Sales of homes in Langley plunged in April, according to data released by the Fraser Valley Real Estate Board (FVREB) this week.
In April, Langley saw just 109 single family homes sell, down 48.6 per cent from the same month a year ago, and 35.1 per cent from March.
Townhouse sales saw a similar drop-off, with 97 sales, a 46.1 per cent decline year-over-year, and down 28.1 per cent from last month’s totals. Condo sales were somewhat more resilient, with 120 units selling in April, down 20.5 per cent from the same month last year, and 36.8 per cent from last month.
Langley was not alone, as sales across the region dropped below the rolling 10-year average for sales in April for the first time in two years.
April saw the sixth-highest sales activity for that month out of the last 10 years, according to FVREB stats.
This slowdown, which has been building through March, comes in what is traditionally peak season for home sales.
“We would typically see a flurry of activity around this time of the year,” said FVREB president Sandra Benz, “however that’s not been the case so far.”
Fewer people are listing their homes for sale as well.
New listings were down 37.4 per cent for detached houses, 14.9 per cent for townhouses, and 17.9 per cent for condos. The total number of houses for sale in Langley is up from last month, however, thanks to the sharp decline in sales.
Prices for homes didn’t move much in April.
In Langley in April, the benchmark price for a house – the average price for a “typical” local home – hovered at $1.78 million, up 0.9 per cent from March, and still a 32.7 per cent increase on the same month a year ago.
The benchmark for a townhouse was $914,200, up 4.2 per cent, and for a condo, it was $599,600, essentially flat from the $599,800 in March.
However, average prices, which can fluctuate more based on sales at the high or low end of the price spectrum, saw some softening. While the average price for a house rose three per cent, it dropped three per cent for a townhouse, and four per cent for a condo.
That also reflected a regional trend. Across the Fraser Valley, from North Delta to Abbotsford and Mission, the average price paid in April for any type of home was down 5.1 per cent.
New homebuyers are now facing higher mortgage rates than they have in several years, as the Bank of Canada increases interest rates rapidly to fight inflation, and has indicated more increases are likely this year.
The price of homes has increased steeply over the last decade, and that process went into overdrive during the pandemic, as interest rates dropped to bargain-basement levels.
In 2012, the average price for a detached home in the Fraser Valley was hovering at around $600,000. Following two major housing booms, it peaked at more than triple that, about $1.9 million, earlier this year.
The average price has now fallen back down to below $1.8 million.
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