As we near the half-way mark of November, it is time to take a look back at how the real estate market has been trending thus far in 2015. And, so far it has certainly a year for the books. Not only have we experienced the highest level of real estate activity since 2010, but September was also the best month for real estate sales since 2007.
Contrary to what many people may think, the fall is usually Whistler’s busiest month for real estate – due in part at least to a combination of people wanting to complete their transactions before the start of the ski/board season and the hangover of sales from the end of the summer completing.
Let’s start with the record month of September where we saw a total of 95 reported sales with a total value of almost $65,000,000 and an average sales price of $693,484. As of September we had seen an 8% increase in activity over the same period last year, not to mention a 20% increase in the total value of sales.
Now, let’s get a little more current and take a look at how the real estate market is doing as of the end of October.
There have been more sales over the course of the last 12 months than we have seen in any 12 month period since 2010 and we can safely assume that the total dollar volume of sales in 2015 will exceed $675 Million (5% higher than 2014 and the highest level since 2007). On the flip side, we only have about 6 months worth of inventory – this is also the lowest level we have seen since 2007.
Here is a breakdown of the average sales price by market by segment:
Although the single family home market segment has witnessed a 17% increase in the total number of sales compared to one year ago, both the townhome and condominium segments saw a slight drop. This is due to a lack of available properties to purchase.
We have seen a 30% increase in activity in Whistler’s luxury market (which consists of properties listed at $2 Million and higher). The average sales price in this market segment is currently sitting at $3,050,000 and can mostly be attributed to the sales of luxury townhomes and unique acreages. That said, 75% of the sales in Whistler continue to occur below the $1 Million price point.
With all this great news in mind, it is important to note that we are experiencing the lowest inventory levels we have seen since 2010. With high demand and low supply there is increasing upward pressure on prices across the board and buyers are finding that the market is trending towards highly competitive conditions when it comes to well-priced and/or desirable new listings. Many properties are selling within days of hitting the market and many under multiple offers. It would not be surprising if we start to see properties selling for higher than asking price if current conditions remain the same.
On a broader scale, Whistler is not alone. The entire Sea-to-Sky Corridor from Squamish to Pemberton are experiencing many of the same trends – high demand and low inventory. All three real estate markets continue to buzz along at a busy pace.
In a nutshell, what does this mean for you?
What do we expect moving forward?
Real estate continues to be a safe haven for many people due to the continued uncertainty in financial markets. We expect interest rates to remain low and this, combined with favorable exchange rates for foreign buyers and the continued evolution of Whistler, there is no doubt that the resort will continue to attract buyers. We can safely expect real estate prices to trend upwards for the foreseeable future.
If you have any questions or would like more information on the current state of the Whistler real estate market, contact me. Whistler is a very unique and nuanced market and it is important for you to have the most up-to-date and accurate information if you are thinking of buying or selling.