Seasonality, interest rates temper Fraser Valley home sales

After five months of successive increases, real estate sales in the Fraser Valley, BC, dropped in response to a combination of continued rising interest rates and the summer sales cycle. The Fraser Valley Real Estate Board (FVREB) processed 1,368 sales in July, a decrease of 29.3% below June, but still 37.8% above July 2022. 

July new listings, at 2,855, were also down by 16.6% compared to last month but 19.7% higher than July 2022 levels, and virtually on par with the 10-year average. Active listings continued to climb, increasing by 4.3% over June, bringing the total inventory available for sale in the region to 6,199. 

The market for detached homes softened in July with a sales-to-active listings ratio of 17% while demand for townhomes and apartments remained firm at 45% and 36% respectively. The market is considered balanced when the sales-to-active-listing ratio is between 12% and 20%.