What to Expect in the Fraser Valley Real Estate Market in 2026

The Fraser Valley real estate market is entering a new phase in 2026. After a slow 2025, with prices dropping and sales remaining low, many buyers and sellers are asking: What’s next? This update breaks down key trends, forecasts, and opportunities for the year ahead. 

A Quick Look Back: 2025 Market Trends

The Fraser Valley housing market saw a notable slowdown in 2025. Sales were lower than usual, hitting some of the weakest levels in decades. The Fraser Valley Real Estate Board recorded 12,224 home sales, which was both 16% below 2024 and 33% below the 10-year average. Decade-high inventory and softening prices marked the year’s biggest trends. 

Despite favourable conditions for buyers, like more choices and lower prices, many buyers remained cautious. The composite benchmark home price ended the year at around $905,900, which was 6% lower than 2024 and 24% below the peak seen in 2022. 

These slow sales and high listings gave the early signal that 2026 could be a transition year one where the market finds a new balance between buyers and sellers. 

Price Trends: Stabilization Ahead

One of the biggest questions for 2026 is where home prices are heading. 

In early 2026, Fraser Valley benchmark prices continued to slide for the tenth straight month, dipping below $900,000 and returning to pandemic-era levels last seen in 2021. 

The good news? Most industry forecasts suggest that price declines may slow down in 2026. Instead of steep drops, prices are expected to stabilize with small changes depending on location and property type. Well-priced homes may see slight gains or hold steady, while overpriced listings could take longer to sell. 

What This Means for Buyers 

Sales Activity: Signs of a Slow Recovery

Sales in 2025 were slow, and the beginning of 2026 followed that trend. In January, only 619 homes were sold, and the sales-to-active list ratio remained low at around 8% confirming a buyer's market. 

However, housing experts expect 2026 to shift from a stagnant market toward slightly higher sales activity. This doesn’t mean a dramatic spike in sales, but rather a small rebound as buyers becomes more confident, and seasonal market activity picks up. Regional industry forecasts for British Columbia suggest a modest rebound in overall sales in 2026 after a slow 2025. 

Tips for Buyers and Sellers 

Inventory Levels: Still Above Average

One of the defining features of the Fraser Valley market has been the high inventory levels. In January 2026, there were over 7,700 active listings, which is significantly above the 10-year seasonal average. 

High inventory usually means more choice for buyers and stronger competition among sellers. When listings remain high and sales lag, prices can stay under pressure, which continues to favour buyers. 

Inventory levels are expected to remain elevated through much of 2026, especially if sellers continue listing homes at a steady pace. 

Buyer Behaviour: Caution Meets Opportunity

Buyer behaviour in late 2025 and early 2026 has leaned toward caution. Many potential buyers stayed on the sidelines in 2025 despite lower prices and more options. This hesitancy stemmed from economic uncertainty, higher everyday costs, and a general desire to wait for more market clarity. 

But 2026 may bring a shift. As prices stabilize and interest rates show signs of steadiness, more buyers may enter the market, particularly first-time buyers looking for long-term value. 

Another factor is the type of property. Entry-level homes and well-priced properties tend to attract more interest, while luxury or high-end listings may still see slow activity. 

Local Highlights: Surrey, Langley and Abbotsford 

Fraser Valley’s diverse communities show slightly different patterns: 

Each community’s market will respond differently in 2026, so local trends matter more than regional averages. 

What to Watch in 2026

Here are key indicators to follow this year: 

Price Stability

Look for a slowing of price declines and signs that values may stabilize or rise modestly in strong neighbourhoods. 

Sales Activity

Watch seasonal trends; spring and summer often bring more buyers into the market. 

Inventory Changes

If inventory begins to fall toward historic norms, pricing and competition could tighten. 

Buyer Confidence

Consumer confidence, interest rates, and economic outlook will influence buyer decisions. 

Final Thoughts

2026 is shaping up as a transition year for Fraser Valley real estate. The market is no longer in rapid decline, but it’s not back to peak activity either. Instead, many areas may settle into a balanced market, where buyers and sellers both play active roles but with careful planning and strategy. 

For buyers, this could be a year of opportunity, especially for those ready to act with clear goals. For sellers, understanding local pricing, staging well, and timing listings can make a significant difference. 

If you’re thinking about buying or selling in the Fraser Valley this year, 2026 offers both challenges and possibilities and staying informed is your best advantage.