Chilliwack (CADREB) – Home prices continue to edge upward in Chilliwack and area as demand far outstrips supply. The question “how much longer can this last?” has gotten old, as lack of inventory will keep prices buoyant, according to the Chilliwack and District Real Estate Board (CADREB).
“Housing prices are driven by supply and demand,” said CADREB President Andrew Verschuur. “As an example, of the 383 home sales last month, for the first time in history, the highest number (35) were just over the $1 million mark”.
Also telling is the dollar value of homes sold. While just under the number sold in the same month last year, the dollar value reached $306.5 million, far exceeding the $241.2 million value compared to a year ago. However, the local Board cautions buyers to not expect prices to fall anytime soon. Supply chain issues are affecting housing as well, stabilizing house prices depends on supply.
“The upward pressure on mortgage rates to help boost the economy and even tightened lending restrictions during the pandemic hasn’t affected buyers’ thirst for housing,” added Mr. Verschuur. “Demand particularly for single family houses is high”.
In addition to the 35 sales of homes $1 – $1,099,999 there were 63 homes sales beyond that mark, including 4 properties over $2 million. Year to year, single family home sales were the strongest, but demand remains steady for townhomes and condos as well. Inventory remains low, with only 453 active listings on the market at the end of last month.