The average price of a home in British Columbia has increased by 24.9 percent.
This comes as the BC Real Estate Association reports that the number of homes for sale is well below the threshold for a balanced market.
In February 2022, the average price rose to $1.109 million.
That’s nearly 25 percent over the $887,866 average price in February 2021.
Last month’s average price also marks an increase from the January 2022 level of $1,042,169.
There were 16,306 homes for sale in February 2022.
The BCREA report Monday (March 14) indicates that this level is 19.2 percent below the total of 20,185 homes available for buyers in February 2021.
The association noted that around 40,000 listings are needed for a balanced market.
In the report, BCREA chief economist Brendon Ogmundson noted that “demand continues to be quite strong”.
“There are some encouraging signs that listings are recovering from historical lows, but there is a very long way to go before markets achieve balance,” Ogmundson said.
The BCREA report includes a graph to illustrate the situation.
A balanced market requires a sales-to-listings ratio of 12 percent to 20 percent.
A ratio above 20 percent means it’s a seller’s market.
In February 2022, the ratio in BC was 54.6 percent.
A total of 8,902 homes were sold across the province in February 2022.
It’s an increase from the 6,138 sales in January this year.