Unveiling Abbotsford Real Estate Trends: August 2022 - July 2023

Over the past 12 months, detached properties saw ebb and flow in sales and listings. We averaged 18.3% for the year but the fluctuation varied from a high of 35.9% to a low of only 8%. Four of the twelve months were above 24%, and three were below 13. The current trend is moving downward to our most recent month of July, the ratio was 14.4%. The sales-to-listing balance paints a picture of how the market responds to the current circumstances. A percentage surpassing 23% signifies a seller's realm, indicating robust demand. Between 13% and 22% denotes equilibrium, while below 13% tips the scale toward buyers. Another lens to view this is through months' supply. Contrast this with the previous 24 months, where we saw only four months dip below the 23% threshold, and most were over the 40% mark.

A bit of a change, don't you think?   

The rhythm of townhouse sales and listings has a much different look and feel. Here the trend has been generally up with a bit of a downturn recently, but the indicating ratio is hovering just over 50%. In fact, every month this current calendar year has been above 30%. Again, the sales-to-listing ratio is a key to uncovering the market's pulse.

This sector of our market has trended much the same as Townhouses. So far, in 2023, the first two months were above 20%, and the balance was over 50%. 

From my perspective, I think the activity we are seeing in Townhouse and Condo sales is likely due to the rapid increase in prices of single-family properties. 

Scrutinizing the sales-to-listing ratio offers clarity - is it a buyers' or sellers' market? Another perspective is considering how many months of supply we have. If there were 100 properties listed for sale and 25 sold, then theoretically, we have a four-month supply—or a 25% sales-to-listing ratio. So anything less than a 4-month supply would indicate a seller's market. If we see 4 to 6 months of inventory, we should consider that a more balanced market and 7 or more will give the buyer the advantage. 

In reviewing Abbotsford's real estate market this past year, we see it is tilted towards sellers in townhouses and apartment/condo sectors. Demand is higher for these types of properties, and that is due to higher interest rates as well as prices. People still need places to live, and affordability has become a significant concern.   Since it doesn't appear that the Bank of Canada will rest its war on inflation during the rest of 2023, I can see the potential for a general slowing of all sectors. In the upcoming sections, we will discuss how it will affect buyers and sellers in the coming months. 

To list or not to list. Buy or not buy. The question ripples through each of our circumstances and aspirations. It really comes down to what are your objectives and desires. What is going to be best for your family? Telling people what to do isn't a part of my role as a Realtor. Helping you understand the current climate of our real estate market in light of your current circumstances is. If you need more info or help with your decision-making process, I am here to help. The past several years have been different from anything I have witnessed since I began my real estate career in 1984. The nuances can be subtle, or they can be aggressive. Partnering with a knowledgeable real estate professional is akin to holding a compass, steering your course through the dynamic world of real estate. 

Should you have any questions, don't hesitate to reach out. Your queries, your plans, and your dreams - all deserve attention and insight. Contact me for a discovery conversation that could help you shape your next move.