More disposable income, tight supply keep B.C. housing market strong despite COVID-19: report
the Editors • October 8, 2020
Not even a global pandemic can keep the province's real estate industry down.
The British Columbia Real Estate Association’s latest report, The Unusual World of Pandemic Economics, seems to contradict its title. Or maybe that’s the point.
In any case, the hammering that many parts of the economy have seen thanks to the COVID-19 pandemic hasn’t been felt by the province’s real estate industry, at least according to the BCREA.
“Looking at recent data in the housing market, it would be difficult to tell there was a recession at all,” said BCREA chief economist Brendon Ogmundson in a release. “In a typical recession, we would see falling demand and rising supply, but this recession is anything but typical.”
The report points to uneven job losses across sectors, an increase in many households’ rate of savings, swift government aid, a tighter-than-ever housing supply and low interest rates as the drivers behind B.C.’s recent housing market highs.
Notably, high-income households have been much less affected by the crisis than middle- or lower income families. Household savings and disposable income have also increased, with the latter jumping 11 percent from the first quarter of 2020 to the second, according to the report.
With people not as keen to show their homes or move during the pandemic, supply has shrunk, too, creating some pent-up demand.
The BCREA’s current prediction for 2020 MLS sales is in the 80,000 range, which would beat 2019’s tally of 77,331. The group is also predicting a massive bump for next year.
“We expect home sales will sustain this momentum into 2021, aided by record-low mortgage rates and a recovering economy,” noted Ogmundson.
Many Canadians in the market for their first home have a clear picture of what they want, and falling interest rates, rising inventory and softening prices are making it more achievable. ๐ Get the Details Here
๐ก Radon in BC Homes: What You Need To Know โข๏ธ November is Radon Awareness Month, and new information from Health Canada, the BC Lung Foundation, and the Fraser Valley Real Estate Board shows that radon levels are rising in more BC homes, including neighbourhoods across Langley and the Fraser Valley. Radon is the leading cause of lung cancer for non-smokers in Canada, and because it is colourless and odourless, the only way to know your level is to test. ๐ฌ๏ธ In this video, I explain what radon is, how it enters a home, why levels can change over time, and what homeowners, buyers, and sellers should understand. I also walk through how long-term test kits work, why winter provides the most accurate readings, and what mitigation looks like if your home shows high radon. ๐งช I’ve included trusted radon testing resources below from RadonKills.caand the BC Lung Foundation. These organizations follow Health Canada guidelines and provide reliable information for BC homeowners. ๐งฅ A quick reminder that the Fraser Valley REALTORS® Annual Blanket Drive is underway. If you have gently-used blankets or warm winter clothing, give me a call and I’ll pick them up myself. If it’s easier for you, I’ve added the link to all official drop-off locations below. ๐ RadonKills.ca - https://www.radonkills.ca/bc ๐ Fraser Valley REALTORS® Blanket Drive: https://www.fvreb.bc.ca/fvrebpublic/a...
Santa’s stopping by 9160 Church Street for festive photos and holiday fun. Swing by on Saturday from 1–5 PM, snap a picture with Santa, and support LAPS. 100% of donations help local animals. Bring the whole crew… pets included. ๐ More Details Here
