Maple Ridge’s Housing Market Update- Cooling Down
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This is the kind of question that will be heard at Metro Vancouver, when the Real Estate Board of Greater Vancouver released a report that the residential property sales had amounted to 3,226, in the Month of July. This represents an 18.9% decrease in sales as compared to the month of July 2015, which had 3,978 sales, that is also a 26.7% decrease as compared to the sales of last June, which summed up to 4,400.
Actually, since January, this is the first time whereby house sales in the locality recorded a figure below 4,000 in 30 days.
Looking at the July sales of detached homes, Pitt Meadows and Maple Ridge were ranked as the leaders in the 16 neighborhoods that are covered by REBGV.
126 houses were sold or bought in Pitt Meadows and Maple Ridge area. After these two neighborhoods, the community that followed was Richmond, which is covered still by REBGV, had a total of 123 sales of detached houses in July.
Though that was the case, the total homes that changed hands in Pitt Meadows and Maple Ridge neighborhood in the past month, exceeded by 100 the number sold houses in June, which summed to 234 houses.
Still, with the cool housing market, the price of detached houses in Pitt Meadows and Maple Ridge neighborhood, are seen to be shooting up.
The standard price that a detached house in Maple Ridge ranged was $705,900, in the past month. This price is 1.9% more than it was in June and 38.1% higher that it was in July 2015.
This same pattern was noted in Pitt Meadows, in that the cost of a detached house was $767,200, a figure that is 0.9% higher that how it was in the month of June, and 33.5% pricier than it was in the past July.
Though being residents there, they are not certain how the latest passed 15% tax for the buyers in Metro Vancouver will alter the faraway neighborhoods like Pitt Meadows and Maple Ridge.
According to Edge, the effect will be felt in Vancouver, because foreign buyers prefer to buy houses in the center of the city. For this reason, Pitt Meadows and Maple Ridge are not going to be affected because no such serious buyers come there to buy homes.
Though being the case, he concluded that there had been uncertainty in the entire Metro Vancouver, regarding taxes.
Speaking, Maple Ridge realtor said that it was in Vancouver that all things are triggered from. According to him, any notable activity in the real estate business starts from Vancouver, then propagates outwards like a wave towards other parts.
For Edge, he sees that even the advancing development of the Albion region and East Maple Ridge, the local market is still determined by supply and demand, more so with the vending of detached homes.
Speaking, Edge said that there is a lack of sufficient product in new starts construction, which can maintain the buyer’s demand. Also, the number of real estate buyers has increased as compared to the property to be sold in the market.
Another factor that is determinant is the affordability. Though there has been an abnormal increase in prices in the last year, Pitt Meadows and Maple Ridge have still maintained to be the affordable neighborhoods in the REBGV covered regions.
Edge confessed that there is a considerable effect of the spin-off, on what’s happening in the larger regions.
On the other hand, Dan Morrison, the president of REBGV, said that there was some leveling in the market.
Morrison said that after many months in which the sales activities broke the records, the demand for people to purchase homes came down to the normal rate in July.
He continued saying that even with the leveling out; the past month recorded a 6.5% increase, as compared to the average monthly sales of the past ten years.
According to Justin Hennessey, a Maple Ridge Realtor there were some signs of moderation of home sales towards the end of June, which maintained till the month of July.
The BCREA, (British Columbia Real Estate Association), revealed that there were 9,900 residential sales recorded by MLS (Multiple Listing Service) in July, which is 3.4% lower as compared to July the past year.
In July, the total sales amounted to $6.57 billion, which is 5.4% higher as compared to the past year. It was noted that the residential MLS price in that particular province was $663,411, which 9.1% higher as compared to the previous year.
Cameron Muir, the chief economist of BCREA, said that nearly in all parts of the province, there was a moderation in the demand for homes, though a record breaking was witnessed earlier during the year.
Also, he quoted that the slow rate of home sales could provide the required advancement to the catalog of homes for vending. Also, he said that there were expectations that the appreciation rate would slow down in the present spring period.
Currently, the volume sales of British Columbia residential sales had shot up to $56.5 billion, which is 45.5% as compared to the same duration of time, but in 2015.
As for the unit sales of residential homes, they shot up to 77,261 units, which is an increase of 25%. Meanwhile, the residential price of MLS rose to $731,189, which is equivalent to 16.4%.