October 2021 Nanaimo Real Estate Market Stats

November 3, 2021
Market Updates
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The predominant theme running through the housing market in the Vancouver Island Real Estate Board (VIREB) area is one of “A different month, but the same issues continue”

398 single-family homes sold in October, a 23 three percent decrease from one year ago.
There were 122 condo apartment sales last month, a six percent decrease from October 2020. In the
row/townhouse category, 88 units sold compared to 98 the previous October. However, there is little
doubt that a dearth of active listings is causing the sales decline, and if the supply increase so will the number of sales.

Buyers continue to face frustrating hurdles caused by historically low inventory, with little relief in sight.
Active listings of single-family homes were 46 percent lower last month than in October 2020 and
dropped by 18 percent from September. VIREB’s inventory of condo apartments declined by 63 percent from one year ago and was 26 percent lower than in September. However, there was some positive news for townhouse buyers. While active listings in this category dropped by 39 percent year over year, inventory increased by 13 percent from September.

In its most recent housing forecast, the British Columbia Real Estate Association (BCREA) stated that
the supply situation is especially severe in markets outside the Lower Mainland, including Vancouver
Island. Listings activity has been lackluster, and even if sales come back down to long-run average levels,
total listings would need to nearly double to bring markets back into balance. The road to doubling
those listings lies in increasing the housing supply.

“Unless demand drops significantly or more inventory comes online through new construction, VIREB’s
inventory situation likely won’t improve,” says Ian Mackay, 2021 VIREB President.

Mackay welcomes the news that the Government of British Columbia is giving local governments more
tools and powers to simplify and speed up their development approvals processes, helping to build the
homes people need more quickly.

“Real estate is all about supply and demand. New construction isn’t a quick solution, but it’s the only one
that can address the housing shortage, and, hopefully, temper prices,” said Mackay.

The board-wide benchmark price of a single-family home reached $757,300 in October, up 31 percent
year over year and an increase from September. In the apartment category, the benchmark price hit $397,200 last month, a 30 percent increase from October 2020. The benchmark price of a townhouse was up by 34 percent year over year.

October 2021 Benchmark Prices

Nanaimo’s benchmark price rose by 28 percent, hitting $755,500
Campbell River, the benchmark price of a single-family home hit $663,000 in September, up by 28.5% percent from the previous year
Comox Valley, the year-over-year benchmark price rose by 31 percent to $779,000
Cowichan Valley reported a benchmark price of $756,900, an increase of 30 percent from October 2020
Parksville-Qualicum area saw its benchmark price increase by 34 percent to $887,300
Port Alberni reached $504,000, a 36 percent year-over-year increase
North Island rose by 55 percent, hitting $418,800 in September