This is what a 'moderating' housing market looked like in June

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Sales are slowing, but is that having a meaningful effect on home prices?

The reason behind the surging prices is low supply. Active listings in the province were 27.7 per cent lower than in June 2020, and 42.5 per cent below the five-year average.A similar story is playing out in B.C.’s housing market, where home buyers continue to find ways to pay astronomically high prices.

“A lack of supply continues to be the single largest factor affecting the market,” said Larry Anderson, president of the Fraser Valley Real Estate Board, which governs the territory directly to the east of the Vancouver sprawl. “Simply put, to meet current demand and get back to balance, we need about 3,500 more active listings in our region.”Housing activity in Quebec fell by 16 per cent year-over-year in June, according to the Quebec Professional Association of Real Estate Brokers .

The median price of single-family homes in Quebec had increased by 32 per cent by the end of June. With a rise of 25 per cent, the median price of condos wasn’t far behind.

 

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