Canada's Housing Bubble

Apr 13 2010 Derrick Penner Vancouver Sun

Vancouver - March Real estate sales in British Columbia were 43 per cent higher than the same month last year, when the market was just emerging from the housing downturn, the British Columbia Real Estate Association reported Tuesday.

Sales cleared through the Multiple Listing Service, however, continued to ease off the hot pace they had reached by the end of 2009.

The BCREA recorded 7,110 sales province wide in March, which is higher than the same month a year ago, but association chief economist Cameron Muir said they are six per cent off the pace of sales experienced in December 2009 when seasonal factors are accounted for.

"Home sales have moderated since the beginning of the year," Muir said in a press release.

"Despite an improving provincial economy, higher mortgage interest rates and tighter credit conditions for low-equity homebuyers and investors will squeeze some prospective buyers out of the market this spring."

The average price paid for a home in March hit $516,970 in March, up 21 per cent from March of 2009.