Like a spring rain, March saw a much-needed shower of new listings in the Powell River residential real estate market. Fifty new listings in March is well up from February’s 25 and one ahead of last March. This is normal, but should promote an increase in sales for May as buyers who’ve been holding in a flight pattern over the winter have more choices in the months ahead. The market is still showing as balanced with residential sales at 20 and total available listings at 121. My calculations are showing that local average residential prices for our area are up in the first three months of 2019 over the final 3 months of 2018. With a relatively small number of sales (52 and 80) in those periods, averages should be taken with caution, but the general feeling is that we’re not seeing the price drops that the bigger centers are experiencing. Powell River is still affordable and the demand is still there. An increase in inventory is good news for buyers and the continued demand is good news for sellers. Call me if you need some solid advice on the local market.
Mortgage Rates Going Down?
If you’re in the market for a new home, keep in touch with your lender. There are signs that there may be some rate reductions in coming months for 5-year fixed term mortgages. It’s not expected that the Bank of Canada “official” rate will change, but when government bond rates decrease, some of the banks/lenders will follow with some of their rates as well. Stay tuned into the news and your lender as you may be able to get one of these better rates. Apparently the 5-year fixed is the most common mortgage and may come down as much as 1/2 a percent by this summer before moving back up later in the year and into next year.
Vancouver Home Prices
A recent study showed that Vancouver home prices are the 2nd highest in North America, behind only San Francisco. Why does this matter in Powell River? It’s those extreme prices that are driving buyers in ever-expanding rings to the areas around Vancouver. With prices averaging over a million dollars for single family homes in Vancouver, our average home prices at just under $400,000 are pretty attractive. Add to that our location on the ocean, good amenities, recreation and a generally welcoming community and Powell River becomes a very attractive alternative. Fifty percent of our buyers are from out of town and we’re seeing a nice variety of new small businesses and cultural interests growing in the area. It’s a good kind of growth and our community is benefiting from it!
FEATURE LISTING: 6920 ALBERNI ST
CENTRAL REVENUE HOME with duplex zoning and there’s potential for more! Right in the heart of the Westview business area, this home is generating a good income. Recently renovated and cleaned up, this older building with a one-year roof provides very comfortable accommodation with an ocean view from the deck upstairs. Property currently produces $1,725 in monthly revenue and has an additional, potential bachelor suite with separate entry, which would generate additional income. It’s getting tougher to find homes in this price range and the income on this one will certainly help with the mortgage. Offered at $294,900 (MLS # 14188)