Condos are STRONG! Why? Because people can afford them! Competition happens where there is the most interest. Don’t get me wrong, people are interested in houses, but a lot fewer people can afford a house, so there is more activity in the condo segment.
Buyers are watching condo prices continuing to rise. Young people want their first home, small families want a bigger condo and investors want in on the action too. The hottest segment is the low end of the condo market. It’s the most affordable, so there’s a group of buyers fighting to get into this neighbourhood while it’s still within their budget.
We are reaching the peak. We can already see prices settling in at the top end of the condo market. That will trickle down the price bands as the year comes to an end and we should see stabilizing prices.
New Westminster Houses – 2017 Fall Market Update & Predictions
House sales volume and prices have both taken a hit. Buyers are out there. They can feel that the pressure is off and they have time to make a decision, so they’re taking their time and picking just the right home, for the right price. New West buyers are not getting fooled or pressured into over-paying before someone else does. The houses that have too many compromises are getting over-looked and sitting on the market. Buyers are getting picky, because they can.
Expect further softening of the detached market while buyers bask in the luxury of time to reflect on their million, or multi-million dollar purchase.
Where is the market headed to close out 2017?
The big if, maybe, or what the ….? What impact will the lending rules have? They take affect Jan 1 2018. It is expected that they could drive up prices to close out 2017 as buyers rush to get in before the rules reduce their buying power. Then the limiting buying power could push prices down for the first quarter of 2018. As is almost always the trend, the Spring will bring more activity, competition and possibly drive prices up.
I suspect that if prices start to rise they will settle right back around whatever peak they dropped from in the first place. Market factors in and around New West seem to change monthly. I’ll have a new prediction by the end of November.
Simply considering what’s happening at this moment, the trend is toward stable prices, after some feeling out of the new lending rules.