BC housing market could begin to balance by year-end

There could be some relief on the way for homebuyers in British Columbia as the tight supply of homes shows improvement.

The latest data from the BC Real Estate Association shows that 9,275 residential units were sold in July, down 6% from the same period of 2016 with total dollar volume down 1.3% to $5.48 billion.

Year-to-date sales are down 17% to 64,107 units and the total dollar volume for the first 7 months was down more than 19% to $45.6 billion.

But the chief economist of BCREA, Cameron Muir, says that things are starting to look better for the province’s pressured inventory.

"Strong economic growth, an expanding population base and a lack of supply continue to drive BC home sales and prices this summer," he said. "However, home sales have edged back 4% since May, with active listings beginning to bounce back from a 20-year low. If these trends continue, it may signal that more balanced market conditions could emerge before the end of the year."

The low supply has seen the average MLS price rise 5.3% to $698,761 year-over-year.