Published: Sat, January 05, 2019
Business | By Eloise Houston

BC housing market shows signs of moderation: assessment agency

BC housing market shows signs of moderation: assessment agency

Kerr said the market, which has been subject to a lot of government involvement over the last year, is in transition and as a result he expects 2019 to be a flat year for real estate with sales likely to hover around the same level as the end of 2018. That is a 1.9 per cent decrease from the 54,655 homes listed in 2017 and a 6.9 per cent decrease from the 57,596 homes listed in 2016. However, some non-urban areas' detached markets remained relatively robust, primarily the Sunshine Coast (+5.8 per cent) and Bowen Island (+5 per cent).

The average assessment of a single-family home last year was $1,149,000 which climbed $1,222,000 in this year's report. In December, there were 375 sales of all property types, down from 462 in the same month in 2017.

Single-family detached home sales for the month reached just 348 units, representing a 43.6% decrease from the 617 detached sales of the same period in 2017. The report says there were 1,072 homes sold last month, a 46.8 per cent decrease from the 2,016 sales recorded in December 2017, and a 33.3 per cent decrease from November 2018 when 1,608 homes sold. "Demand is still too strong".

Home prices vary widely in different areas throughout the region. "The prices you're seeing [on property assessments] are not in sync with the existing market".

Further details can be found through BC Assessment's website. "This is a very risky market for building spec homes right now", Edge said.

In Taylor, there was a 0.77 percent decrease in residential property values.

Light industrial property values have also seen a decrease of 1.99 percent when compared to 2018 values.

"Now we're touching upon the issue of jobs and economic development", he said. "Nobody wants to get caught in a situation where they're sitting on homes that can't be sold".

Dawson Creek saw increases in all three property value types.

Since previous year, the total value of property assessments across the island increased by almost $25 billion, rising from approximately $222 billion in 2017 to $246.9 billion.

"A total of about $913 million of the region's updated assessments is from new construction, subdivisions and rezoning of properties", Krantz said.

The composite benchmark price for all residential homes in Metro was down 2.7 per cent to $1,032,400.

According to B.C. Assessment, 98 per cent of property owners accept their assessment.

Property owners who can appeal their assessments by January 31 and those appeals are heard between February 1 and March 15.

"The majority of residential home owners within the region can expect a modest change compared to last year's assessment", deputy assessor Keith MacLean-Talbot said in a news release.

Marolla says it's important for people to recognize that just because your property value has gone up, it doesn't mean your property taxes will go up by the same amount because municipalities will make adjustments for the increase.

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