This year, the province had three times as many buyers looking for homes as sellers looking to sell – and that’s pushing up prices, according to a new report from the BC Real Estate Association.
COVID-19 has created a large and unprecedented demand for housing, according to the report, as the supply of available housing has fallen.
The BCREA said that although demand has normalized somewhat, most of British Columbia’s housing markets are still under-supplied, creating an imbalance.
At the height of market activity, in March 2021, the province experienced the largest increase on record.
During this peak, approximately 67,000 buyers were looking for homes, while there were only 24,000 listed properties.
Prices increased dramatically, as each ad often received multiple offers.
The BCREA said pressure on demand has been eased by sales, while some buyers have been forced out of the market due to cost restrictions or discouraged by lack of supply.
The average price of a house in British Columbia has increased by almost 25% since the start of the pandemic.
Even as total demand tends towards historically average levels, the BCREA predicts that the provincial market will need almost double the number of active listings during the pandemic to meet new demand and keep prices stable over the course of the pandemic. the period.