Falling real estate prices called a balancing
Just because house prices are falling a bit, it doesn't mean the sky is falling.
Just because house prices are falling a bit, it doesn't mean the sky is falling.
Val Smith, the president of the Yukon Real Estate Association, says real estate figures released this week showing house prices coming down is simply a sign of balancing in the market.
"Things are still looking pretty good,” she said Thursday afternoon.
The figures were released for the first quarter of 2013.
They show that there were sales of 39 single-detached homes, three mobile homes, 59 condos and four duplexes.
They were sold at average prices of $405,100 for single-detached, $195,500 for mobile homes, $346,400 for condos and $270,600 for duplexes.
That compares to figures from the first quarter of 2012. They showed 45 single-detached homes, six mobile homes, 54 condos and 15 duplexes sold at average prices of $417,600 for single-detached, $244,100 for mobile homes, $277,000 for condos and $336,300 for duplexes.
Smith noted that while condo sales are the only area where numbers have risen, it does not mean there's a crash in the housing market.
Smith acknowledged a number of sellers have dropped their prices and are advertising their homes with "new price” alerts.
However, Smith pointed out that the "doldrums” of summer are typically a slow period in real estate, with many people away on holidays.
Just as in past years, she expects sales to pick up again in the fall.
However, since July 1, there have been 51 sales, with 32 of those being single-detached homes, and prices on all types of homes ranging from $67,000 to $658,000.
"There's plenty going on,” she asserted. "That's pretty healthy and balanced.”
For about seven years, she noted, the territory was in a position of scarcity for properties and that saw prices climb, with buyers having little choice.
Now that there is more supply available, the market is balancing out, and prices, Smith pointed out, haven't tumbled dramatically.
The shift, she noted, also means sellers have to be more competitive in all respects from pricing to showing their homes.
However, she stressed the numbers show there are buyers out there looking for homes.
By STEPHANIE WADDELL
Star Reporter
Comments (3)
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Atom on Aug 23, 2013 at 4:42 am
You know, this sucks, for those trying to buy now with interest rates going up after all this gouging and inflated pricing for mostly 1980 built Yukon homes over the past 5-7 years. I feel for them.
I also feel for those who bought in that market because lets face it, they are facing some tough hikes.
As for those trying to sell now, if they paid a high price, good luck, I hope you planned for this, as you will need to lower your price if you hope to have any buyers.
To all, go yell at your banker who allowed you to get into this position, then screwed you with hikes and who, undoubtedly, will gladly pat the back of your hand while they 'help' you through this time....as for the realtors, you get what you reap.
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Just Say'in on Aug 18, 2013 at 3:18 am
Be very careful people. Prices will go down and interest rates will go up and that is a fact. Choose your home based on being able to make your payments at an 8-9 % interest rate or you will be in big trouble when it renews.
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piper on Aug 16, 2013 at 10:20 pm
The prices in Faro are still very reasonable & offer lots of good choices for new home buyers half the town is up for sale.