Moody (up three per cent), Pitt Meadows (up 2.6 per cent) and Coquitlam (up 1.3 per cent.)

The average single detached home owner in Greater Vancouver saw an 18 per cent gain over the past five years, but apartment owners actually lost money – 1.3 per cent – over the same period.

The Fraser Valley Real Estate Board, which includes Surrey, White Rock and North Delta, reported a benchmark detached house price of $539,000 – up 1.2 per cent from a year ago. Townhouses were down 2.2 per cent and apartments were up 1.6 per cent.

“The last half of 2012 was like a Mexican standoff,” said FBREB president Scott Olson. “Buyers kept hoping for greater price drops while sellers who didn’t have to sell just took their home off the market rather than lower their price.”

Sales in the Fraser Valley were down 11 per cent for the year.

 

Benchmark prices, one-year % change

Greater Vancouver

Detached house – $904,200  (- 2.7 %)Attached – $450,900  (- 2.6 %)Apartment – $361,200  (- 1.9 %)

Fraser ValleyDetached house – $539,000  (+1.2 %)Attached – $296,400  (-2.2 %)Apartment – $200,100  (+1.6 %)

Just Posted

A Milbert’s tortoiseshell rests on a flower. Nature Chilliwack says butterfly gardens for every stage of life are possible using plants native to the area. (Photo/Nature Chilliwack)
Nature Chilliwack offers butterfly garden tips

Gardens can be created using local plants, the nature club says

(Photo/Mary-Jean Coyle)
Community Camera for June 11, 2021

Submit your photos to news@ahobserver.com

Jacqueline Pearce and Jean-Pierre Antonio received the BC Historical Federation Best Article Award on Saturday for their story about translating haiku written in the Tashme internment camp.
Article chronicling haiku in Japanese internment camp near Hope wins award

Tashme Haiku Club’s work was preserved and recently translated, authors write

(Adam Louis/Observer)
PHOTOS: Students leap into action in track events at Kent Elementary

At Kent Elementary, when the sun’s outside, the fun’s outside. The intermediate… Continue reading

Kindergarten kids from Evans elementary school in Chilliwack painted rocks with orange hearts and delivered them to Sto:lo Elders Lodge recently after learning about residential schools. (Laura Bridge photo)
Kindergarten class paints rocks with orange hearts in Chilliwack for local elders

‘Compassion and empathy’ being shown by kids learning about residential schools

Canadian Prime Minister Justin Trudeau participates in a plenary session at the G7 Summit in Carbis Bay, England on Friday June 11, 2021. THE CANADIAN PRESS/Adrian Wyld
Canada donating 13M surplus COVID-19 vaccine doses to poor countries

Trudeau says the government will pay for 87 million shots to be distributed to poor countries

Premier John Horgan speaks as provincial health officer Dr. Bonnie Henry, right, and health minister Adrian Dix look on during a press conference to update on the province’s fall pandemic preparedness plan during a press conference from the press theatre at Legislature in Victoria, Wednesday, Sept. 9, 2020. THE CANADIAN PRESS/Chad Hipolito
B.C. officials to provide details on Step 2 of COVID reopening plan Monday

Step 2 could allow for larger gatherings and a resumption of recreational travel

Indigenous Services Minister Marc Miller is seen during a news conference, Wednesday May 19, 2021 in Ottawa. THE CANADIAN PRESS/Adrian Wyld
Indigenous child-welfare battle heads to court despite calls for Ottawa to drop cases

Feds are poised to argue against two Canadian Human Rights Tribunal rulings

The Great Ogopogo Bathtub Race has been held in Summerland as a fundraising event. Do you know which Canadian city introduced this sport? (Black Press file photo)
QUIZ: A summer’s day at the water

How much do you know about boats, lakes and water?

Join Black Press Media and Do Some Good
Join Black Press Media and Do Some Good

Pay it Forward program supports local businesses in their community giving

Cannabis bought in British Columbia (Ashley Wadhwani/Black Press Media)
Is it time to start thinking about greener ways to package cannabis?

Packaging suppliers are still figuring eco-friendly and affordable packaging options that fit the mandates of Cannabis Regulations

Two-year-old Ivy McLeod laughs while playing with Lucky the puppy outside their Chilliwack home on Thursday, June 10, 2021. (Jenna Hauck/ Chilliwack Progress)
VIDEO: B.C. family finds ‘perfect’ puppy with limb difference for 2-year-old Ivy

Ivy has special bond with Lucky the puppy who was also born with limb difference

A million-dollar ticket was sold to an individual in Vernon from the Lotto Max draw Friday, June 11, 2021. (Photo courtesy of BCLC)
Lottery ticket worth $1 million sold in Vernon

One lucky individual holds one of 20 tickets worth $1 million from Friday’s Lotto Max draw

Most Read