Real Estate in Qualicum Beach, Parksville, and Nanoose Bay

Anchor Realty 113 West 2nd Avenue
Qualicum Beach, BC Canada (250) 667-0719

Qualicum Beach and Area Local News Archive

Local Real Estate News Archive

MARKET UPDATE for JUNE /2023

Courtesy NANCY SMITH and VIREB

The weather for the coming tourist season has been phenomenal. Real estate in the Oceanside area is still brisk, but with the continued increase in mortgage rates, buyers on the sidelines are having a difficult time. Please Click on "Read more" for an accounting from VIREB.

Courtesy NANCY SMITH and VIREB

Even though we seem to be returning to a 'normal spring market', there are interesting events over the past three years which influence today's markets from a Buyer and Seller's perspective. One notable fact, Realtor Agents has diminished by 60, leaving fewer Realtors to cover the same pre-2019 market. We are also influenced by significant mortgage rate increases and tightening. This data is difficult to extrapolate how clients are affected currently, but this information is worth keeping in the back of our minds. Please Click on "Read more" for an accounting from VIREB.

Courtesy NANCY SMITH and VIREB

We are not bankers, but as Realtors, our job is to stay current in the real estate market. The news is often full of gloom but reality is that as Canadians we need to eat, sleep, work and provide. The Vancouver Island market is somewhat unique in Canada, and in North America, as it is the mecca for retired people. The USA is having somewhat of a banking crisis, where certain depositors are withdrawing hundreds of millions of dollars, putting the banks in crisis mode and some unable to perform, resulting in bankruptcy. However, bigger banks are stepping in and grabbing assets at pennies on the dollar. The banks are fighting for their lives and do not have the resources to cover mortgages and loans. As noted, we are in Canada and we are not bankers, but currently the local real estate market is still very strong. Why? Sales are still happening above 2019 levels for many reasons: lack of inventory, lack of new building, financially sound buyers are arriving from across the continent, and our banking system is operating under a different set of standards than the USA. We are Realtors, and are in tune with the current market, but we are not fortune tellers, knowing what will happen at anytime in the future. The Vancouver Island market has always been insulated from other Canadian markets, and generally remains quite stable. We are not anticipating any huge pricing drops, or a huge jump in sales inventory. Please Click on "Read more" for an accounting from VIREB.

Courtesy NANCY SMITH and VIREB

The start of 2023 has not only kept me very busy hunting for suitable homes for my anxious clients, but apparently the real estate market is much hotter than anticipated. We are not seeing much in the way of price relief, as anticipated, as inventory remains tight. We are seeing multiple offers on many properties, and some people are throwing out surprisingly generous offers to nail down their new home, even surprising the seasoned Realtor®. With many recent clients, we have viewed multiple properties with fast sales above their budget anticipation. Fortunately, by hanging on and following my advice, we stuck to a consistent search and finally found something appropriate and to my client's delight, homes that not only appealed to their needs, but also excited them. The Parksville-Qualicum benchmark price decreased by 14%, due in part, fewer pricey waterfront and similar properties sold, but the mid-market is flourishing. Please Click on "Read more" for an accounting from VIREB.

Courtesy NANCY SMITH and VIREB

Statistics do not lie, but they only reveal in hindsight what has happened in the real estate market. Statistically, the market has dropped, sales have dropped and the market is 'crashing'. However, without starting a fight, like climate change, statistics are relative to the point of comparison. If we compare the current winter market to the hot markets in 2021 and 2022, we see a decline. However if we look at 2019 and previous years, the real estate market is still up. But now, Buyers and Sellers are not doing the crazy dance, buying without building inspections, tagging on excessive capital because interest rates were almost invisible and ignoring our personal needs in favor of our list of wants and must-haves. Sanity in the real estate market is back, albeit with hefty interest rate increases, which now diverts our investment strategy. Click on "Read more" for an accounting from VIREB.

Courtesy NANCY SMITH and VIREB

As mentioned in the VIREB report, statistics show a marked change in the market, but boots on the ground with Realtors indicate a busy market. Good homes (re: good value) are still being snapped up, some have experienced multiple offers. Homes above $1 million are selling. One notable policy change affecting the real estate industry is the Home Buyer Rescission Period (HBRP), which took effect on January 3, 2023. The HBRP gives home buyers up to three business days to rescind an offer on a home after the seller has accepted it. Click on "Read more" for an accounting from VIREB.

Courtesy NANCY SMITH and VIREB

JANUARY 2023 IS HERE! We have survived the past three years of pandemic craziness. The sky did not fall, major earthquakes did not happen, construction of single family homes, condos and apartments have flourished, creating labour and material shortages in the industry. We have had a few seasons of terrible BC forest fires, flooding that wiped out our highways and coastal drought conditions that have dropped our water levels. We survived. PROPERTY ASSESSMENTS have been published and our personal home value increased by 19.97% in 2022. The Average Single Family Detached Sale Price increased from $855,000 to $975,000 while our property assessment went from $856,000 to $1,027,000, resulting in a one year increase of $167,000. Somehow this does not make us feel rich. Truth be told, we bought our home at the beginning of 2014 for a paltry $402,000. Somehow, this does not make us feel rich. SO, WELCOME TO 2023, a year of transition, we hope? This time year it is difficult to grasp a market direction, as we have enjoyed a fall climb in real estate inventory, which again dropped during December. No one really needs the upheaval of selling a home during the festive season. Buyer inquiries were also down, probably for the same reason, but we still have many many buyers sitting on the sidelines waiting for home-prices to drop or even stabilize. A fascinating problem has developed to stifle the mortgage buyer, because interest rates jumped, and climbed fast. In fact, for a few people who have variable rate mortgages, or are due for term renewals, monthly payments could become a problem. WE RECENTLY went on a weekend excursion to Victoria, and to Vancouver. It has been a long time for my husband, who has not traveled to Vancouver since the start of the pandemic, the growth of homes and high-rises is unbelievable. Nanaimo, Parksville, Courtenay/Comox and Campbell River have experienced a growth explosion. All these unusual events do seem to indicate we should be turning a corner soon, construction should slow, prices should adjust lower and demand decrease. Just released from the Federal Government, Canada also hosted the largest one year immigration volume at 431,645 new permanent residents. The 2025 immigration target is 500,000 newcomers annually! Cumulatively, over five years including 2021 - 2025, we will absorb 2,274,000 new citizens. Remembering many of these new Canadians will arrive with enough wealth, to be able to buy homes somewhere in Canada. IT IS QUITE APPARENT, Vancouver Island is the mecca of Canada, and therefore is a major destination for those who can afford to live here. Toronto and Vancouver are already bursting at the seams for pricing and lack of affordability, but both cities are much higher priced than most homes on Vancouver Island. Yes, we may see a temporary pricing adjustment, and bankruptcies will increase slightly. But one must remember, very few buyers since 2019 needed mortgages. We do not anticipate much of a pricing adjustment under these conditions up to 2025. A LITTLE TWIST on the topic is the ban on Foreign buyers in BC: The new 1 million(plus) immigration of permanent residents, are excluded from the Foreign Buyer's restriction. FOR THE LATEST VIREB sales statistics, click on "Read more".

Courtesy NANCY SMITH and VIREB

Vancouver Island ended November with our first seasonal snowfall, snarling traffic and making that morning cup of hot coffee more enjoyable. For the latest VIREB sales statistics, click on "Read more".

Courtesy NANCY SMITH and VIREB

If there was a fear index in real estate, one could assume it is increasing, as people have seen interest rates climb and stock market values decline. One wonders about the Russia-Ukraine situation, but closer to home we are still dealing with the aftermath of floods and forest fires. Vancouver Island is still Canada's jewel, and people are migrating at a pace which keeps prices high and desirable homes rare. We have seen many re-list properties coming with price reductions to a more reasonable level, and not so much in the greed-hopeful price ranges. A diligent Realtor can weed through the market clutter and place a range of value in this market. There are a few sellers who have panicked when their homes have not sold within weeks, but those sellers who have a bit of patience are discovering sales are still happening easily within the 'normal' market 90-day window. There are many buyers waiting on the sidelines, 'hoping' for a market crash, and prices to substantially fall, as is happening in less desirable markets. Those people who waited while the market values increased over 100% in the past three years, might still be waiting for those 2019 prices. For the latest VIREB sales statistics, click on "Read more".

Courtesy NANCY SMITH and VIREB

The market has switched from subject-free offers to buyers having time to contemplate multiple properties, have important inspections done and re-assess market values. Of course mortgage qualification and interest rates have put a damper again on what is considered marginal buyers, who not only need a healthy deposit, but now will see much higher monthly payments. An important note for Sellers: during the hot market only six months ago, some Sellers rejected subject-free offers, and currently have homes listed below that mark. We strive to stay current in today's market, and we will provide relevant data to help you contemplate any offers. For the latest VIREB sales statistics, click on "Read more".

Courtesy NANCY SMITH and VIREB

CLICK on "Read more" below for the latest AUGUST /2022 local market update. We are enjoying the September long weekend at home, but the phone is busy with real estate shoppers. Since the middle of June, the real estate market changed. Listed homes stopped flying off the shelves and homes were popping up on MLS at the rate of twenty listings per day. The Buyer profiles have changed somewhat also. With a fresh choice of multiple desirable properties, Buyer's with specific needs and desires are now ready to buy and list their own home, citing the fact they will not get stranded homeless. August has brought more shopping activity, which should translate to a strong fall market. Those Buyers and Sellers who have done their homework over this Pandemic Period are ready for action. VIREB has published market data and a perspective. For AUGUST /2022 Market Statistics, click on 'Read more'.

Courtesy NANCY SMITH and VIREB

CLICK on "Read more" below for the latest July /2022 local market update. Since the middle of June, the real estate market changed. Listed homes stopped flying off the shelves and new homes were popping up with twenty listings per day. The Buyer profiles have changed somewhat also. With a fresh choice of multiple desirable properties, Buyer's with specific needs and desires are now ready to buy and list their own home, citing the fact they will not get stranded homeless. August is bringing a lot more shopping activity online, which should translate to a strong fall market. Sadly, hindsight shopping never works, but those Buyers and Sellers who have done their homework over this Pandemic Period are ready for action. For more opinion and July /2022 Market Statistics, click on 'Read more'.

Courtesy NANCY SMITH and VIREB

CLICK on "Read more" below for the latest JUNE /2022 local market update. Fortunately for Buyers, there has been a listing uptick with homes under the $1 Million range. However, as normal, many of these homes carry decorating style and floorplan layouts relative to the year they were built. Some homes have had necessary updates, and homes that have location, view, or property desirability, and recent upgrades are still hanging above the $1 Million mark. For more opinion and June /2022 Market Statistics, click on 'Read more'.

Courtesy NANCY SMITH and VIREB

CLICK on "Read more" below for the latest MAY /2022 local market update. Crypto currency and the stock market is taking a beating, some speculate because of the Covid lockdown effect. Real estate is still the go-to for many investors, as more new listings are added to our spring market. Many new listings have boosted our local inventory from a record low of 100 active listings up to 200 currently available. This is still only 50% of listings needed for a balanced market. The marginal buyer is waiting until they can afford a home, and many are also afraid to buy, then see a market correction, severely cutting their equity. Cash buyers still have the upper hand and desirable properties are receiving multiple offers. For more opinion and MAY /2022 Market Statistics, click on 'Read more'.

Courtesy NANCY SMITH and VIREB

CLICK on "Read more" below for the latest March /2022 local market update. Many buyers are suffering from Covid and Real Estate Market Fatigue and the news headlines are not very encouraging. The Russia - Ukraine situation is still ramping up, with no resolution apparent in the near future, the Stock Market is suffering from cash withdrawls and established hedge fund companies are shutting down due to market collapse fears. Many new listings have boosted our local inventory from a record low of 100 active listings up to 200 currently available. This is still only 50% of listings needed for a balanced market. The marginal buyer is waiting until they can afford a home, and many are also afraid to buy, then see a market correction, severely cutting their equity. Cash buyers still have the upper hand and desirable properties are receiving multiple offers. For more opinion and April /2022 Market Statistics, click on 'Read more'.

Courtesy NANCY SMITH and VIREB

CLICK on "Read more" below for the latest March /2022 local market update. Cooling-off Period: the controversy. Until the Government actually releases their legislation, all opinions are purely speculation. Just announced: B.C. approves home purchase cooling-off period Well, the Provincial Government stepped in to cool the real estate market by introducing the vacancy tax boondoggle, and that went well(sarcasm). Even now, they are considering the expansion of that marvellous program. So now, the Government is stepping up their Real Estate cooling off plans with a 'cooling-off period'. The powers that be, diligently consulted with Real Estate Brokers and had input from many influential Realtors, and now they are expressly ignoring and overlooking the market experts. As it is well known, be careful what you wish for. It is understandable that people have elevated their purchase risks by making subject-free offers and then have the joy of spending more money fixing deficiencies. It is also a well known fact, that when people do not want to buy homes, prices drop. Vancouver Island, the mecca of Canada, has seldom suffered a significant market price drop, but rather price levels can stagnate for 7-10 years. Local opinions speculate, price increases over the next three years to 2025, will run around a 7% annual increase.

Courtesy NANCY SMITH and VIREB

Qualicum Beach and area real estate listing had a modest jump in February, but the inventory was quickly gobbled up, and prices are still increasing, seemingly with each new sale. Tenants are seriously feeling the pinch as investors have pulled equity from the stock market and are looking to invest into this 'safe' real estate market. Today, February 02, the Canadian prime interest rate was increased 25 basis points, but the US market delayed any increase. Sadly the Russian invasion of Ukraine has set the world on fire with uncertainty. Both countries heavily contribute to the world economy in countless ways, many which have changing and lasting effects. There is a local and personal good-news story to share, as well as a market summary by VIREB. Also visit My Blog for other interesting projections and opinions. Please click on 'Read more'.

Courtesy NANCY SMITH and VIREB

Local listings discovered a new low for single families. Normal market conditions bring about 400 - 500 listings, but listings have breached below 100. For many people this market is entirely a sink or swim issue. Multiple offers without conditions are hording the market sales, and those desiring a building inspection, financing, subject-to-sale or other requirements, just are not doing well. NANCY SMITH has just listed a 1970 mobile home on a rental pad, listing at $159,900, and within hours, there is a lineup of prospective buyers. All are serious and intent on landing a home. The rental market is also creating home buying chaos, in that people either can not find a suitable place to rent while they shop, but rental rates are challenging the pocketbook. In as much as Realtors need a breather, buyers need a break, and listings remain scarce, we have little good news to share. ##### CLICK on '> Read More' for statistics and information supplied by VIREB for our zones.

Courtesy NANCY SMITH and VIREB

Normally, November heralds in frost, ice and maybe snow, but this year of 2021, we have seen nothing but record coastal rains. The month ended with atmospheric rivers decimating our highways and railways, effectively shutting down transportation of goods and people. Also we are globally dealing with a pandemic and another variant, which is not helping our local and international commerce. Couple these issues with nice low interest rates, multiple cash offers, and low volume new construction, home prices are still escalating while inventory tanks. Cash offers (clean offers with no subject clauses) still reign in multiples, and people requiring financing are, for the most part, standing on the sidelines, ready to jump into an affordable home, which is still facing increasing prices. It is difficult to help people list their homes, when they are unsure of availability of a home to purchase. It has worked for those who can afford to buy the new home first, before selling their existing home. More often than not however, it has worked for the sold home deal to close, and money is transferred to the new home purchase, saving potential bridge financing. As Professional Realtors, we strive to make the process as smooth as possible, and hopefully exceed the expectations of our client. ##### CLICK on '> Read More' for statistics and information supplied by VIREB for our zones.

Courtesy NANCY SMITH and VIREB

Here on Vancouver Island, November usually heralds in winter with our harshest weather. If we will get snow and ice, the worst is usually in November, so the impact on our daily lives is quite significant. This year will be especially notable as we have enjoyed the longest driest summer weather in our memories. Vegetation, streams and water reserves have suffered the lack of our normal precipitation. In the home sales market, we have also seen a drought in listings, as it seems many people have locked down in their homes while health authorities struggle with the Covid pandemic. The local Central Vancouver Island sales volumes have been good, but not keeping up with demand. People having to make moves in the real estate market, are experiencing major price increases, even a 33% annual jump in Qualicum Beach/Parksville benchmark price. Local residents and even the real estate agents are struggling to cope with the phenomenal price increases. As we have gazed across Georgia Strait at the inflated Greater Vancouver market, with homes selling in the millions, and then torn down, we are adjusting to a huge increase in sales of homes over $1 million. In Quarter 3 of 2021, 47 of the total 197 single family homes sold, were priced above $1 Million dollars. ##### CLICK on '> Read More' for statistics and information supplied by VIREB for our zones.

Courtesy NANCY SMITH and VIREB

The summer of 2021 has been extremely hot and dry, sparking numerous damaging forest fires in British Columbia. This is having a significant effect on the Vancouver Island real estate market. People in the forest fire areas are not only suffering with the heat and dry, but also air pollution from the burning forests have negatively affected their health, and consequently, their ability to make changes in their real estate needs. There are people on Vancouver Island planning to move to the desirable Okanogan and other areas to be closer to family or employment. No one wants to move once the fires and smoke put people at risk. Even more specifically, insurance companies, and therefore mortgage business refuses to do business until the fires are brought under control and eliminated. People living near current forest fires are not able to sell their homes for all of the above reasons, to move to Vancouver Island, though there are many people wishing to make the move. CLICK on '-> Read more' to view VIREB's market update and statistics for the Month of August /2021.

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The old news is still news; home inventory is still at historical lows. This is not to say homes are not selling, but quite the opposite, home sales are so brisk, the market is lacking inventory. Currently NANCY SMITH has three listings, two just added, which have garnered a lot of attention, even from Victoria and Vancouver REALTORS who are making the trek to Qualicum Beach to assist their clients. Often REALTORs will refer clients into other communities, especially at these distances, but lack of inventory is motivating REALTORs to take that extra step. To read more information and statistics from our VIBREB Board for the month of July /2021, CLICK on 'Read more'.

Courtesy NANCY SMITH and VIREB

Real estate market conditions still favor Sellers as inventory continues to challenge the waiting list of Buyers. Homes requiring maintenance and renovation updating continue to sell easily as no-condition offers still dominate the market. Home buyers are assuming risky purchases as they buy homes without the usual building inspections, septic inspections and subject-to-financing clause. Often million dollar purchases are based on one 15 minute viewing, and even remote purchasing without a viewing. Homes that would normally languish on the market, SELL. ***** Click on "Read more' to get VIREB statistics and market opinion. *****

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Qualicum Beach and the greater Oceanside area is hurting for listings. Waterfront properties do not last in this market in the $ multi-million price range, as competition is fierce. With new construction costs soaring due to many factors; building material shortages, transportation issues and a lack of available skilled tradespeople, and new construction fees and taxes, pre-owned homes are in greater demand. The hot home market extends through the mobile home on pad rent, to small lot and home properties, to inconvenient locations, everything is selling. For further insight from VIREB and accumulated statistics for Vancouver Island, excluding Greater Victoria, click on "Read more".

Courtesy NANCY SMITH and VIREB

REALTORS and Buyers are feeling weary in this complicated market. Sellers are overjoyed at the current demand and price levels, but seem to sober up when it is their turn to become Buyers. These factors are keeping potential Sellers from listing their homes, creating an even tighter real estate market. This phenomenon is not confined to our local market, or even across Canada, but also in many developing countries. No one seems to be able to pin down the list of factors, but everyone seems to point fingers at the current low interest rates. Normally at this time of year, the local listings can double in a regular market, but properly qualified and diligent-priced properties are selling within a few days, keeping available inventory tight. CLICK on "Read more" for further April Market stats and opinion from VIREB.

Courtesy NANCY SMITH and VIREB

Sales are steady as a lack of inventory is keeping Buyers at bay, on Vancouver Island. Click on "Read more" for current basic Market DATA.

Courtesy NANCY SMITH and VIREB

No news is good news? Lack of inventory is resulting in frantic 'bidding' for available properties as purchasers are increasingly frustrated submitting offers, only to be disappointed. Not all properties will sell to the 'highest bidder', as some sellers have specific requests, like rent-back, specific closing dates, and other special considerations. Work with your REALTOR to tailor your offer to be successful. Remember, it is also in the REALTOR's best interest to have a happy client. CLICK on "Read more" for a quick market overview. For a more DETAILED Market snapshot, view the next article below this one.

Courtesy NANCY SMITH and VIREB February 2021

CLICK on "Read more" for up-to-date February Market UPDATE. >>> Homes above and below the $1 million mark are experiencing multiple offers without sales conditions, meaning cash offers with no building and other inspections. Anyone needing to carry a mortgage is strongly advised to have a mortgage broker on speed-dial, and be pre-approved. This is especially important in the Oceanside area where REALTORS, Brokers and consumers can not project the incredible pace and jumps in real estate prices.

Courtesy NANCY SMITH and VIREB

Historically low inventory has deeply affected prices, leaving many buyers standing on the sidelines waiting for compatible homes. Homes below the $1 million mark are experiencing multiple offers without sales conditions, meaning cash offers with no building and other inspections.