An Optimistic Market
Rhonda Heaslip | 28 April, 2008

According to a RE/MAX report Entitled, “Decade in Review”, nationally, average prices almost doubled between 1997 and 2007; rising from $154,606 in 1997 to $307,265 in 2007. Home sales also increased by just over 57%. This report goes on to state that appreciation in Western Canadian markets surpassed all others between 1997 and 2007, with Edmonton leading the country with an impressive 203% upswing in housing values, Calgary ranking second in terms of price appreciation at 189%, Kelowna at 179%, Saskatoon at 137%, Winnipeg at 118% and Greater Vancouver at 99%.

During this decade we have experienced a continuous run up in Canadian real estate like never before. It seems obvious that the combined strength in all markets is directly linked to solid growth in local, provincial and national economies. Of course lower interest rates and job security have served well to improve consumer confidence greatly which in turn helped to increase home buying numbers nationwide.

How fortunate we all are to live in the best part of Western Canada, especially in these times. Looking at our local market place through the eyes of the Vancouver Island Real Estate Board we can see the current statistics are looking good for the Nanaimo area. In the categories of “Single Family Homes, Condos and Townhomes” we are seeing the average sale price per unit has risen by about 12% over the last 12 months. The average time to sell a single family home has changed very little, moving from 48 to 47 days over the course of a year. Condos moved from 53 days to 56 days and Townhomes moved from 51 days to 53 days on the market. There is definitely still a high level of confidence in the local residential real estate market and by all appearances it is not showing any indication of changing any time soon. As quoted from the RE/MAX report “Decade in Review”: “Given the continuation of sound economic fundamentals, it's expected that the residential real estate markets across the country will continue to experience healthy activity, albeit at a more moderate pace.”

Looks like our slice of paradise in the beautiful mid-island area is holding it's own nicely and has a bright future as well!

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