Alberni Valley Real Estate Update - May 2018

Posted by Chris Fenton on Wednesday, May 2nd, 2018 at 4:42pm.

The first four month of 2018 have been characterized by a significant shortage of inventory in the Alberni Valley real estate market. This shortage of inventory is more noticeable in certain price segments than others. For that reason, last month I broke the market stats into price segments, to better help you understand what is going on in the market. To summarize those finding: there is an incredible shortage of homes for sale under $300,000, while the $500,000+ price range has a very healthy inventory.  

Port Alberni Real Estate Update May 2018

This month I want to go back and look at traditional statistics for single family homes in the Greater Alberni Valley (excluding waterfront properties). This is what we found for April:

 

April 2018

April 2017

New Listings

41

67

Homes Sold

21

37

Average Sale Price

$317,019

$283,927

Median Sale Price

$300,000

$250,000

Average Days on Market

17

49

As you can see, the number of new listing that came onto the market is down significantly from the previous April. There is no doubt in my mind that some of this is that the market is changing, however, I also believe the unusual weather is also almost certainly contributing to this trend. This year, winter seemed to linger forever. In a team meeting early in April I told my team to expect the market to begin to pickup one week after the sun finally showed up. Sure enough, we finally had a beautifully sunny week, and the phones were dead - everyone was out enjoying the sun. Once people accepted the spring was in fact here to stay, and they felt they had finished worshipping the sun, the market picked up.  In short, I expect the spring market, that usually starts in April, to show up in May.

Here are the statistics for single family homes in the Greater Alberni Valley (excluding waterfront properties) year to day (January 1 to April 30):

 

Year to Date 2018

Year to Date 2017

New Listings

159

190

Homes Sold

108

130

Average Sale Price

$341,959

$260,274

Median Sale Price

$306,000

$235,000

Average Days on Market

42

48

The stat that jumps of the page immediately is the massive difference in Average Sale Price and Median Sale Price (the latter I usually prefer as a metric). However, I feel that the lack of inventory available to sell in the under $300,000 price range is responsible for skewing the stats to some extent. What I mean by this is I don't believe the average home in the Alberni Valley has increased by 31%.  This is why I chose to segment the market in last month's stats.

In this changing market, it is likely that the Single-Family Home Benchmark Price reported by the Vancouver Island Real Estate Board is more accurate that the above statistics when it come to the value of an "average" home in the Alberni Valley. However, this home price index for Zone 6 (Port Alberni) also includes the entirely separate market of Ucluelet and Tofino, meaning they too are imperfect statistics.

One thing is for certain, the market is continuing to change, and it is an incredibly good time to sell real estate in the Alberni Valley.

Thanks for reading - I'd love to answer any questions or receive any comments you may have.

Chris Fenton, BCom
The Fenton Team

1 Response to "Alberni Valley Real Estate Update - May 2018"

Jason Ridout wrote: Hello Fenton Team. I am really impressed with your website. Very well written, easy to use, and lots of great info and stats. I recently bought my first investment property in Port Alberni, traditionally I've been investing in Prince George.
I'm just finishing my applied practices course to become a Realtor myself, and really like the concept of having my own webpage/blog and just thought I'd let you know, that yours is very well done. Good info for investors and home buyers alike.
I'll be working for Pemberton Holmes in Parksville, and hopefully I'll be bringing lots of investor clients through the properties you have listed! I'll be sure to send them all to your website for the best Port Alberni info.

Posted on Friday, May 4th, 2018 at 1:48pm.

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