Real Estate Assn predicts BC home prices will drop
Posted November 5, 2010 10:22 am.
This article is more than 5 years old.
VANCOUVER (NEWS1130) – The Canadian Real Estate Association is expecting the price of a home in BC to drop next year.
Chief Economist Gregory Klump says a slower third quarter in 2010 led to a more stable housing market. He explains, “Not only did demand come in weaker than expected, but so did supply. Because of the synchronized movement in supply and demand, the market has remained balanced.”
Sales have bottomed out since the HST came into effect in July. Klump says that’s good news for people looking to buy because there’s less competition. But sellers should keep an eye on prices. They’re up nearly five per cent in BC this year, but a two per cent drop is forecast next year.
Klump tells us, “Because we had a number of high-end sales before the HST, that’s unlikely to repeat itself.”
