Consistent rise in new inventory springs Kootenay real estate into balanced market territory
Nelson, BC – 06-04-2021: The Kootenay Association of REALTORS® (KAR) reports that a total of 372 residential unit sales were recorded by the Multiple Listing Service® (MLS®) in March 2021, a rise of 84.1 per cent from March 2020. The average MLS® residential price in the region was $428,629, a 25 per cent rise from $342,708 recorded in the same month last year. Total sales dollar volume in March was $159.4 million, a 130.7 per cent rise over March 2020, which stood at $69.2 million.
Monthly sales numbers have been record-breaking for 12 months in a row. According to KAR President, Chuck Bennett, “For the last 5 years we had seen consistent sales numbers but that trend has been disrupted by the pandemic. Such a change in market behaviour can be attributed to buyer fatigue that the region has seen since the 2016 hot market. As the demand for residential properties continues to grow, we will see this uptrend in the coming months as well.”
There has been much talk about falling inventory numbers across BC that has led to a surge in average prices. Bennett adds, “In the Kootenays, it is true that homes are currently selling with multiple offers. Not just compared to a small dip in sales in March last year but even looking at our performance in the last 5 years, we have sold more month-on-month. In such a scenario, inventory numbers are bound to be low. However, our YTD numbers suggest that there is no downtrend in the number of new listings that we’re adding. We’ve been vocal about low inventory in the last few months but since the start of 2021, we’ve been adding new listings at a faster rate. As average prices are bound to rise in multiple offer situations, as a REALTOR®, I can attest that this is a good time for the sellers in the market. Which in turn is the reason why we will continue to see more new listings in the market through summer. There is a spike in average prices indeed, but it is more of a consistent rise that we see in healthy markets.”
Year-to-date (YTD), Kootenay MLS® residential sales dollar volume in March was $372.9 million, 102.4 per cent higher as compared to the sum in the first 3 months last year. YTD residential unit sales were up by 60.8 per cent at 875 units, while the average MLS® residential price (YTD) was up by 25.7 per cent to $426,217. As of April 06, 2021, there were 865 active residential listings in the Kootenay region.
Kootenay Association of REALTORS® (KAR)
102-247 Baker Street
Nelson, BC V1L 4H4
March Residential Units Sold, Dollar Volume and Average Sales:
Y-T-D Residential Units Sold, Dollar Volume and Average Sales:
East Kootenay: Cranbrook, Cranbrook Lakes, Creston, Creston rural, Elkford, Fernie, Fernie rural, Invermere, Invermere rural, Sparwood, Radium, Kimberley, Kimberley/Cranbrook rural, Golden, Golden rural
West Kootenay: Castlegar, Castlegar Rural, Grand Forks, Grand Forks Rural, Grand Forks Rural West, Nelson, Nelson Rural, Rossland, Trail, Trail rural