Colin Breadner's Prince George Real Estate Blog

Real Estate Market Cooling, More Listings, Fewer Sales

noreply@blogger.com (Colin) — Mon, 21 Jul 2008 18:34:00 +0000

By 250 News

Friday, July 04, 2008 03:04 PM

Prince George, B.C. - The Real estate market is showing signs of cooling.

The BC Northern Real Estate Board reports 2,570 sales through the MLS® (Multiple Listing Service®) in the first six months of the year, compared to 3,408 in the same period last year and 3,421 in 2006.

The value of these properties totalled $533.6 million compared to $625.7 million in 2007 and $502 million in 2006. As of June 30th there were 4,794 properties of all types available for sale through MLS®, up from 3,515 at this time last year.

President Willy Berger says it has become a buyers market "Giving all those people who were waiting to get into the market the opportunity to finally do so. The interest rates for mortgages still remain in the single digits, making home ownership more affordable than even a year ago. The economic outlook for northern BC continues to remain positive, even though the forest industry has had major adjustments. The mining industry and oil and gas exploration are reaching all time highs in this region."

There are 36% more properties available on MLS® in northern BC than there was a year ago, giving buyers for any type of property a good selection to choose from.

Here is the region by region breakdown:
FRASER FORT GEORGE REGION
Prince George: In the City of Prince George 693 properties worth $153 million have changed hands so far this year through MLS®, compared to 952 properties worth $197.2 million to June 30th, 2007. Half of the 466 single family homes sold so far this year, sold for less than $224,900 and took, on average 51 days to sell. In addition, 21 pieces of vacant land, 22 apartments, 53 townhouses, 34 manufactured homes in parks and a further 26 manufactured homes on land have changed hands within the city. As of June 30th there were 841 properties of all types available for sale through MLS®, compared 741 at this time last year.

Mackenzie: 15 properties worth $1.2 million have sold since the beginning of the year, compared to 27 properties worth $3.2 million to June 30th, 2007. There are 89 properties of all types available for purchase through the MLS® in the Mackenzie area.

CARIBOO REGION
100 Mile House and area: A total of 226 properties of all types, worth $51.5 million have been sold by REALTORS® in this area since January. This compares with 385 properties worth $68 million sold in the same period last year. Half of the single family homes on lots less than an acre in size sold for $247,500 or less and it took on average 85 days for these homes to sell. In addition, 72 pieces of vacant land, 49 homes on acreage, 11 manufactured homes in parks and 17 manufactured homes on land changed hands in the first half of 2008. As of June 30th there were 676 properties of all kinds available for sale through the MLS® - up from 404 last year.

Williams Lake: 218 properties have been sold so far this year by REALTORS® in the Williams Lake area compared with 295 in 2007. The value of these properties is $45.1 million ($54.7 million in 2007). Half of the 66 single family homes sold so far this year, sold for less than $227,000 and it took, on average 68 days for these homes to sell. In addition, 41 pieces of vacant land, 49 homes on acreage, 19 manufactured homes in parks and 21 manufactured homes on land have sold since January of this year. At the end of June there were 432 properties of all types available for sale in the Williams Lake area – up from 291 as of June 30th, 2007.

Quesnel: In the Quesnel area REALTORS® reported 177 sales worth $26.9 million, compared to 270 sales worth $37.5 million to June 30th of last year. Half of the 71 single family homes on lot sizes of less than an acre, sold for $168,500 and took, on average, 66 days to sell. In addition, 26 pieces of vacant land, 24 homes on acreage, 15 manufactured homes in parks and 21 manufactured homes on land also sold in the first six months of the year. As of June 30th there were 295 properties of all types available on the MLS® in the Quesnel area (298 in 2007).

NORTHWEST REGION
Prince Rupert: 87 properties worth $17.2 million changed hands through the MLS® in the Prince Rupert area this year, compared to 131 properties worth $23.7 million in the first half of 2007. The median price of the 63 single family homes sold was $185,000 – up from last year’s median of $152,000. On average it took 68 days for a single family home to sell – down from last year’s 104 days. At the end of June there were 247 properties of all types available for sale through MLS® in Prince Rupert, up from 172 properties a year ago.

Terrace: REALTORS® in Terrace have sold 169 properties worth $31.6 million so far this year, compared to 192 properties worth $27.8 million in the first half of 2007. Half of the 100 single family homes sold this year sold for less than $195,000 an, on average, it took 47 days for these homes to sell. In addition, 18 pieces of vacant land, 7 homes on acreage, 9 manufactured homes in parks and 13 manufactured homes on land changed hands so far this year. As of June 30th there were 302 properties of all types available for sale on the MLS® in the Terrace area, up from 204 properties at this time last year.

Kitimat: 82 properties worth $12 million have sold through the MLS® in Kitimat and area in the first half of 2008, up from 80 properties worth $9.6 million in the same period in 2007. Half of the 50 single family homes sold this year, sold for less than $148,000 and on average it took 54 days for these homes to sell. In addition, 13 duplexes, 8 townhouses and 4 manufactured homes have sold this year. At the end of June there were 114 properties of all types available for sale in Kitimat (91 in 2007).

BULKLEY VALLEY-OMENICA REGION
Houston: 20 properties worth $2.9 million have sold so far this year. As of June 30th there were 57 properties of all types available for purchase through MLS® in the Houston area.

Smithers: REALTORS® in the Smithers area reported 114 sales worth $24.8 million in the first 6 months of 2008, compared to 212 sales worth $31 million to June 30th, 2007. Of the 60 single family homes sold this year, half sold for less than $219,500 and took on average, 51 days to sell. In addition, 11 pieces of vacant land, 20 homes on acreage, 7 manufactured homes in parks and 6 manufactured homes on land have changed hands this year. As of June 30th there were 194 properties of all types available for sale through the MLS® in the Smithers area, up from 164 last year.

Burns Lake: 61 properties worth $5.5 million have changed hands since January 1st. The 17 single family homes that have sold took, on average, 105 days to sell. In addition 15 pieces of vacant land, 6 townhouses, 11 homes on acreage and 4 manufactured homes on land changed hands this year. At the end of June there were 153 properties of all types available for purchase on the MLS® in the Burns Lake area, up from 132 at June 30th of 2007.

Vanderhoof: REALTORS® in the Vanderhoof area have been responsible for the sale of 83 properties worth $15 million in the first half of 2008 compared with 96 properties worth $12.5 million last year. Half of the 31 single family homes on lots less than an acre in size that have sold, sold for less than $169,000 and took, on average, 48 days to sell. In addition, 12 pieces of vacant land, 21 homes on acreage and 9 manufactured homes on land have sold so far this year. At the end of June there were 129 properties of all types available for purchase on the MLS® in the Vanderhoof area (83 in 2007).

Fort St. James: 34 properties worth $3.4 million have sold since January 1st in the Fort St. James area, compared with 19 properties worth $1.2 million last year. At the end of June there were 75 properties available for sale in the area – up from 39 properties at this time last year.

NORTHERN REGION
Fort St. John: REALTORS® assisted in the sale of 388 properties worth $101.7 million in the first half of 2008, compared to 399 properties worth $100.2 million last year. The 188 single family homes sold so far this year had median selling price of $284,000 and took, on average, 69 days to sell. In addition, 41 pieces of vacant land, 41 duplexes, 29 homes on acreage, 24 manufactured homes in parks and a further 30 manufactured homes on land have sold so far this year. At the end of June there were 573 properties of all types available on the MLS® in the area – up from 396 as of June 30th, 2007.

Fort Nelson: 65 properties worth $12.7 million have sold since January 1st, compared to 66 properties worth $14 million in the same period last year. Half of the 32 single family homes that sold, sold for less than $230,000 and took, on average, 63 days to sell. In addition, 7 manufactured homes in parks and an additional 13 manufactured homes on land sold this year. As of June 30th there were 92 properties of all types for sale through MLS® in the Fort Nelson area, down from 129 at this time last year.

Cooling off forecast in real estate sector

noreply@blogger.com (Colin) — Fri, 09 May 2008 18:10:00 +0000

Written by Citizen staff
Tuesday, 06 May 2008

In a forecast released Tuesday, the BCREB predicted the average price for a single-family home in the city will increase by three per cent during each of the next two years, to $248,000 and $256,000, respectively, compared to a 22-per-cent jump to $240,442 experienced in 2007.
Moreover, the number of units sold is expected to continue to decline, by 13 per cent to 950 sales in 2008 and five per cent to 900 in 2009, following a drop of nine per cent to 1,092 in 2007.
Multiply the average price by the units sold and the market for single family homes is predicted to drop by 10 per cent to $235 million in 2008 from $263 million in 2007 and to fall a further two per cent to $230 million in 2009.
Meanwhile, housing starts are forecast to drop five per cent over 2008 to 310 from 328 last year, when the total was up by three per cent. And over 2009, starts are expected to fall a further two per cent to 305.
Broken down further, starts on single-family homes are expected to fall by six per cent, to 270, from 288 in 2007, when the total rose by two per cent. And in 2009, the total is expected to fall a further four per cent to 260.
For multi-family units, starts are expected to remain the same in for 2008 at 40 and then rise to 45 in 2009, a 13-per-cent hike.
Prince George won't be the only community facing a slowdown -- the BCREA is predicting a provincewide moderation.
“Some weakness on the export side of the economy and eroding affordability will have an impact on housing demand over the next two years,” said BCREA chief economist Cameron Muir.
But he added that while the weak U.S. economy is negatively impacting the forest industry and tourism, "the B.C. economy is forecast to grow 2.5 per cent this year and 2.7 per cent in 2009, a higher rate of growth than most other provinces.
"Consumer spending, employment growth and net migration in the province are expected to remain robust and will continue to underpin housing demand through 2009," Muir said.

Housing starts down in April, according to CMHC

noreply@blogger.com (Colin) — Thu, 08 May 2008 22:09:00 +0000

Written by Citizen Staff
Thursday, 08 May 2008

Starts on construction of new single detached homes in Prince George declined last month in comparison with the same month a year ago, according to the latest release from the Canada Mortgage and Housing Corporation (CMHC).
In April there were 16 starts on new single-family homes, down 20 per cent from the 20 recorded in April 2007, CMHC statistics show.
Year-to-date figures are also down.
Between Jan. 1 and April 30 of this year work began on a total of 44 single detached homes, down 33.3 per cent from 66 starts on single-family homes during the same four months of 2007.

Housing values up 84% from 2003

noreply@blogger.com (Colin) — Thu, 01 May 2008 18:07:00 +0000

Written by PAUL STRICKLAND
Citizen staff
Thursday, 24 April 2008

Prince George weakest performer in real estate survey
The average house price in the Prince George region has increased 84 per cent since 2003, according to a study by the B.C. Northern Real Estate Board.
However, owning a home in the North still consumes a much smaller percentage of household income than Vancouver, according to the fifth annual Housing Affordability Study released Wednesday.
The average price of a home in this city declined from just under $150,000 at the end of 1997 to around $120,000 in 2001 and then soared to just under $250,000 at the end of 2007.
The BCNREB commissioned the affordability study after RBC Financial Group released the results of its cross-Canada housing affordability study. The latter study showed B.C. was the least affordable place to buy a house in the country. However, the BCNREB finds that the costs in northern B.C. are about 31.7 per cent of family income compared to an average of 68.5 per cent for the entire province.
One way to determine the portion of an average income required to purchase a home in different regions is to refer to the housing affordability index. The index estimates the portion of pre-tax median household income needed to cover mortgage costs, municipal taxes and fees and utilities for single-family homes. For 2007 the Housing Affordability Index for northern B.C. was 31.7 per cent compared with 73.8 per cent for Vancouver.
There are considerable variations with the region. The housing affordability index for Kitimat is just 15.4 per cent, while home ownership in 100 Mile House consumes the highest proportion of of median household income, 51.8 per cent, of all the communities in the northern two-thirds of the province served by the BCNREB.

Prince George weakest performer in real estate survey

noreply@blogger.com (Colin) — Thu, 01 May 2008 18:04:00 +0000

Written by MARK NIELSENCitizen staff
Wednesday, 30 April 2008

Prince George is the weak spot in a major realtor's semi-annual survey of real estate prices.
Century 21's 2008 spring national house price survey, released Wednesday, showed the price of a typical bungalow in lower College Heights dipping two per cent year over year to $219,900, showed no change for a townhouse in the Valleyview subdivision at $190,000, and a scant two-per-cent increase to $266,900 for a two-story house in the Heritage subdivision.
Almost every one of the other 21 subdivisions in the survey representing communities across B.C. showed significantly stronger increases.
The numbers clash somewhat with those from the B.C. Northern Real Estate Board for the first quarter of 2008. They show the average price of a single family home for Prince George as a whole at $246,839, up about six per cent from the typical price over the same period last year.
However, Prince George real estate agents sold 193 single-detached houses over that period, down from the 243 in 2007.
Prince George real estate agent Gary Shannon, a director on the BCNREB, conceded that the market is softening because of the forestry slowdown following an upward trend that has seen the average house price rise 84 per cent since 2003.
"We're not going to see some tremendous rises this year I don't think," he said.
However, he believes stronger growth should return within the next 18 months to two years.
By then, Shannon predicts cargo jets will be landing at the Prince George Airport -- the runway extension and fuel apron are scheduled for completion in October -- the container terminal at Prince Rupert will be taking on more work and hopefully the ongoing mineral exploration will be translating into some new mines.
"These things don't happen overnight, they take a little bit of time," he said.
In contrast to previous forestry downturns, Shannon said this one hasn't struck the city as hard.
"The forest industry is still important but it's not having near the impact it had 10 or 15 years ago," he said. "There are too many other things offsetting the forest economy right now, we're just not going to be moving forward quite as strong, that's all."
B.C. Real Estate Board economist Cameron Muir offered much the same comments as Shannon, saying single-digit growth is predicted for Prince George until late 2009 when the U.S. new home market should begin to turn around.
He said an increase in listings may be playing a role. He didn't have numbers specifically for Prince George but for northern B.C. as a whole he said listings are up 34 per cent compared to 24 per cent for the province.
"Homebuyers have much greater selection in the marketplace and there are much less chances for multiple offers," he said. "With a lot of competition among home sellers, that provides much less upward pressure on home prices."
The B.C. northern market is in a "balanced condition" Muir added.
"More of an equilibrium between demand and supply and when we look across the province we're seeing that materialize in most markets," he said.
As a result, prices in most markets in the province will be increasing by single digits rather than the double digits of the last few years, he said.
A BCNREB study release last week showed put the cost of buying a house in Prince George at roughly 32 per cent of family income, compared to 74 per cent in Vancouver and 69 per cent for the province as a whole

House prices up, sales down

noreply@blogger.com (Colin) — Fri, 04 Apr 2008 19:29:00 +0000

Written by PAUL STRICKLANDCitizen staff
Thursday, 03 April 2008

House prices in Prince George continued their trend upward during the first quarter of this year compared to the same period last year, according to a report released Thursday by the B.C. Northern Real Estate Board.However, the number of sales of single-family homes during the first three months of 2008 declined from 2007.Between Jan. 1 and March 31, real estate agents sold 193 single-detached houses, down from the 243 in 2007. Yet the average price of a home sold during the first quarter of this year was $246,839, up about six per cent from the typical price of $232,951 last year.The average price for the first quarter of this year was also up almost three per cent from the average for 2007. Prices varied in part according to the sector of Prince George in which the home was sold.In the west part of the city, the median price of the 54 single-family homes that were sold on the Multiple Listing Service during the first quarter of this year was $211,000. In the area east of the Bypass, the 39 single-family houses that sold during the first three months of this year had a median price of $171,000.In the Hart area, 40 single-family homes sold with a median price of $286,500. In the southwest section, 51 houses have sold since Jan. 1, with a median price of $279,000.In all areas it took on average 45 to 48 days for these homes to sell. At the end of March there were 779 properties of all types on the MLS within Prince George city limits.Throughout the region served by the B.C. Northern Real Estate Board, sales of properties of all types through the MLS during the first quarter of 2008 were down by 21 per cent compared to the same period last year.To the end of March 2008 a total of 1,051 properties with a value of $219,611,298 changed hand in the region covering much of the northern two-thirds of B.C.However, real estate agents say there may be some good news for buyers because there are more properties to choose from. As of March 31 there were 3,604 properties of all types available for sale, up from 2,858 at this time last year."Spring is here for most of our communities," board president Willy Berger said. "The real estate market is getting active."Buyers are out looking and sellers are taking this opportunity to market their properties," he said. "Compared to the first quarter of 2007, buyers have more properties to choose from and a few more days to make their decision."With the current interest rates remaining low, we are anticipating a strong spring market."In Mackenzie, three properties worth $308,000 have sold since Jan. 1, compared to 13 properties valued at $1.38 million during the first quarter of last year. There are 46 properties of all types available for purchase through the MLS in the Mackenzie area.In the Quesnel district realtors reported 63 sales worth $8.1 million in the first three months of 2008, compared to 105 sales worth $13.6 million between Jan. 1 and March 31, 2007.

Home Sales Slip in February

noreply@blogger.com (Colin) — Thu, 27 Mar 2008 21:22:00 +0000

Vancouver, BC – March 17, 2008. British Columbia Real Estate Association (BCREA) reports residential sales dollar volume on the Multiple Listing Service® (MLS®) in BC rose 4.5 per cent to $3.26 billion in February, compared to the same month in 2007. Residential unit sales dipped 9.8 per cent to 6,822 units during the same period. The average MLS® residential price in the province reached $478,172 in January, up 15.8 per cent from February 2007.

“BC home sales fell for the second consecutive month, marking the slowest start to a year since 2003,” said Cameron Muir, BCREA Chief Economist. “While it’s still too early to call a trend, fewer home sales and an increase in active listings may be pulling the BC housing market toward balanced conditions.”

“Strong employment and wage gains over the last year continue to underpin housing demand,” said Muir. The number of unit sales recorded in the month was 13 per cent above the February average from 1998 to 2007. “However, continued erosion in housing affordability may be taking a toll on the ability-to-pay for some buyers.”

Additionally, a weak US economy and lower demand for BC lumber is negatively impacting BC’s forestry industries and local resource communities, while current economic volatility may also be impacting the confidence for some would-be buyers.

For more information, please contact:
Cameron MuirChief EconomistDirect: 604.742.2780Mobile: 778.229.1884
Email: cmuir@bcrea.bc.ca

Clamp down on foreign land sales.

noreply@blogger.com (Colin) — Wed, 26 Mar 2008 22:28:00 +0000

From opinion250.com

Recent weakness in some American real estate markets and a stronger Canadian dollar have increased the number of foreign development properties being marketed in British Columbia, W. Alan Clark, British Columbia’s superintendent of real estate, announced today.
The superintendent also reminded British Columbian purchasers that the Real Estate Development Marketing Act continues to govern the marketing in British Columbia of development properties located anywhere in the world. Under the act, local and foreign developments must meet similar requirements in order to be marketable in British Columbia. The developer must file a disclosure statement with the superintendent of real estate before marketing begins. The disclosure statement must explain the offering and must be provided to a purchaser before he or she enters into a purchase agreement.
Foreign property regimes may be different from British Columbia’s property regime and may not be familiar to purchasers here. Therefore, the required disclosure of development approvals, land title, and land-use restrictions is especially important for foreign developments. Additionally, all deposits received from British Columbian purchasers must be held in trust in British Columbia by a lawyer, notary public or real estate brokerage, unless deposit insurance or an exemption has been obtained here.
The Real Estate Development Marketing Act provides remedies for British Columbian purchasers. Notably, a purchase agreement is not enforceable
Against a purchaser by a developer who has breached the act. Each purchaser also has a right to pursue a civil claim against a developer and its directors for any misrepresentation. Additionally, any failure to comply with the act may result in a cease marketing order, administrative penalty or other regulatory action by the superintendent of real estate.
The issue was raised by Opinion250 after a number of companies and in particular companies from Costa Rica began advertising and attempted to sell Costa Rica Property in Prince George and area. Residents were encouraged to go to take a trip to Costa Rica were they would be shown property in a future sub division with a view to buying .(see Make Sure You’re Not Buying Moose Pasture in Costa Rica)
At that time representatives of the Real Estate Board had contacted us to seek additional information as to whether the guide lines were being met.

P.G. Building Permits Up So Far This Year

noreply@blogger.com (Colin) — Tue, 18 Mar 2008 17:06:00 +0000

Saturday, March 15, 2008 04:55 AM
Prince George, B.C. - The latest building permit numbers have been released by Prince George City Hall. The numbers show there is an increase in the number of permits over the same period last year, and that the value of the permits is also higher. The increased value is largely because of the 4.3 million dollar instutional permit issued in February

Beetle Kill Removal Time Running Out

noreply@blogger.com (Colin) — Tue, 11 Mar 2008 21:49:00 +0000

Prince George, B.C. - Time is running out for Prince George residents who want to have some help removing the dead beetle pine from their property.
While residents are responsoble for hiring a tree faller to fall and remove the trees, the City’s special Job Creation Partnership program will help with the clean up.
Under the program, crews of workers move debris by hand, feeding the debris into a chipper, move fences and reinstall them. This assistance program reduces the cost to residents by removing the pine tree debris free of charge. The goal is to reduce the amount of dead trees and tree debris in the City, to reduce the forest fire hazard.
This free debris removal service will only be available until July 11, 2008. There are no plans to extend, or create any new program.
"We certainly appreciate the Government of Canada’s support through funding contributions and managing the staffing needs," says Mayor Colin Kinsley. "I encourage all residents who have pine beetle infested trees on their property to take advantage of this program and have that tree debris removed from their property."
Details of the program including brochures are available on the City’s website at: http://www.city.pg.bc.ca/rec_culture/parks/urbanforestry/assistance/
Any resident interested in theprogram is asked to contact the Industrial Forest Service at 564-4115 local 237 for information and to be put on the service schedule.
At present, wait times are less than one week for service.

Housing Starts Down in Prince George

noreply@blogger.com (Colin) — Tue, 11 Mar 2008 21:36:00 +0000

Prince George, B.C. - Housing starts in Prince George were down in February compared to the same month a year ago. The drop was 50%.

For the year to date stats, the healthy start in January resulted in a year to date decline of 4.3%.

Here are the comparisons with other communities:

BC Home Sales Edge Down

noreply@blogger.com (Colin) — Mon, 25 Feb 2008 19:39:00 +0000

Vancouver, BC – February 18, 2008. British Columbia Real Estate Association (BCREA) reports residential sales dollar volume on the Multiple Listing Service® (MLS®) in BC climbed 8.8 per cent to $2.25 billion in January, compared to the same month last year. Residential unit sales dipped 5 per cent to 4,949 units during the same period. The average MLS® residential price in the province reached $453,648 in January, up 14.5 per cent from January 2007.
“BC home sales edged down in January for the first time in nine months,” said Cameron Muir, BCREA Chief Economist. “The combination of fewer home sales and an increase in active listings is pulling the BC housing market toward balanced conditions. This means upward pressure on home prices is less severe than a year ago.”
“While unit sales are no longer breaking records,” added Muir, “they still reflect strong consumer demand for housing.” The 4,949 units sold last month in the province were well above the ten-year average of 4,230 units for the month of January. “The provincial economy is continuing its expansionary phase,” noted Muir. “While weak demand for BC lumber and exchange rate parity with the US is negatively impacting some resource-dependent communities, strong employment growth and rising wages in other sectors are helping to underpin housing demand in the province.”

BC Budget Assists Housing Affordability and the Environment

noreply@blogger.com (Colin) — Mon, 25 Feb 2008 19:38:00 +0000

Vancouver, BC, February 19, 2008 – First-time homebuyers and current owners will potentially benefit from measures to improve the affordability and sustainability of homes introduced in today’s provincial budget.
Commenting on today’s budget, Tony Joe, Victoria REALTOR® and president of the Victoria Real Estate Board, identified key policy changes for real estate: “The increase in the Property Transfer Tax (PTT) exemption threshold is an important step in the right direction to improve housing affordability. PTT continues to add significant cost to the purchase of a home, and the real estate profession is pleased the thresholds have been increased.”
The PTT exemption threshold has been increased to $425,000 from $375,000, making this the third straight provincial budget in which the threshold has been adjusted. “BCREA has consulted with government about our concerns on housing attainability, and we are encouraged that government has continued to respond to the needs of BC homebuyers,” Joe confirmed.
First-time buyers also benefit from removal of the financing rule, which required them to have at least a 70 per cent mortgage to qualify for the exemption. They can now pay down their mortgages by any amount in the first year of ownership without losing entitlement to the exemption.
The PTT is a registration tax an individual must pay when purchasing or acquiring an interest in property. The amount payable depends on a property’s fair market value, and is charged as one per cent on the first $200,000, plus two per cent on the remainder.
Even with the threshold change, the government will collect more than $1 billion in PTT revenue this fiscal year—a record amount.
Green Initiatives Aid Homeowners
Today’s budget establishes an assortment of Provincial Sales Tax exemptions on home renovations, retrofits and purchases of energy-efficient appliances for current owners. This could help reduce home energy consumption and the related operating costs over a long term.
“Homes that meet a green standard are more energy-efficient and environmentally sustainable,” says Joe. “But they cost four to six per cent more to build, compared to existing housing stock. The real estate profession will continue to work with the government to assist the attainability of affordable and sustainable homes for British Columbians.”
Last September, BCREA recommended the government introduce a pilot program that would encourage the purchase of new homes that meet a green standard through a reduced PTT. The Association also recommended Provincial Sales Tax rebates on purchases for renovations to improve energy efficiency and other environmental aspects. These suggestions are available online at www.bcrea.bc.ca/govt/2008ProvPre-Budget.pdf. About BCREA
BCREA represents 12 member real estate boards and their approximately 18,000 REALTORS® on all provincial issues, providing an extensive communications network, standard forms, government relations, required post-licensing courses and continuing education.
To demonstrate the profession’s commitment to improving Quality of Life in BC communities, BCREA supports growth that encourages economic vitality, provides housing opportunities, respects the environment and builds communities with good schools and safe neighbourhoods.
For more information about BCREA, please our website at www.bcrea.bc.ca.

MLS® housing market more balanced in January

noreply@blogger.com (Colin) — Mon, 25 Feb 2008 19:36:00 +0000

MLS® residential new listings in Canada’s major markets surged to a new record in January 2008, according to statistics released by The Canadian Real Estate Association (CREA). This made the MLS® resale housing market more balanced in January 2008 than at any other point in the past seven years.
Seasonally adjusted MLS® sales activity edged 0.4 per cent lower from the previous month to 28,911 units in January. The small monthly decline reflects fewer sales in Toronto, Calgary, London & St. Thomas, Vancouver, St. Catharines, Halifax and Victoria, offset by a monthly rise in activity in Winnipeg, Edmonton, Saskatoon, Regina, Newfoundland and Labrador, and Ottawa.
Seasonally adjusted transactions in January broke all previous monthly records in Regina and Saskatoon, and reached the second highest monthly level ever in Newfoundland and Labrador.
Seasonally adjusted new MLS® residential listings surged 9.3 per cent from the previous month to 51,716 units in January. This is the highest monthly level ever, and the largest month-over-month increase in seven years. New listings set records in Calgary and Victoria, while also rising strongly in Edmonton, Vancouver, Ottawa and London & St. Thomas.
Record level activity in Regina and Saskatoon made them the tightest major markets in January. The market also tightened in Saint John, Newfoundland and Labrador and Windsor compared to December levels, while becoming more balanced in all other major markets. Edmonton, Calgary and Windsor remain the most balanced major markets.
A more balanced market saw smaller price increases in some markets. The major market MLS® residential average price rose 8.6 per cent year-over-year to $325,183 in January 2008. This is the smallest year-over-year price increase since December 2006.
However, the average price reached new heights in a number of major markets in January, including Victoria, Saskatoon, Kitchener-Waterloo, London & St. Thomas, Sudbury, Ottawa and Saint John.
“The overall increase in new listings stemmed mainly from a jump in listings in some of western Canada’s most active markets,” said CREA Chief Economist Gregory Klump. “Price increases in those markets will be more modest compared to what we saw last year,” he added. “Of Canada’s four most active markets, only Toronto has not become significantly balanced since the middle of last year. CREA will be watching closely to see how the City of Toronto’s new land transfer tax and a proposed property tax increase affect the market,” said Klump.
“The January MLS® reports again show how the Canadian housing market is different than the market in the United States,” says CREA President Ann Bosley. “CREA had expected the growth in average price to slow in 2008, which is reflected in many markets. Sales levels are returning to what we would consider, on an historical basis, as more normal activity.” (CREA 15/02/08)

Prince George compares favourably on property tax front

noreply@blogger.com (Colin) — Thu, 14 Feb 2008 00:02:00 +0000

(News) Wednesday, 13 February 2008, 15:58 PST
MARK NIELSEN Citizen staff

The average Prince George homeowner paid the lowest amount of property tax and user fees to local and provincial governments last year compared to six other B.C. communities of similar size, according to data from the Ministry of Community Services' local government branch.
The average resident in Prince George paid $2,619. Of that, $1,329 was for general municipal plus another $469 in user fees for sewer and water utilities for a total of $1,798 that went to city hall.
Only Langley District paid less for for general municipal at $1,262, but add on user fees of $706 and the total rises to $1,968. And add on the school tax, which goes to the provincial government, property taxes paid to the regional district and other property-related taxes and the total rises to $3,121.
Prince George also came out ahead in comparisons to five other municipalities.
In Nanaimo the average homeowner paid $2,938 of which $1,464 was general municipal, making it second best among the seven. Kelowna was third at $3,063 with $1,373 going to general municipal.
Langley District was fourth for total property taxes and user fees while fifth was Kamloops where the total was $3,217 of which $1,461 went to the municipality. Sixth was Victoria at $3,593 of which $1,684 was general municipal and seventh was North Vancouver District, where $4,350 was the total bill, of which $1,884 was general municipal.
In 2007, the value of the average home in Prince George was $166,404, in Kamloops it was $247,997, in Nanaimo it was $295,422, in Kelowna it was $387,378, in Langley District it was $433,193, in Victoria it was $479,174 and in North Vancouver District it was $738,838.
All those totals will be up substantially for 2008, but the according rates per $1,000 will drop accordingly once the tax levy has been set.
Prince George city council is looking at a levy increase from 2.5 to 7.6 per cent depending on how many additions council members decide to add to the city's list of services.
Prince George's standing in relation to those other communities was made known to council during a presentation at the start of budget discussions earlier this month.
Prince George also compared favourably on a per capita basis according to another set of numbers from the ministry. Home to 77,148 people, Prince George paid the city $434 per person in property tax, the lowest of the seven.
Next lowest was Langley District, where 97,125 people live, at $436, followed by Victoria, population 77,369, at $494, then Kamloops, population 82,714, at $500, then Kelowna, population 109,490, at $514, then North Vancouver District, population 87,073, at $515, and then Nanaimo, home to 79,626, at $540.
Businesses also got the fairest shake in Prince George. Accounting for 17 per cent of the city's assessment total, they paid 25 per cent of the levy and were charged 2.15 times the residential rate per $1,000.
Next best was Kelowna, where they made up 13 per cent of the assessment total, paid 28 per cent of the levy and were charged 2.59 times the residential rate. Kamloop's businesses also made up 13 per cent of the assessment total and paid 28 per cent of the levy but were charged 3.03 times the residential rate.
In Nanaimo they made up 12 per cent of assessment, paid 29 per cent of the levy and were charged 3.32 times the residential rate. In Langley District, they made up 12 per cent of assessment, 30 per cent of the levy and paid 3.33 times the residential rate.
North Vancouver District businesses were six per cent of the assessment, 18 per cent of the levy and 3.76 times the residential rate and was Victoria at 23 per cent of the assessment, 51 per of the levy and 3.7 times the residential rate.
The numbers can be downloaded from the Ministry of Community Services website, www.gov.bc.ca/cserv/. Click on local government, then infrastructure and finance, then tax rates.

Saanich real-estate agent murdered

noreply@blogger.com (Colin) — Thu, 07 Feb 2008 23:16:00 +0000

Saanich real-estate agent murdered
Premeditated?: Friends, family fear trap set for talented 24-year-old at upscale listing

Canwest News Service
Monday, February 04, 2008
CREDIT:
Lindsay Buziak, 24, worked for Re/Max Camosun.
SAANICH -- Friends and family of real-estate agent Lindsay Buziak say she was murdered by someone who set a trap for her.
The body of the "beautiful, vibrant" 24-year-old Buziak was found Saturday in a new home listed for sale in the Gordon Head neighbourhood of Saanich.
Police are not saying how Buziak died, but Saanich police Const. Brad Brajcich confirmed the death is being investigated as a homicide. There are no suspects and no one was in custody last night.
Agent Laurie Lidstone, who shares the listing for the $964,900 house with Nancy DiCastri, said the buyer never called either of them for an appointment.
"It really makes you wonder," said Lidstone. "Someone specifically called this girl to show a vacant house. It sounds preplanned. It sounds premeditated."
In a phone call from Calgary, Buziak's distraught father Jeff Buziak said "someone phoned Lindsay to show a house and they killed her."
Police raced to the house, which was vacant, after they received a 911 call asking them to check on someone inside.
"We didn't know what was happening. Then we quickly realized it was a little more serious," said Brajcich. The call is now "a very important part of the investigation," he said.
Police said there's no evidence to show Buziak was targeted because of her occupation, but rumours are circulating in the real-estate community that a number of people at her office knew Buziak had a bad feeling about the appointment.
Family and friends are reeling at the news of her death. Jeff Buziak was to fly to Victoria last night to be with Lindsay's mother, Evelyn Reitmayer, and Lindsay's sister, Sara, who is flying in from the Cayman Islands.
"She was the most beautiful girl you could ever meet," said Buziak.
"I miss her so much. I love her so much. Lindsay was vibrant, full of life, loved by everybody. She had oodles of friends. She was so focused on her career. She thought it was the greatest thing. She was a tremendous young woman."
Buziak was born in Victoria and went to Lakehill Elementary and Reynolds Secondary, her father said. After graduating, she got her real-estate licence, working in Victoria before moving to Vancouver, where she worked for Maverick Real Estate Corp. She returned to Victoria to join Re/Max Camosun.
Lindsay prided herself on the service she gave clients, her dad said.
Jeff Buziak, an industrial real-estate agent in Calgary, said his daughter was not following in his footsteps.
"She found what she loved and that's what she wanted to do," he said.
Buziak's uncle, Gary Reitmayer, described her as a great person.
"I don't think she's ever done anyone wrong," said Reitmayer. "We have no idea what happened. It's a mystery to all of us."
Buziak was among the youngest of the 1,300 real-estate agents working in the region.
Yesterday, staff and agents at her Re/Max office were instructed not to comment about the incident.
Wayne Schrader, who owns the office, said: "Everyone in the office is shell-shocked and our thoughts are with Lindsay's family."
Buziak reportedly was dating someone who worked in the industry.
© The Vancouver Province 2008

Canadian residential real estate future is solid

noreply@blogger.com (Colin) — Thu, 24 Jan 2008 23:06:00 +0000

OTTAWA – January 23, 2008 – The Canadian housing market in 2007 set anumber of MLS® sales records, and the re-sale housing market is expected to remain at near record sales levels in 2008, according to The Canadian RealEstate Association.
Annual residential MLS® sales activity totaled 520,747 units in 2007, up 7.6 percent from 2006 levels. This was the largest annual sales growth since 2002, and the first time transactions via the MLS® systems of real estate boards in Canada have surpassed 500,000 units sold in one year.
“The results in 2007 show the strength and the affordability of the Canadianresidential market,” says CREA President Ann Bosley. “The statistics again show just how different the housing markets are in Canada and the United States. Canadian REALTORS® know that Canadian mortgage lenders correctly see that home prices will continue rising. We know there is still strong competition for mortgage business in Canada.”
Three key economic ingredients will keep Canada’s housing market on adifferent track from the United States. One is consumer confidence, the second is employment, and third is affordable interest rates. The Bank of Canada cutinterest rates on January 22nd because of weaker prospects for Canadianeconomic growth in 2008. “Those lower interest rates will also help temper the erosion in housing affordability due to additional home price increases,” Bosley added. The Bank of Canada is expected to cut its trend-setting rate again in March.
CREA’s Chief Economist Gregory Klump says that the Canadian housing market in 2008 will pull back from the breakneck pace set in 2007, but this is still forecast to be the second-busiest year on record in almost all provinces, with residential unit sales reaching an estimated 512,705 units.
Average prices for MLS® home sales are expected to keep setting records in2008, although prices will increase more slowly as the market becomes morebalanced. In most provinces, the market will nevertheless remain historically tight – with the tightest markets being in Saskatchewan and Manitoba. Nationwide, the average residential price is forecast to increase 5.5 per cent to about $322,700.According to CREA’s Chief Economist, a larger supply of listings will be one ofthe balancing influences in 2008. New listings are forecast to rise in all provinces except Alberta, where they’re expected to retreat after spiking in late 2007.
“The challenge for the Canadian housing market will be the extent to whichemployment and consumer confidence may be affected by a slowdown in theU.S. economy,” Ann Bosley adds.“Slower job growth, not massive layoffs, are forecast for Canada in 2008,”CREA’s Chief Economist Gregory Klump adds. “Consumer confidence may besideswiped by stock market volatility, and reports that chances of a U.S.economic recession will put the brakes on the Canadian economy. With slowerjob growth, a low unemployment rate and the absence of widespread layoffs, consumer confidence will bounce back. The domestic economy and the housing market will weather the sub-prime fallout with the help of lower interest rates”.
For more information please contact:Bob Linney, CREA Communications Director, at 613-301-2219 orrlinney@crea.caorGregory Klump, CREA Chief Economist, at 613-237-7111 orgklump@crea.ca

BC Home Sales Smash Record Book

noreply@blogger.com (Colin) — Tue, 15 Jan 2008 19:30:00 +0000

Vancouver, BC – January 11, 2008. British Columbia Real Estate Association (BCREA) reports residential sales volume on the Multiple Listing Service® (MLS®) in BC climbed 19.5 per cent to $45.1 billion in 2007, the highest level ever recorded. Residential unit sales increased 6.4 per cent to 102,811 units in 2007, only the second time BC home sales have exceeded the 100,000 unit mark (a total of 106,310 homes traded hands in 2005). The average MLS® residential price in the province reached a record $439,121 in 2007, up 12.3 per cent from 2006.
“Strong consumer demand buoyed by employment growth, rising wages and migration was a significant factor in BC’s housing markets last year,” said Cameron Muir, BCREA Chief Economist. “In the province’s major urban centres, sales activity reflected increasing demand for condominium apartments and townhouses. The largest gains in home prices occurred in the Kamloops, Okanagan and Kootenay markets where a legion of recreation, retiree and investment buyers put pressure on existing home inventories.”
“BC housing markets will experience less frenetic activity in 2008,” noted Muir. “Eroding affordability, rising new home completions adding to inventories and weaker economic growth are expected to provide a moderating influence this year.”
MLS® residential sales volume in December increased 24.2 per cent to $2.19 billion compared to the same period last year. Residential unit sales climbed 8.8 per cent to 4,791 units over the same period. The average residential sales price rose 14.2 per cent to $457,825 in December compared to December 2006.
– 30 –
For more information, please contact:
Cameron MuirChief EconomistDirect: 604.742.2780Mobile: 778.229.1884Email: cmuir@bcrea.bc.ca
BCREA represents 12 member real estate boards and their more than 17,500 REALTORS® on all provincial issues, providing an extensive communications network, standard forms, economic research and analysis, government relations, required post-licensing courses and continuing education.
To demonstrate the profession’s commitment to improving Quality of Life in BC communities, BCREA supports growth that encourages economic vitality, provides housing opportunities, respects the environment and builds communities with good schools and safe neighbourhoods.
For detailed statistical information, contact your local real estate board. MLS® is a cooperative marketing system used only by Canada’s real estate boards to ensure maximum exposure of properties listed for sale.
This message is intended for the designated recipient only and may contain privileged or confidential information. If you have received it in error, please notify the sender immediately and delete the original. For BCREA's Privacy Policy, visit www.bcrea.bc.ca/privacy.htm.
To change your email address or subscribe to more BCREA publications, click here.

Assessed values skyrocket for Prince George homeowners

noreply@blogger.com (Colin) — Tue, 08 Jan 2008 22:14:00 +0000

Assessed values skyrocket for Prince George homeowners

Wednesday, 02 January 2008, 10:51 PST
MARK NIELSENCitizen staff

Reflecting the ongoing boom in real estate, the city's homeowners can expect major increases when they receive their notices of assessed value in the coming days, says Cal Benson, B.C. Assessment 's deputy assessor for Prince George.
"Most homes in Prince George are worth more on this year's assessment roll than they were on the 2007 assessment roll," Benson said in a statement issued Wednesday.
"Most homeowners in Prince George will see significant increases in the 20 per cent to 40 per cent range."
Light industrial properties in all areas of the city jumped by 25 to 35 per cent while downtown commercial properties rose 25 to 30 per cent, he added.
Municipalities use assessed values to set their property tax rates for the coming year, but a 30 per cent increase in won't mean a 30 per cent increase in your property tax bill.
Rather, Prince George city council will determine the increase in the tax levy and then set the rate so that the bill for the average single value home will rise by that amount.
Last year, the value of average single family home rose by 24.6 per cent but the property tax bill rose by 7.2 per cent, or $99, to $1,476.
This year, the value of a single-family home rose by an average 28.1 per cent.
For 2008, the city's total assessment roll has jumped by $1.47 billion, or 26.7 per cent, to $6.98 billion an all time high for the city both in terms of increase and overall total, continuing a rise that began in 2002 following a four-year lull.
New construction accounted for $113 million of that increase, with new single family homes making up $87 million of that total.
Notices have been sent to more than 29,000 property owners in Prince George.
Assessments are based on the property's estimated market value as of July 1, 2007. Numbers from the B.C. Northern Real Estate Board indicate the sale price for a single-family home had peaked at about that time at $241,563 and by October it had dropped slightly to $239,392. Year-end numbers were not available on Wednesday.
Appraisers analyze current sales in the area, as well as considering other characteristics such as size, age, quality, condition, view and location.
Property owners who feel their assessment does not reflect market value as of July 1, or see incorrect information on their notice, should contact the B.C. Assessment office indicated on their notice. Those who are still concerned after speaking to B.C. Assessment may submit a written request by Jan. 31 for an independent review by a property assessment review panel.
The panels, independent of B.C. Assessment, are appointed annually by the Ministry of Small Business and Revenue, and meet between Feb. 1 and March 15 to hear formal complaints.
The Prince George Assessment office is located at 1777 Third Ave., suite 200. During the month of January, office hours are 8:30 a.m. to 5 p.m.
Fact Box
Assessment comparisons for Prince George
Neighbourhood 20062007 $ increase % increase
College Heights $219,800 $267,300 $47,500 21.6 %
Hart Highlands/Nechako Ridge $235,500 $306,300 $70,800 30.1%
Lakewood/Heritage/Foothills $183,200 $233,900 $50,700 27.7%
VLA subdivision $84,300 $121,400 $37,100 44%
Strip commercial $2.17 M $2.43 M $259,000 11.9%

14 Important Facts to Consider Before You Try to Sell Your Own Home.

noreply@blogger.com (Colin) — Fri, 14 Dec 2007 22:46:00 +0000

Occasionally, one can see "For Sale By Owner" signs, and some owners think that selling their own home will not only save them money, but believe they have an advantage over the sellers that have their home listed by a reputable Realtor©. Before you decide to take on this very important and legally complicated process…remember not even most Real Estate Lawyer’s recommend selling your own home yourself in today’s market. Here are a few of the reasons why:

1. You are limiting your exposure to potential buyers (less than 10% of what a good real estate broker will generate) which theoretically means your home will take ten to fifteen times longer to sell on the market.

2. The longer a home is on the market the lower the selling price is. Why? Because most buyers think that if the home has not sold after this long…there must be something wrong with the home.

3. The selling/buying process begins AFTER the buyer leaves your home. Most sellers think that all it takes is for someone to see their home, fall in love with the great decor… and the offer automatically will follow. Remember that the buying process begins after they leave your home. If a real estate agent does not represent the buyer, and they are looking on their own…they usually leave the home and start to talk themselves out of the buying process. If the buyer is represented by a real estate professional Realtors© are trained on how to overcome buyers remorse--a very common occurrence.

4. Because of the limited exposure you will very likely end up with a lower selling price. Remember, in order to generate the highest price possible for your home… selling means exposure. You need the maximum exposure possible, to generate the highest price possible.

5. Most buyers find it extremely awkward to negotiate or even to talk directly with sellers and therefore avoid FSBO properties.

6. Lack of negotiating experience and lack of pertinent information often will result in a lower selling price, or worse yet, a bungled contract and possible lawsuits.

7. The majority of qualified buyers are working with experienced real estate professionals.

8. Many serious buyers will pass by a FSBO home merely because they recognize that it is not in the real estate mainstream, this can some times make them wary.

9. As most local buyers now retain an experienced real estate sales person to represent them as their buyer-agency, you will probably be negotiating against an experienced professional.

10. Expected savings in broker's fees will also be greatly reduced if you offer a selling commission to entice real estate agents to bring potential buyers.

11. If you are planning to use a Lawyer to help you negotiate the offer, then your lawyer’s fees will be considerably higher.

12. Only real estate agents have access to the up-to-date market information. News reports cannot approach the timeliness or specificity available to agents. Further, real estate agents are involved in home sales much more frequently than the average homeowner is. This familiarity leads to a degree of expertise that provides an edge on negotiating and successful selling.

13. You only pay the commission to the real estate broker, if they successfully sell your home at the price you are happy with.

14. Accepting an offer is one thing, ensuring a safe and successful closing is quite another. Real estate transactions usually always have problems on closing. At times, expecting the Buyers and Sellers Lawyer’s to fight it out or resolve the problems, can sometimes mean the deal is lost. This is the time that your experienced real estate professional, can be the most important. Your Realtor© can act as a great mediator. Lawyers MUST act only on their client’s instructions and are not paid to negotiate.

I hope that you find this information helpfull when you consider selling your home.

Investing in Prince George

noreply@blogger.com (Colin) — Fri, 14 Dec 2007 22:15:00 +0000

Interior offers quality, affordability
Short-term opportunity for first-time buyers in Prince George

Paul Luke
The Province
Wednesday, December 12, 2007

Initiatives Prince George's Gerry Offet says prices are cheaper than those in rival markets.
Potential homebuyers appalled by prices in Metro Vancouver and Victoria would be smart to cast their gaze at cheaper Interior markets, a new report shows.

The province's most expensive cities for first-time buyers, based on price per square foot, are Vancouver and Victoria, Century 21 Canada said yesterday.

B.C.'s most accessible markets for first-time buyers this winter are the smaller Interior cities of Prince George, Trail and Castlegar, the real-estate firm said.

In Vancouver, would-be buyers are staring at a pricetag of $284,900 for a 611-square-foot condo, with one bedroom and one bathroom, in the West End near English Bay and Stanley Park, Century 21 said.

That amounts to $466 per square foot.

If you want something pricier, you could spring for a 412-square-foot condo in downtown Vancouver, with one bedroom and one bathroom, for $281,000, or $682 per square foot.

As for Victoria, a 1,000-square-foot condo in the Gorge area of Saanich with two bedrooms and two bathrooms, will ding you $260,000, or $260 per square foot.

On the other hand, a first-time bungalow in Trail -- 800 square feet with three bedrooms and one bathroom -- costs $170,000, or $213 per square foot.

"In Prince George, a typical first-time home is a 1,170-square-foot bungalow on a 6,970-square-foot lot on Fern Crescent, with three bedrooms and two bathrooms, for $221,000, or $189 per square foot," Century 21 said.

Initiatives Prince George president Gerry Offet says there's a short-term opportunity for first-time buyers in the Interior city of 77,500.

Housing prices have been climbing at 17 to 20 per cent a year for the past two years but are still cheaper than those in rival markets such as Trail and Kamloops, he said.

"It's very affordable," Offet added. "We've still got quite a ways to go before getting to parity with competing markets."

A recent survey found that average first-time homebuyers in Prince George pay 28 per cent of their gross family income on accommodation, Offet said.

That compares with 78 per cent in Metro Vancouver, he said.

Are there any other reasons besides affordability to consider buying that first home in Prince George?

"Quality of life," Offet said. "You aren't spending two or three hours a day commuting to and from work. You're spending 20 or 30 minutes."

Vancouver's investment community has been quicker than potential homebuyers to recognize the opportunities in Prince George, Offet said.

Lower Mainland investors have been buying multi-family units and apartment blocks for the past two years, he said.

Century 21 said B.C. homebuyers are embracing condos, townhouses and other multi-family dwellings and turning away from single-family homes.

In B.C., the proportion of homeowners in single-family homes fell to 63 per cent in 2006 from 74 per cent in 1996, Century 21 said, citing Statistics Canada data.

"In Vancouver, the trend was even more pronounced. The proportion of homeowners in single-family houses declined from 61 per cent to 49 per cent since 2001," it said.

pluke@png.canwest.com

© The Vancouver Province 2007