The Fraser Valley Real Estate Board area has witnessed a dramatic turnaround from the heyday of 2004 through 2007. Prices are now falling at a rate of 2.5% per quarter and the bottom is far from being in. In fact, I fully expect prices to drop dramatically over the next 6 months.
Sales are very low for this time of year and are at levels normally reserved for the slowest months of the year.
Active Listings rose during September and are at the highest ever recorded levels.
Months of inventory is very high, leading to dramatic downward price pressure. There is always a seller who 'must sell' and buyers never 'must buy' so price drops are inevitable at these inventory levels.
The correlation between supply / demand and price changes continues to be exceptionally strong.
Prices are continuing to fall.