Dip in Home Sales and Prices
In November, Langley’s real estate market faced a slowdown, marked by a decrease in home sales and a slight dip in prices. The ongoing impact of higher interest rates throughout the year contributed to a subdued market, creating challenges for potential buyers.
Annual Winter Slowdown
The annual winter slowdown hit the Langley real estate market, a common trend from November through January. However, this year’s numbers revealed a more pronounced dip compared to the usual seasonal lull.
Regional Overview
According to statistics from the Fraser Valley Real Estate Board (FVREB), November recorded 891 home sales across the region. This marked an eight percent drop from October, making it the ninth-slowest month for housing sales in the past decade.
Listings and Inventory Trends
The number of newly listed homes also decreased by 20 percent, with 2,030 listings, and the total homes listed for sale were 6,254—five percent lower than October but 17 percent higher than November of the previous year.
Langley-Specific Numbers
In Langley, only 46 single-family homes were sold in November, reflecting a 22 percent decrease from the same month in the previous year. Townhouse sales increased by 24.3 percent, totaling 46, while condo sales saw a decline of 26.7 percent, with 63 units sold.
Price Movements
All types of housing experienced slight declines in prices ranging from 0.6 to 0.8 percent, yet prices remained notably higher than the same month the previous year, showing a 4.3 to 7.4 percent increase.
- Benchmark price for a typical single-family home: $1.522 million
- Benchmark price for a townhouse: $862,800
- Benchmark price for a condo: $604,900
Market Dynamics and Future Outlook
The Fraser Valley Real Estate Board highlighted a “balanced” market, with a sales-to-active listings ratio of 14 percent, favoring neither sellers nor buyers. The Chair of FVREB, Narinder Bains, anticipates this holding pattern to persist until there is a shift in interest rates, emphasizing the importance of monitoring this indicator in the coming months.
Price Trends Over the Years
The Langley housing market has experienced significant fluctuations over the past three years. The pandemic initially led to a downturn, followed by a surge driven by rock-bottom interest rates and a demand for more space. However, the trend slowed abruptly in 2022 with rising interest rates, leading to a decline in average detached house prices in the Fraser Valley.
In summary, Langley’s housing market is navigating a slowdown, with key indicators pointing towards a measured approach until potential shifts in interest rates become evident.
Please contact Jared Gibbons, your local realtor, should you have any questions.