February 2023 Real Estate Market Stats

March 2, 2023
Market Updates
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The market picking up steam as we head toward spring

The February Real Estate Market Stats 2023 show us that last month, 220 single-family homes were sold in the Vancouver Island Real Estate Board (VIREB) area. This is a 37% decrease from one year ago (350) and a 33% increase from January 2023 (165). Sales of condo apartments in February 2023 came in at 64, declining by 40% year over year and increasing by 52% from the previous month. In the row/townhouse category, 50 units changed hands in February. This is down 44% from one year ago, and up by 39% from January.

“The higher sales seen in February are no real surprise, as the housing market typically begins to pick up steam as we head towards spring,” says Kelly O’Dywer, 2023 Chair. “We’re still seeing some multiple offers on well-priced properties, but the market is more price-sensitive than we’ve seen in some time. Buyers are savvy and unwilling to stretch their budget by more than they can comfortably afford.”

Active Listings are still below what is needed for a balanced market

Inventory continues to post gains, but active listings are still below what is needed for a balanced market. Active listings of single-family homes were 937 in February, up from 345 one year ago and 861 in January. VIREB’s inventory of condo apartments hit 253 last month, up from 116 listings one year ago and 239 in January. There were 251 row/townhouses for sale last month compared to 66 one year ago and 239 the previous month.

“Although listings have increased from the depleted level seen at the beginning of 2022, they’re still low compared to historical levels,” says O’Dwyer. “As a result, we’re not expecting supply to normalize until some time in 2026, and weak inventory will put more pressure on prices when demand increases.”

In its 2023 First-Quarter Housing Forecast, the British Columbia Real Estate Association (BCREA) states that a slowing economy and still-elevated mortgage rates are expected to keep housing activity lower than usual throughout much of 2023. However, BCREA expects a strong recovery, boosted by an expected decline in mortgage rates and record-high immigration that will carry significant momentum into 2024.

Benchmark Price

The board-wide benchmark price (MLS® Home Price Index) of a single-family home was $732,500 in February 2023, down 8% from one year ago and a small dip from January. In the apartment category, the benchmark price was $398,800 last month, a 1% decrease from February 2022 and a slight increase from January. The year-over-year benchmark price of a townhouse was $560,800 in February, down 2% from one year ago and up slightly from January. Average prices for February were $783,746 (single-family), $370,734 (apartment), and $528,622 (townhouse). Median prices were $742,500 (single-family), $359,000 (apartment), and $501,000 (townhouse).

Nanaimo’s year-over-year benchmark dropped by 11 percent to $750,500
Campbell River, the benchmark price of a single-family home was $652,600 in February, down six percent from the previous year.
Comox Valley’s year-over-year benchmark price dropped by three percent to $789,600.
Cowichan Valley, the benchmark price was $738,200, a seven percent drop from February 2022.
Parksville-Qualicum area saw its benchmark price drop by eight percent to $848,100.
Port Alberni was $516,500, down 12 percent from the previous year.
North Island, the benchmark price of a single-family home decreased by three percent to $414,700.