Final Quarter for 2023 for Northern BC Real Estate notes of year to year decline , though market remains soft for now, hopeful for 2024

The final review of Real Estate sales for 2023 in Northern British Columbia highlights the continued cooling period that marked much of the last year for a number of communities, where sales declined as mortgage rates began their rise, and some economic uncertainty for the region settled in. 

Though there were differing price points to be found around the region, with Smithers remaining the Northwest market which delivered the best results for sellers in 2023, though the volume of sales for the Bulkley Valley community declined from the previous year.

When it comes to that price point for the North Coast there continues to be some slippage among the listings of the region, with Prince Rupert recording a decrease in the year to year purchase price from year end 2022 to 2023. 

The North Coast city currently marking an average home price of $423,522  to the end of 2023.

The full comparison for all communities across BCNREB region can be reviewed from the chart at the bottom of this article.

From their market review through to June 30th the Northern BC Board observed the following: 

Sales in the BC Northern region declined in all three months of the final quarter of 2023. At 867 seasonally adjusted sales, the fourth quarter total was the third-lowest level since the start of the COVID-19 pandemic. Seasonally adjusted active listings continued to rise and, with 1,913 units in the fourth quarter, are now just 7 per cent below the number of listings active on the MLS® system in the Northern board area when the pandemic began. 

The current level of active listings, however, remains well short of the level needed for the market to be balanced if sales return to their historical norms. The average price in the board declined to roughly $408,000 in the fourth quarter, roughly 5 per cent from its peak in the second quarter of 2020. The seasonally adjusted average days on market rose to 72. 

Towards what's ahead for 2024, the Board notes of hopeful news on mortgage rates that should spur on a recovery.

Markets around the Board region varied. Sales rose from the prior quarter in Prince Rupert, Quesnel, 100 Mile House, and Williams Lake, while declining in Kitimat, Prince George, Fort St John, Smithers, and Terrace. Overall, the housing market in the BC Northern Board area remains soft as high interest rates have constrained affordability for buyers. 

However, fixed-rate mortgage rates have declined in recent months as financial markets price in expectations that the Bank of Canada will cut its overnight rate in 2024. As these expectations become certainties, mortgage rates will fall further, which is likely to provide a tailwind for sales in the region and encourage a recovery in sales in the spring.

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When it comes to the results to date to the end the year  Prince Rupert stats show that 156 properties worth $61.8 million were sold by the end of 2023.

That volume of sales is  still down  from a year ago when the 192  properties worth $88.9 million from had been sold.

Half of the properties sold by the year's end brought the sellers less than $420,000.

In addition to those properties, 13 parcels of vacant land, 7 townhouses and 4 half duplexes changed hands through 2023.

As of December 31st, there were 125 properties of all types available through MLS® in the Prince Rupert area, that's a spike from the 34 that were noted at the same time last year.

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Realtors in the Terrace area had sold 271 properties by the end of 2023, that is a slight  decline from the same time one year ago when 271 properties were sold  the year before.

The value of these properties to December 31st this year was $116.2 million, compared to $114. 8 million of the end of 2022.

Half of the  147 single family homes that sold, were sold for less than $499,000

In addition to the homes, 15 parcels of vacant land,  25 homes on acreages, 24 manufactured homes in parks and 25 manufactured homes on land changed hands  by the end of 2023.

At the end of the final quarter and as the market heads into 2024,  there were 130  properties of all types available for sale in the Terrace area.

   
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The Kitimat market has seen 184 properties sold to the end of 2023, that makes for a decline from the 202 properties of one year ago. 

The value of the transactions of properties which have been reported sold  to December  was worth $85.7 million compared to $72.8 million one a year ago. 

The median value of the 115 single family homes sold in 2023 was $375,000.

28 half duplexes and 19 town homes were sold by the end of 2023/   

  

At the end of  2023 there were 90 properties of all types available for sale through MLS®. That amount is up from 37 of December 2022/

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Smithers realtors reported 157 sales by the end of 2023, compared to 175 a year ago, with a value of $80.8 million to the end of December,  down from the $82.7 million mark of one year ago.

The median value for the 70 single family homes sold in 2023 was listed at $495,000.

Other notes from the Bulkley Valley community show 10 parcels of vacant land and 42 homes on acreages, 12 manufactured homes in parks and 6 manufactured homes on land having changed hands by the end of the year.

At the end of  September  there were 57 properties of all types available for purchase through the MLS®. That's an increase from the 25 noted at December 31,2022.

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Over the course of the most recent three year period of review, Prince Rupert had been among the most active markets  in terms of price increases of the communities of the Northwest, though 2023 has brought some slippage in those results. 

The North Coast features  an average property listing of today at $423,522 which makes for a decline of $26,471 from the same period one year ago.

Among the communities of the Northwest, Prince Rupert continues to rank third  in total average price,  behind Smithers and Terrace.

click to enlarge

You can review the full overview for the different regions from the BCRENB here.
 
More items of note on the Housing sector can be reviewed here.