Better News for Kelowna Real Estate in 2012 Q1 Housing Market Forecast from BCREA

Hi All,

To keep you up to date with the  latest BC Real Estate Forecast I have attached BCREA's report issued today.

It offers better news for Real Estate in the Central Okanagan, with higher sales and a modest increase in average MLS ® Price forecast for the next 2 years.

Average Performance for Housing Market in 2012
BCREA 2012 First Quarter Housing Forecast Update

Vancouver, BC – January 27, 2012. The British Columbia Real Estate Association (BCREA) released its 2012 First Quarter Housing Forecast Update today.

“Modest economic growth at home and abroad is expected to limit growth in consumer demand both this year and in 2013,” said Cameron Muir, BCREA Chief Economist.

BC Multiple Listing Service® (MLS®) residential sales are forecast to increase 2.1 per cent from 76,817 units in 2011 to 78,400 units this year, increasing a further 2.7 per cent to 80,500 units in 2013. The 15-year average is 79,000 unit sales. A record 106,310 MLS® residential sales were recorded in 2005.  

"While European sovereign debt concerns and a sluggish US economy will continue to impact consumer confidence, strong demand in the bond market is expected to keep mortgage interest rates at or near record lows for most of 2012,” added Muir.

Home prices in most BC markets are forecast to experience little change over the next 24 months as the supply of homes for sale more closely matches consumer demand. The average MLS® residential price in the province is forecast to edge down 2.2 per cent to $548,500 this year and remain relatively unchanged in 2013, albeit increasing 0.8 per cent to $553,000.

To Read the full report please view http://www.bcrea.bc.ca/docs/economics-forecasts-and-presentations/housingforecast_.pdf

Kind Regards
Trish Cenci
Tel 250 864 1707
Email trishcenci@shaw.ca