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In the region spanning from North Delta to Abbotsford/Mission, new listings witnessed a remarkable surge of 40 percent compared to April.
The real estate market in desperate need of increased supply finally saw its wish fulfilled in May. According to the Fraser Valley Real Estate Board (FVREB), there was a remarkable surge of over 40 percent in new listings compared to April. Last month alone, the region witnessed 3,533 new listings, which came close to the 3,631 listings recorded in May 2022, and exceeded the 10-year average by a slight margin of 2.7 percent.
The number of active listings also experienced substantial growth, reaching 5,558, which represents a 20 percent increase from April. This significant month-over-month jump is the highest recorded in over a year.
The FBREAB encompasses various communities in British Columbia, including North Delta, Surrey, White Rock, Langley, Abbotsford, and Mission.
Increased Supply Attracts Buyers
According to Narinder Bains, Chair of the FVREB, there has been a shift in the usual pattern of inventory influx during the spring sales cycle. The interest rate hikes in the latter half of 2022 caused both sellers and buyers to adopt a more cautious approach throughout the year. However, the current surge in supply indicates a recovery and adjustment to the new financing landscape.
The increased supply has attracted buyers, resulting in 1,711 sales processed by the FVREB’s Multiple Listing Service (MLS) in May. This marks a 10.1 percent increase compared to the previous month and a significant 25.8 percent jump from May of the previous year.
Baldev Gill, CEO of FVREB, finds the more typical cyclical activity in the spring season encouraging. The upward trend in inventory since December 2022 provides more options for buyers, which is expected to stimulate further listings. However, the persistent high levels of inflation raise concerns about potential future rate hikes.
In May, across the Fraser Valley region, detached homes took an average of 23 days to sell. Apartments and townhomes followed a similar timeline, with both taking an average of 23 and 18 days, respectively, to sell after being listed.
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