(Black Press Media files)

(Black Press Media files)

B.C.’s skyrocketing real estate market will ‘correct’ in 2019: analyst

Housing prices in Vancouver are set to rise just 0.6 per cent

After years of skyrocketing real estate prices in much of urban B.C., things are finally set to cool off in the new year.

A 2019 market survey forecast from Royal LePage suggests that house prices are in the Lower Mainland will rise by just 0.6 per cent.

Last year’s forecast predicted prices would rise by five per cent.

Next year’s predicted increase would leave houses costing an average of $1.3 million by the end of the year.

READ MORE: Sales drop 41% in Fraser Valley real estate in November

Royal LePage Sterling Realty general manager Randy Ryalls said that the slowdown was a natural correction after a busy few years on the real estate market.

“The volume is down off of those crazy levels where we were selling 5000 properties a month,” Ryalls said.

“This is much more of a normalization of our market than we’ve seen in quite a few years.”

Ryalls said that the mortgage stress test brought in at the start of the year, coupled with the foreign buyers tax and other provincial policies, was helping to calm markets.

But for buyers who thought “the ship had sailed,” Ryalls said 2019 presented a new opportunity.

“The condo and townhouse market has sort of balanced itself out and detached houses are probably firmly in buyer market territory,” he said.

That means there will be opportunities for first-time millennials buyers for the first time in years.

“Where you were having to compete with several other buyers to buy a property in 2016 and 2017, now you have an opportunity to go and be the only buyer on a property and negotiate a pretty good price,” Ryalls said.

“There’s an opportunity for a millennial buyer. Now they can go and not make a decision in five minutes when they walk in the door.”

READ MORE: Vacancies remain low as rents rise in B.C.

But recent buyers shouldn’t despair that they’ve bought a useless property.

B.C. still has “probably the best economy in Canada,” Ryalls noted, and with unemployment remaining low, the real estate market continues to have a strong foundation.

“There’s periods of a lot of growth in terms of prices and then it slips back a little bit,” Ryalls said.

“We’ve gone through a period when we’ve had double digit increases per year and that’s not sustainable and that’s going to correct itself a little bit.”


@katslepian

katya.slepian@bpdigital.ca

Like us on Facebook and follow us on Twitter.

Just Posted

Prince Rupert’s Ellen Wright and Graeme Dickens jam out during filming the two Ring System Studio concerts to be broadcast on television during June. (Photo: supplied, H. Cox)
Ring System Studio sounds on television

Two concerts by the Prince Rupert music school will be broadcast in June

Commerical marijuana grow ops that are budding up in Prince Rupert’s downtown core are legal and out of the city’s jurisdiction, Mayor Lee Brain said, on June 14. (Photo:supplied/K-J Millar)
Prince Rupert downtown’s pretty dope

Marijuana operations grow in the Prince Rupert city core

Unionized longshore and port workers gather along Highway 16 on June 15 not crossing the picket line where Prince Rupert Solidarity Movement group protests the docking and unloading of the JPO Volans, a ship with Israeli designed technology and equipment. (Photo: K-J Millar/the Northern View)
Prince Rupert Solidarity Group pickets at port in protest

Demonstrations against the container ship JPO Volans lead into the second day to dissuade docking

BC Ferries has announced the welcoming back onboard of recreational travellers on June 15 after the provincial travel restrictions were lifted. (Courtesy of BC Ferries)
BC Ferries welcomes back recreational passengers

The ferries corp will relax mask-wearing in outdoor spaces

Nic Pirillo received $1,000 Youth WORK Apprenticeship Award presented to him by Erik Brooke and Catlin Chandler of Broadwater Industries, in front of the boat Pirillo built in his free time using newly acquired skills. (Photo: supplied)
Learning and earning with apprenticeship

Nic Pirillo graduated in 2020 and was awarded the Youth WORK Trades award

People line up to get their COVID-19 vaccine at a vaccination centre, Thursday, June 10, 2021 in Montreal. THE CANADIAN PRESS/Ryan Remiorz
Vaccines, low COVID case counts increase Father’s Day hope, but risk is still there

Expert says people will have to do their own risk calculus before popping in on Papa

John Kromhoff with some of the many birthday cards he received from ‘pretty near every place in the world’ after the family of the Langley centenarian let it be known that he wasn’t expecting many cards for his 100th birthday. (Special to Langley Advance Times)
Cards from all over the world flood in for B.C. man’s 100th birthday

An online invitation by his family produced a flood of cards to mark his 100th birthday

FILE – Nurse Iciar Bercian prepares a shot at a vaccine clinic for the homeless in Calgary, Alta., Wednesday, June 2, 2021. THE CANADIAN PRESS/Jeff McIntosh
B.C. scientists to study effectiveness of COVID vaccines in people with HIV

People living with HIV often require higher doses of other vaccines

A 50-year-old woman lost control of her vehicle Tuesday, June 15, crashing through a West Vancouver school fence that surrounds playing children. (West Vancouver Police)
Driver ticketed for speeding near B.C. school crashes into playground fence days later

‘It’s an absolute miracle that nobody was injured,’ says Const. Kevin Goodmurphy

Dr. Réka Gustafson, who is British Columbia’s deputy provincial health officer, speaks during a news conference in Vancouver on April 8, 2015. THE CANADIAN PRESS/Darryl Dyck
B.C. public health officials prepare to manage COVID-19 differently in the future

Flu-like? Health officials anticipate shift from pandemic to communicable disease control strategies

Maxwell Johnson is seen in Bella Bella, B.C., in an undated photo. The Indigenous man from British Columbia has filed complaints with the B.C. Human Rights Tribunal and the Canadian Human Rights Commission after he and his granddaughter were handcuffed when they tried to open a bank account. THE CANADIAN PRESS/HO-Heiltsuk Nation, Damien Gillis, *MANDATORY CREDIT*
VIDEO: Chiefs join human rights case of Indigenous man handcuffed by police in B.C. bank

Maxwell Johnson said he wants change, not just words, from Vancouver police

Camper the dog was found Wednesday night by someone walking their own dog along Hollywood Crescent. She had gone missing after a violent attack on June 11. (Courtesy of VicPD)
Camper the dog found safe after fleeing violent van attack in Victoria

Young dog was missing for almost a week after incident

Most Read