Fraser Valley property sales and listings continue to decline amid rising interest rates

SURREY — The Fraser Valley real estate market witnessed a further slowdown in property sales and new listings as consumers grappled with elevated interest rates in October. The Fraser Valley Real Estate Board (FVREB) reported 970 transactions on its Multiple Listing Service (MLS) for the month, marking a 12 per cent drop from the previous month and continuing a four-month streak of decreasing sales since the peak of 1,935 in June.

In a news release, the FVREB says new listings also dwindled, with 2,535 properties hitting the market, representing an 11 per cent decrease from September and a substantial 28 per cent drop since the peak in May when 3,533 new listings were recorded.

Narinder Bains, Chair of the Fraser Valley Real Estate Board, acknowledged the sustained impact of high-interest rates on the market, a trend that has persisted throughout the latter half of the year. “This has been the case since the latter half of the year so far, and we anticipate the trend will continue until we start to see some downward movement in the policy rate,,” said Bains.

Active listings in October reached 6,580, a slight increase of less than 1 per cent compared to the previous month and a significant 17 per cent surge over October 2022. The sales-to-active listings ratio stood at 15 per cent, signifying balanced market conditions. However, detached houses slipped into buyers’ market territory at 12 per cent. The market is considered balanced when the ratio falls within the 12 to 20 per cent range.