The B.C. housing market lost steam during the first quarter this year as Multiple Listing Service sales across the province fell by 13.5 per cent to 18,635 units, the B.C. Real Estate Association reported today.
The total value of those sales dipped 1.8 per cent to $8.9 billion while the average residential selling price rose by 13.5 per cent to $478,423.
"Eroding affordability has squeezed some potential buyers out of the market, while uncertainty about the duration and impact of a weak U.S. economy likely has some consumers sitting on the sidelines," said BCREA chief economist Cameron Muir.
He said economic fundamentals in B.C. remain strong and continue to fuel housing demand, despite weakness in the forest sector. Muir said a 25-per-cent increase in the number of homes for sale is providing home buyers with more selection and reducing the chances of competing bids on the same property.