BC Housing Prices Are Predicted To Drop Next Year & These Areas Will Get Much Cheaper
If 2023 is the year that you finally planned on getting your foot on the property ladder in B.C., you might want to consider these areas.
According to the latest data from the British Columbia Real Estate Association (BCREA), housing market activity in the province is likely to "fall below normal levels" next year.
As a result of this shift, house prices are likely to decline by around 5% in the pretty pricey province.
BCREA said the number of Multiple Listing Service (MLS) residential sales is predicted to decline by a whopping 34.4% from record highs seen in 2021 and the downward trend could continue into the new year, falling an additional 11.4%.
While home prices across the province have flattened out after peaking earlier this year, BCREA predicts the average home price will continue to fall by around 5% across the province in 2023.
Some places could see prices drop more with the highest decline expected in the Fraser Valley where prices are forecast to decrease by 7.8%, followed by Chilliwack at 6.2%.
In the Greater Vancouver area, there will be an average price drop of around 5.2%, followed by the Okanagan at 4.9%, while Victoria and Kootenay could see prices decline by 4.3%.
Brendon Ogmundson, BCREA's chief economist, said the "significant shift" is that factors that drove the housing market over the last two years aren't having as big an impact now.
Previously, buyers had been looking for extra space as working remotely was possible and there were also record low mortgage rates.
The market shift seen towards the end of this year is likely to continue through 2023 too due to high-interest levels combined with a difficult year ahead for the Canadian economy.
So if you're looking to step into home ownership, 2023 might be a better time to do it!
