B.C. home prices to remain flat for 2010: economist

Expect British Columbia's property prices to remain flat for the balance of the year, which will be good news for buyers again being squeezed by the province's sky-high values, according to the B.C. Real Estate Association.

Cameron Muir, the association's chief economist, said sales have stabilized while inventories of unsold homes have risen, which is keeping pressure off prices.

Provincially, realtors processed some 8,385 units through the Multiple Listing Service in April, 21 per cent higher than the same month a year ago, but when figures are adjusted to account for seasonality, April sales were four per cent below March, according to Muir.

At the same time, provincial inventories hit 54,029 in April, some nine per cent more than in April of 2009.

"Overall there is more balance in the Lower Mainland and Victoria markets going forward and much less upward pressure on prices," Muir said in an interview.

"I anticipate prices will remain fairly flat for the rest of the year as a result of the countervailing forces of improving economy and job growth [offset] by affordability."

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