Home sales on the rise again!

Last weeks statistics tell a tale of increasing prices and a burgeoning sellers market in Prince Rupert, a reversal of fortunes of only a few short years ago and a reprise of the speculative market that developed shortly after the Container Port development was announced.

With a number of homes in the Rupert area asking for and receiving unheard of prices of late, the real estate market locally seems to be heating up as the spring viewing season arrives.

Sellers are buoyed by the price of housing increasing by over 23 per cent from last year, making for a competitive bidding market for those looking to sell. And for the most part they can sell their houses in less time than last year; the average turn around time in selling a home in Rupert now stands at 39 days.

Compared across the region, the average cost of a house in Rupert is still holding the middle of the list, with Terrace still registering the most expensive average, while Kitimat offers up the least expensive housing options of the three cities examined.

AVERAGE PRICING AS OF MARCH 2007

TERRACE $162,425
PRINCE RUPERT $152,336
KITIMAT $126,273

The Daily News tweaks some of the numbers from last week and examines the local real estate market in a front page story in Monday’s paper.

HOMES IN BOOMING RUPERT ARE BEING SNAPPED UP AGAIN
Many more homes selling this year in comparison to same period last year
By Leanne Ritchie
The Daily News
Monday, April 9, 2007
Pages one and three

The usual rise in real estate activity during the spring months came early this year for Prince Rupert home sellers.

According to the Northern B. C. Real Estate Board, 60 properties worth $12.5 million have already sold in the first three months of the year, compared to 47 properties worth $4.7 million by the end of March last year. The average price for the homes sold this year was $152,336, up 23.4 per cent compared to the same time last year.

Yet in neighbouring communities like Terrace, housing sales are down.

Greg Hllling, president of the B. C. Northern Real Estate Board, attributed the difference between the communities to each town having its “own unique set of circumstances.”

“Oil and Gas exploration in the North has slowed, mining activity in the Williams Lake and Smithers area has increased, and some areas are experiencing growth thanks to construction of the container port in Prince Rupert,” said Holling.

At month end, there were 126 properties of all types for sale in the Prince Rupert area, compared to 142 on March 31 last year.

In Terrace, 62 properties of all types worth $7.6 million have sold so far this year. Last year, in the same period 73 properties with a total value of $9.3 million sold.

The average home price in Terrace was $162,425, up 24.3 per cent compared to last year.

And the number of days the Rupert homes took to sell dropped from an average of 60 days last year to 39 days this year.

In Kitimat, 26 properties worth $3.2 million have sold since Jan.1, compared to 37 properties (of all classification) worth $3.3 million last year. At month end, there were 74 properties of all types available for purchase, compared to 60 last year.

The average selling price for a Kitimat home was $126,273, up 15 per cent from last year.

Overall, the board reported that sales in the North reached a record of $243,983,487 for the total value of all properties sold in the first three months of the year. This is up 35 per cent from last year and almost double the $125.8 million of 2005.

“Most areas are experiencing a shortage of good, available properties and we are seeing inventory levels dropping as low as two, two and a half month supply of listings,” said Holling.

“This, together with low residential building starts in some areas along with steady demand will likely have the effect of causing further price increases.

“Mortgage rates continue to be reasonable and all pundits call for a continuation of these historically low rates. We are cautiously optimistic that all our markets will do as well as last year or better.”