Home prices in British Columbia's Fraser Valley have continued their downward trajectory, falling for the tenth consecutive month in January and pushing the Benchmark price below $900,000 for the first time since spring 2021. This significant decline marks a return to pandemic-era pricing levels, driven by persistent economic challenges and sustained high inventory in the regional housing market.
January Market Performance Shows Continued Softening
The Benchmark price for a typical home in the Fraser Valley dropped one per cent in January to $897,200, representing a substantial 6.9 per cent decrease compared to the same month last year. Despite this continued price softening, buyer activity remained subdued, with the Fraser Valley Real Estate Board recording only 619 sales on its Multiple Listing Service® (MLS®) in January.
This sales figure represents a dramatic 33 per cent decrease from December and sits 24 per cent below sales from January of the previous year. Meanwhile, new listings surged by 128 per cent in January to reach 3,078 properties, reflecting typical seasonal patterns but remaining 10 per cent below last year's levels.
Market Dynamics and Buyer Confidence
Tore Jacobsen, Chair of the Fraser Valley Real Estate Board, noted that "January opened the year with negligible momentum." He explained that "prices continued to weaken while at the same time selection remains high. Under normal market dynamics, these would be considered highly favourable conditions for buyers, however the uncertainty of the past year or so continues to loom large, subduing buyer confidence and muting overall market activity."
Overall inventory in the Fraser Valley remains significantly above seasonal norms, with 7,711 active listings representing an 11 per cent increase from December and a striking 54 per cent above the 10-year seasonal average. This abundance of available properties has firmly established the Fraser Valley as a buyer's market.
Sales-to-Active Listings Ratio Indicates Buyer's Market
The overall sales-to-active listings ratio dropped to just eight per cent in January, down five per cent from December. This metric is particularly telling, as a balanced market typically features a ratio between 12 and 20 per cent. The current low ratio underscores the challenging conditions facing sellers and the advantageous position of potential buyers in the current market environment.
Across different property types in the Fraser Valley during January, the average number of days to sell varied significantly. Single-family detached homes took an average of 55 days to sell, while condominiums required 53 days. Townhomes proved slightly more appealing to buyers, selling in an average of 50 days.
Affordability Challenges Extend Beyond Housing
Baldev Gill, CEO of the Fraser Valley Real Estate Board, emphasized that "affordability challenges facing many households today extend well beyond housing costs alone." He pointed to "rising day-to-day expenses, combined with wages that have not kept pace" as creating significant financial pressure for potential buyers.
Gill noted that as a result of these broader economic pressures, "potential buyers are choosing to be more circumspect with respect to purchasing decisions and are working with REALTORS® to develop timing strategies that meet their long-term objectives."
Detailed Benchmark Price Analysis by Property Type
The MLS® HPI Benchmark Price activity reveals distinct patterns across different housing categories in the Fraser Valley:
- Single Family Detached Homes: The Benchmark price decreased to $1,373,100, representing a 1.1 per cent decline compared to December 2025 and a 7.4 per cent decrease compared to January 2025.
- Townhomes: The Benchmark price fell to $773,100, marking a one per cent decrease from December 2025 and a 6.5 per cent decline compared to January 2025.
- Apartments and Condominiums: The Benchmark price dropped to $488,600, showing a 0.6 per cent decrease from December 2025 and a significant 8.2 per cent decline compared to January 2025.
The Fraser Valley Real Estate Board represents over 5,000 real estate professionals and serves as the exclusive source of statistics and information for the Fraser Valley real estate market, which includes Surrey, Langley, Abbotsford, Mission, White Rock, and North Delta.
