April 2024 Comox Valley Market Report

April 2024 Comox Valley Market Report

Comox Valley Real Estate Prices Stall Amidst Rate Uncertainty. Exploring Trends and Strategies in Comox Valley's Market As it Moves Sideways with a tilt downward.

In this April Market Update:

  • Real Estate Quote of the month

  • Comox Valley April 5 yr. home prices

  • Interest rates

  • Inflation expectations

  • VIREB Average Price

  • Single Family Dwelling Sold in March

Quote of The Month:

"Ninety percent of all millionaires become so through owning real estate." – Andrew Carnegie

Comox Valley March 5 yr. home prices

As a seasoned real estate professional in the Comox Valley, I'm dedicated to delivering precise and insightful information about our local market's pricing trends. In my March analysis, I focused on single-family dwellings (SFD) in Zone 2, excluding acreages and oceanfront properties, revealing an average price of $741,800, or a decline of -8% from last year. This marks the lowest March figure in two years, a significant point worth exploring further.

My methodology is finely tuned to our specific area, emphasizing the importance of reflecting local property dynamics in any market analysis. I meticulously gather data on properties sold within our defined parameters, ensuring a detailed and localized perspective for a comprehensive understanding.

While my analysis provides an in-depth view of our immediate market area, broader market statistics also offer valuable insights. According to the Vancouver Island Real Estate Board (VIREB), the average sale price for the same period in the Comox Valley stood at $947,555, indicating an 11% year-over-year increase with a massive -36% decline in volume. However, it's essential to note that VIREB's data encompasses areas beyond my research scope, potentially leading to variations in average prices and trends for my customer base.

The market has exhibited some volatility recently, prompting buyers to contemplate their strategies amidst uncertainties. Factors such as promised rate cuts and their potential impact on housing affordability add layers of complexity to decision-making. Looking ahead to April, upcoming home sales will play a pivotal role in shaping our understanding of market trends and aiding informed decisions for buyers and sellers alike.

In summary, my commitment to providing localized insights remains steadfast, empowering clients with precise and relevant information crucial for their real estate decisions within the Comox Valley.

Quarterly topic: Interest rates unchanged for February

Bank of Canada maintains policy rate, continues quantitative tightening

The Bank of Canada today held its target for the overnight rate at 5%, with the Bank Rate at 5¼% and the deposit rate at 5%. The Bank is continuing its policy of quantitative tightening.

Global economic growth slowed in the fourth quarter. US GDP growth also slowed but remained surprisingly robust and broad-based, with solid contributions from consumption and exports. Euro area economic growth was flat at the end of the year after contracting in the third quarter. Inflation in the United States and the euro area continued to ease. Bond yields have increased since January while corporate credit spreads have narrowed. Equity markets have risen sharply. Global oil prices are slightly higher than what was assumed in the January Monetary Policy Report (MPR).

In Canada, the economy grew in the fourth quarter by more than expected, although the pace remained weak and below potential. Real GDP expanded by 1% after contracting 0.5% in the third quarter. Consumption was up a modest 1%, and final domestic demand contracted with a large decline in business investment. A strong increase in exports boosted growth. Employment continues to grow more slowly than the population, and there are now some signs that wage pressures may be easing. Overall, the data point to an economy in modest excess supply.

CPI inflation eased to 2.9% in January, as goods price inflation moderated further. Shelter price inflation remains elevated and is the biggest contributor to inflation. Underlying inflationary pressures persist: year-over-year and three-month measures of core inflation are in the 3% to 3.5% range, and the share of CPI components growing above 3% declined but is still above the historical average. The Bank continues to expect inflation to remain close to 3% during the first half of this year before gradually easing.

Governing Council decided to hold the policy rate at 5% and to continue to normalize the Bank’s balance sheet. The Council is still concerned about risks to the outlook for inflation, particularly the persistence in underlying inflation. Governing Council wants to see further and sustained easing in core inflation and continues to focus on the balance between demand and supply in the economy, inflation expectations, wage growth, and corporate pricing behavior. The Bank remains resolute in its commitment to restoring price stability for Canadians.

Source: Bank Of Canada Press Release.

Inflation expectations:

VIREB Average Price

Single Family Dwelling Sold in March


The content presented in this newsletter is intended for general informational purposes only. Real estate market conditions are dynamic and subject to change, and the data shared herein is based on the best available information at the time of publication.

While I am committed to ensuring the accuracy and reliability of the statistics and market information presented, it is essential to recognize that my analysis is crafted from independent research and may differ from mainstream analyses that rely on distinct data sources. Real estate markets are influenced by a multitude of factors, both internal and external, which may not be fully captured in the provided data.

Readers are strongly encouraged to conduct their own research. I provide this information in good faith, and for those seeking a more personalized and detailed analysis tailored to their specific needs, I am available for individual consultations. Your trust in my dedication to delivering accurate and valuable information about the real estate market is sincerely appreciated.

MLS® property information is provided under copyright© by the Vancouver Island Real Estate Board and Victoria Real Estate Board. The information is from sources deemed reliable, but should not be relied upon without independent verification.