Snapshot of Real Estate in BC

The Bank of Canada (BOC) decided to stand pat on interest rates today keeping the trend setting BOC rate at 1%.  This despite the fact inflation under the truncated post-2000 Consumer Price Index (CPI) is sitting at 3%.

The key here is that with interest rates below inflation Canadians discouraged from saving.  Any type of bond purchase under 5 years would give you a return below the rate of inflation.  Why save?

Money is encouraged, instead, to move from prudent behaviour into risky speculative behaviour to get a return that stays ahead of the rate of inflation. 

So with our 'below inflation' interest rates, here's a snapshot of real estate in BC for you.

June's Months of Inventory (MOI) calculations for each of the British Columbia Real Estate Association's (BCREA’s) sales regions is listed below. The inventory and sales data from is from bcrea.com and was posted recently in the comments section over at Vancouver Condo Info.

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BC Northern
Inventory: 3215
Sales: 418
MOI: 7.7

Chilliwack
Inventory: 1828
Sales: 230
MOI: 7.9

Fraser Valley
Inventory: 8169
Sales: 1508
MOI: 5.4

Greater Vancouver
Inventory: 16194
Sales: 3317
MOI: 4.9

Kamloops
Inventory: 2301
Sales: 206
MOI: 11.2

Kootenay
Inventory: 3441
Sales: 232
MOI: 14.8

Okanagan Mainline
Inventory: 6928
Sales: 499
MOI: 13.9

Powell River
Inventory: 265
Sales: 38
MOI: 7.0

South Okanagan
Inventory: 2275
Sales: 145
MOI: 15.7

Northern Lights
Inventory: 356
Sales: 43
MOI: 8.3

Vancouver Island
Inventory: 6676
Sales: 672
MOI: 9.9

Victoria
Inventory: 4108
Sales: 596
MOI: 6.9

Provincial Totals
Inventory: 55816
Sales: 7904
MOI: 7.1

Vancouver continues to have relatively low MOI numbers while outside the Lower Mainland the Months of Inventory numbers are high, especially in the Okanagan.

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