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HomeNewsNorthern BC home sales take a tumble in August

Northern BC home sales take a tumble in August

The BC Real Estate Association (BCREA) says just under 9,200 homes were sold across the province last month.

That’s an increase of 2.4% when compared to August of 2016.

However, it was a much different story here in the north. “We saw a bit of a downturn in August compared to August of last year so it’s down to 12.5%, some of that has to do with the fact that we had a number of forest fires that we had in the province during the month of August and that had an impact on overall sales activity in the interior and the north,” said Cameron Muir, BCREA chief economist.

There were 383 homes sold last month in the region – that’s a decline from the 438 units purchased during the same time last year.

Even though the volume of sales took a tumble, the average home price is trending upward.

“Market conditions are relatively tight in the north – we’ve seen average prices growing around 6 to 7 per cent so far this year and during the month of August we saw that bump up to almost 9% compared to a year ago,” added Muir.

The average home price in the north last month was over $288,000.

In August of 2016, it was just under $265,000.

What’s been the driving force behind the recent price hike? “When we look at the provincial economy overall it’s very strong, we’re in our fourth year of 3% or more real GDP growth and that has a cumulative impact – people get jobs, able to save for a downpayment and we’re seeing that manifested this year in sales of everything from apparel all the way up to houses.”

As for what is in store for northern BC during the remainder of 2017, Muir expects similar sales levels from last year. “Overall sales activity across the north is going to mirror last year’s activity and maybe go up a percent or two by the time we get to year end. That’s tempered with the fact that there are fewer listings for homes available for sale and we are seeing price growth along with more home selling at the higher end in many regions.”

The average residential home price in BC at the end of August was $678,186.

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