November 2018 Real Estate Report

Buying a home in the fall months can be highly advantageous for buyers at all price points. Whether you're looking for a condo, waterfront house, or a new construction homes, sellers are very motivated to complete a sale before the end of 2018. This motivation generally is due to the lower demand from buyers as they are typically distracted by the upcoming holidays and the stress that it causes.

This lower demand creates a significant advantage for home buyers looking to make a competitive offer on a home as the sellers receive so few this time of year. So if you've been looking at a house and considering when is best to make an offer, now could be the best possible time. Many sellers would be thrilled to sell there home before Santa visits on December 25th, if you're willing to move around that time.

Below you'll find the real estate stats for November 2018 that reflect the lower demand that is common in Fall. Use this information to understand your position as a buyer better and take advantage of a market before it becomes highly active again in early 2019.

November in Nanaimo was a fantastic time to purchase a home in Nanaimo. Prices have remained neutral or decreased slightly with the average sales price for a single detached house in Nanaimo decreased from $560,000 to $532,000 roughly. This decrease does not mean that home prices are in free fall; this decrease is typical due to the lower sales volume brought on by, the colder seasons. For instance, in October 2018, 121 Single detached homes sold whereas only 76 sold in November 2018.

Waterfront houses are usually considered a luxury home which has seen a decline in sales over the past year. Prices are dropping most significantly in the luxury home market which tends to skew the average sales price for the market as a whole. In the month on November, two waterfront homes sold in Nanaimo, in comparison to the month previous where only three sold. The Demand for homes above $750,000 has continued to decline as foreign-buyer taxes and increased lending rates decrease the amount individuals are willing to spend.

Condos in Nanaimo are becoming scarce making it difficult for many buyers to find a unit that fits there needs. This scarcity will not last long as many new condo projects in Nanaimo are due to complete this coming spring such as:

• Marcielo condominium tower
• Machleary Street Development
• 91 Chapple Street
• 6540 Metral Dr. Development

In November, 19 condos sold for an average sale price of $294,000 Roughly. This apparent decline for the previous month which produced 32 condo sales with an average sales price of $342,000. As mentioned before, this is expected in the latter month of Fall and will continue until the new year.

Patio Homes and Townhouse both seen similar declines as single-detached homes in November as well. Twelve Townhomes and only four Patio homes sold in November with an average sale price of roughly $455,000 and $390,000 respectively. This decline is attributed to the severe lack of supply for homes of this type as demand grows with people choosing to "down-size."

Finally, residential lots for new construction saw a significant increase in November compared to the previous month. In October on two residential lots sold for an average price of roughly $240,000. However, last month in November, ten residential lots sold for an average price of $360,000. I would speculate that many builders are investing there profits into lots before the end of the fiscal year to forgo paying taxes on income not currently invested in a current project.