Looking at the Squamish market…
For all property types, the sales-to-active listings ratio for April 2018 is 47 per cent. By property type, the ratio is 29 per cent for detached homes, 43 per cent for townhomes, and 53 per cent for condominiums. This is the most relevant stat for understanding our market; essentially it’s letting us know what the percentage of all properties in a particular category sell in a given month.
For detached homes, we are in a slightly buyer friendly market but are hovering back toward a balanced market. Generally, analysts say that downward pressure on home prices occurs when the ratio dips below the 12 per cent mark for a sustained period, while home prices often experience upward pressure when it surpasses 20 per cent over several months.
Sales are down and listings are up when looking at the market year over year. Sales down approximately 29 per cent for detached, 43 per cent for apartments, and 33 per cent for condos. Listings up, 2 per cent for detached, 26 per cent for apartments, and 67 per cent for condos. Some media will use this statistic incorrectly to give people the impression that the market is sliding. This is simply untrue, if there isn’t any inventory in market, sales will be down. Once again, sales to listing ratio and of course HPI price is what we should be watching.
The spring season is now in full swing, April saw almost twice as many listings come to market compared to March. Sales in May will give an indication as to where the market is trending after this increase in supply.
The gap between townhome and single-family home prices is closing. Last month the MLS® Home Price Index was $937,800 and $1.025M respectively, with a difference of less then $90,000 it is a great time to upsize if you are looking for a detached home in Squamish.
If you are thinking of listing your property, looking to purchase in Squamish, or simply want to chat real estate please get in touch!