While we were focused on the residential sales (or lack of same) in our local real estate markets following the start of BC Covid-19, there was a phenomenon happening under our noses! The “let’s get out of Dodge” movement escalated as self isolation and physical distancing became the norm. Moving to the country away from crowds and anticipated mass infection caused a swelling demand for rural properties. Agassiz realtors reported a sharp increase in enquiries leading to deals being made on remote land listings even at the peak of the pandemic curve. City slickers discovered how difficult it was to stay socially distanced and spend healthy outdoors time away from others when living in a dense urban setting. From the Fraser Valley to the Sunshine Coast & Gulf Islands, local residents are finding their retreats. The States are reporting a similar trend – flipping the long time assumption of urban real estate being more desirable. Not only does country life supply the sought after haven, but the lower cost of living is sooo attractive.
Meanwhile back in the city and across the Lower Mainland, multi family sales soared, led by land sales and the multi family rental sector. In the first quarter of this year, there was a 37.2% increase in sales over the same period in 2019 – resulting in $2.15 billion in sales.
While sales increased across most commercial property types, the land and multifamily rental buildings accounted for more than half the dollar volume. As expected, office and retail sales were down 3.6% in the same period and undoubtedly that hit will be exacerbated by the shut down.
The message is clear – density is here to stay and good future news for opening up the rental market. We last had a push on building purpose built rental buildings in the 1970s
Grateful to the ‘Western Investor’ for the above research.
To all you Dads out there – Happy Father’s Day! Enjoy the weekend – rain or shine.
Please continue to bring us your real estate questions and concerns – It is our mission to keep you covered, regardless of climate.
Generations Real Estate Team:- Michelle Hawthorne, Scott Johnson, Sheila Francis, Ray Harris & Shane Goutsis.