Are you wondering what has been happening with the Squamish real estate market as of late? The growing community of Squamish is currently experiencing a big boom as more people are moving to the oceanside community. While demand has been high, the inventory has been limited. Such an environment has created a true seller’s market in the region. To give you a better understanding of the factors impacting the town, we give you an update of the Squamish real estate market.
Canadian Real Estate Trends:
To understand the real estate market in Squamish, it is important to look at the market in Canada and Vancouver. Across Canada, real estate prices are experiencing a steady price rise. The Canadian housing market is undergoing a 12.4 percent price increase for 2016, compared to 2015. Housing appreciation has grown to the highest it has been in 16 years, according to the Financial Post. The increase is believed to be a result of the world’s current economic uncertainty and substantially low-interest rates.
Vancouver Housing Market Update:
Squamish is impacted by the Vancouver market. The Greater Vancouver area has undergone 27 percent increase in 2016. As a result of the price hike many homebuyers are seeking residences further afield. Due to this, Squamish has become a popular relocation area. The town is the perfect location for people seeking affordable housing that is still within driving distance to Vancouver.
Vancouver Foreign Investors Tax:
Vancouver has been making headlines for years over affordability issues. Recently the government has imposed a tax of 15% on foreign investors. Called the Vancouver Foreign Investor Tax, the 15% increase is a way to counter the rising prices and empty homes. While this tax is not a perfect solution, it marks a step in the right direction for combating housing affordability in Vancouver. Only time will tell how this tax impacts the communities surrounding Vancouver.
Squamish Real Estate Update
With so many positive factor like stunning views and big backyards, it is easy to see why many people consider moving to Squamish. The market has been a sellers market with real estate in and around the Squamish area experiencing quick turnarounds. The average single family residence, townhouse, or condo sits on the market for only 36 days before selling. This means that would-be shoppers must act fast to secure a home.
In July 2016, the average price of detached homes hovered at around $762, 400. The purchase price of a townhouse sits at $585,600. Condos remain the most affordable option for anyone looking to purchase a home in the Squamish region, which average $340,600.
The outlook for the Squamish area’s real estate market continues to be thriving. There is very little doubt that the whole Sea to Sky region is growing and the demand for housing remains high. It seems like many communities from Vancouver to Pemberton are experiencing the effects of high pricing in the Vancouver real estate market.
Prices may start to plateau as inventory catches up with demand. According to Black Tusk Realty Squamish has had an increase of 18% for listing inventory. The increase in inventory combined with with several large projects on the horizon, hopefully the supply of homes will catch up with demand.
Overall, Squamish and the Sea to Sky corridor remains a desirable place to live and therefore puts pressure on the real estate market.
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