Home Sales to Rise 5 Per Cent This Year

BCREA 2011 Second Quarter Housing Forecast

Vancouver, BC - June 30, 2011. The British Columbia Real Estate Association (BCREA) released its 2011 Second Quarter Housing Forecast today.

BC Multiple Listing Service® (MLS®) residential sales are forecast to increase 5 per cent from 74,640 units in 2010 to 78,200 units this year, before increasing a further 3.1 per cent to 80,700 units in 2012. 

In the Kootenay area the residential sales forecast is a decrease of 4.8% from 1,995 to 1,900 units with an average price decrease of 5% to $260,000 from $273,723 with a forecast 0.8% increase in 2012 to $262,000.

"Home sales will post some modest gains over the next two years," said Cameron Muir, BCREA Chief Economist. "However, positive housing fundamentals like job growth, rising wages and an expanding population base will be somewhat offset by higher borrowing costs over the next eighteen months."   

"Following a decade where unit sales broke all records, consumer demand over the next few years will be relatively moderate," added Muir. The ten-year BC MLS® residential sales average is 87,000 units. A record 106,300 MLS® residential sales were recorded in 2005.

Read the complete report (pdf)