Whistler Real Estate Market
Whistler saw a notable decrease in sales with 27* in November, down from 57* in October. Aside from January, this was the slowest month so far this year in terms of sales volume, and the slowest November we have seen in the last 10 years. As a result of the slow sales volumes, inventory remained higher than this year’s average of 230*units, with the 260* units available in November, offering buyers more choice. Based on the sales to listings ratio, Whistler’s market is currently presenting opportunity for buyers, although slow sales volume has not had a notable impact on prices, with median prices for chalets, townhouses and condos increasing year-over-year, at +15%, +40% and +21% respectively.
Pemberton Real Estate Market
In Pemberton, there were 7 sales in November – 1 chalet with acreage, 1 duplex, 2 townhouses and 3 condos. This is shy of the 10-year average of 11 sales for the month of November. As interest rates have remained steady since September, and some banks have begun offering some more attractive mortgage terms, consumer confidence and buying power has had a slight uptick. This is reflected in the increase in median sales price versus October for single family, townhomes and condos. There were 74* active listings in Pemberton in November, remaining relatively on par with October and 25% above the 5-year total inventory average. The Pemberton market is currently leaning in favour of buyers, although with anticipated economic stabilization, we expect sales and competition to increase in the coming months.
Economy and Interest Rates
From an economic perspective, the Bank of Canada’s quantitative tightening cycle sounds like it is coming to an end. The effects of the current cycle are still working their way through the economy, but inflation and consumer discretionary spending have slowed significantly, while the unemployment rate has ticked up. Rate cuts are being predicted by mid-2024, and Canada may begin cutting rates before the US as a result of the impact higher debt levels have on Canadian households and their balance sheets, as well as the outsized impact of the housing market on Canada’s economy. When excluding shelter costs, the Consumer Price Index is below the Bank of Canada’s inflation target of 2%. With the December 6 announcement to keep interest rates flat, we anticipate competition in the Whistler and Pemberton markets will begin to increase, making conditions more challenging for buyers. For those looking to buy in either of these markets, this would be an opportune time.
*Based on Whistler Listing System (WLS)