BCREA: BC Home Sales to Rise in 2013

BC Home Sales to Rise in 2013
BCREA 2012 Third Quarter Housing Forecast Update
For a PDF version of this news release, including data table, follow this link:
http://www.bcrea.bc.ca/docs/news-2012/2012-08-30forecast.pdf.

Vancouver, BC – August 30, 2012. The British Columbia Real Estate Association (BCREA) released its 2012 Third Quarter Housing Forecast Update today.

BC Multiple Listing Service® (MLS®) residential sales are forecast to edge down 4 per cent to 73,400 units this year, before increasing 7.5 per cent to 78,900 units in 2013. Since 2009, MLS® residential sales in BC have ranged between 74,000 to 78,000 units. A record 106,300 MLS® residential sales were recorded in 2005.

"Despite more robust consumer demand in the Interior, fewer home sales in Vancouver will pull the BC total lower this year," said Cameron Muir, BCREA Chief Economist. "However, a notable growth trend in full-time employment combined with persistently low mortgage interest rates is expected to boost housing demand around the province in 2013."

"MLS® residential prices are expected to remain relatively stable this year and through 2013, with changes in average price statistics largely the result of a differing mix of home types sold and shifting regional demand patterns," added Muir. Average price data for Vancouver was skewed artificially high in 2011 by a wave of detached home sales in the priciest neighbourhoods. Lower Mainland's share of provincial home sales is expected to decline to 58 per cent this year from 62 per cent in 2011. The average MLS® residential price in BC is forecast to decline 7.8 per cent to $517,500 this year, and remain relatively unchanged at $519,000 in 2013.

To view the full BCREA Housing Forecast Update, click here.

BC Commercial Leading Indicator Points to Strong Growth Ahead

BC Commercial Leading Indicator Points to Strong Growth Ahead
For the complete news release, including detailed statistics, click: here.
Vancouver, BC – August 28, 2012. The BCREA Commercial Leading Indicator (CLI) continued to trend higher in the second quarter of 2012, rising 0.8 points to 112.6 from a revised level of 111.8 in the first quarter.  On a year-over-year basis, the CLI is now 3.7 per cent above its level in the second quarter of 2011.

"The trend in the CLI continues to signal strong growth in the BC commercial real estate market,” said Brendon Ogmundson, BCREA Economist. “The CLI’s trend has continued with a steep rise from early 2011, reflecting a pick-up in employment numbers as well as calmer financial market conditions."

This quarter’s increase in the CLI was driven entirely by the employment and financial components of the index while some economic activity measure, such as retail sales, have trended lower.

“As global economic fears quiet down and the BC economy continues to produce stronger job growth, we expect to see improvements in economic activity,” added Ogmundson.

To view the full BCREA Commercial Leading Indicator index, click here.