November 2024 Market Update

OVERVIEW

After the October jump in sales, sparked in part by the recent interest rate reductions, it looks like November returned closer to seasonal numbers. With upcoming mortgage changes set to come into effect on December 15th (see article here) and an upcoming December 11th rate decision from the Bank of Canada, I still believe that the market is aligning for a more robust spring market than we’ve seen in recent memory.

If looking to buy, now may be the time. If looking to sell, it may be good to wait until spring depending on the property type and location.  With that said, let’s take a look at the November numbers.

MARKET STATS

Prices in the Fraser Valley remain relatively flat when compared to last year with a slight decrease of approx. 0.2% across all categories.

Benchmark prices in the Fraser Valley / City of Surrey compared to last year:

• Detached = $1,482,600 (-0.1%) / $1,602,900 (-1.0%)
• Townhouses = $835,100 (-0.2%) / $864,700 (-0.1%)
• Apartments = $536,100 (-1.2%) / $526,200 (-1.5%)

Properties are taking a little longer to sell in November with the average for all property types being 39 days for the Fraser Valley/Surrey when compared to the previous month (+6 days compared to October 2024). By property type for the Fraser Valley:

• Detached +9 to 44 days
• Townhouses +5 to 34 days
• Apartments +5 to 37 days

Overall, the market remains in balanced/neutral territory. Even with the slower pace of sales, the lower rate of new listings shrunk total inventory and kept the market in balanced territory. With the potential of future Bank of Canada interest rate reductions and upcoming legislative changes, my current thought is that the market will stay in balanced territory and potentially swing to a sellers market in Spring 2025.

With that said, there are always opportunities – so if you are considering getting into the market, speak to a trusted real estate expert to fully explore your situation.

THINKING ABOUT BUYING IN 2025?

A few changes for you to be aware of:

• Mortgage Changes go into effect on December 15th that may make buying a home easier for you, such as:
  • Change to the down payment structure which reduces the minimum down payment required for properties over $1M (technically this change is about the expansion of mortgage insurance, but the effect is the same)
  • Amortization changes that now allow 30 year amortizations for new builds and first-time home buyers. This increases buying power by approximately 8-9% for the typical buyer
• Tenant notification changes may impact your timelines and ability to purchase certain properties depending on your situation
• Reminder: Short-term flipping rules (owned less than 2 years) come into effect on January 1, 2025

Real Estate industry changes are fluid and have many variables that may or may not impact your personal situation.

My best advice, as always, is to talk to a trusted real estate professional to understand how these changes may impact your 2025 buying plans.

Are you interested in learning about how these changes impact you specifically? Set up a no-obligation conversation here.

1 – The Fraser Valley Real Estate Board consists of the communities of Abbotsford, Langley, Mission, North Delta, Surrey and White Rock.

November 2024 Market Update for FVREB

November 2024 Market Update for Surrey