Nanaimo's real estate market continues to push ahead during COVID-19, with the average home price going up despite half the sales volume in April. (Alex Rawnsley/NanaimoNewsNOW)

By Alex Rawnsley

PROPERTY PANDEMIC

Nanaimo real estate sales drop during COVID-19 shutdown while prices increase

May 5, 2020 | 4:15 PM

NANAIMO — The local real estate market saw a sharp drop in properties sold in April, thanks in large part to social restrictions in place during the COVID-19 pandemic.

Data from the Vancouver Island Real Estate Board (VIREB) showed April 2020 saw nearly half the sales volume from the year prior and was on par with numbers typically seen in January or February.

Kaye Broens, past president of VIREB told NanaimoNewsNOW the restrictions in place because of COVID-19 have effectively hit the ‘pause’ button on transactions in the region.

“We are on pause, we’re not on stop. We still saw 55 (single family) properties sell in Nanaimo last month, which is down 47 per cent year over year,” Broens said. “On a personal note I was involved in a multiple offer last week, so well-priced homes are still selling, vacant homes are very attractive.”

Average home prices in Nanaimo continue to increase despite only half the sales volume in April 2020. (VIREB/NanaimoNewsNOW)

Making an impact

Nanaimo woman publishes books to open awareness of neurodiverse children

1h ago

iconic voice

Legendary hockey broadcaster Bob Cole, a welcome voice for a half-century, dead at 90

8h ago

first response

New staffing model on Gabriola Island hires local paramedics for enhanced patient care

13h ago

Real estate agents have been forced to significantly modify their business in order to continue operating during the new normal.

Many tours are virtual, with open houses being conducted online instead of in person.

“The average seller does not want people in their home which is totally understandable,” Broens said. “If you can’t have your best friend over for dinner, why would you want strangers trucking through your house.”

In-person home tours are severely restricted with only the buyers permitted inside a home with an agent, who is the only person allowed to touch surfaces or open doors.

Broens believes the restrictions are short-term hiccups before normal operations begin to resume.

She said there are a number of people either waiting to put their home on the market, or who are ready to make a buying decision.

“Between pent up demand and low interest rates, we’re going to see the market start to buzz as soon as some of the restrictions are lifted where people can get out and start looking at properties again.”

Parksville/Qualicum’s average sale price increased five per cent year-over-year to $696,041. The region saw a sharper decline in transactions with only 22 single family sales in April, compared to 56 in March 2020 and 71 a year prior.

alex.rawnsley@jpbg.ca

On Twitter: @NanaimoNewsNOW