November 2021

Commercial Leading Indicator Dips in Third Quarter 2021

The BCREA Commercial Leading Indicator (CLI) fell from 155.4 to 150.9 in the third quarter of 2021, representing the first decline since the economy began recovering from the COVID-19-induced recession. Compared to the same time last year, the index was up by 9 percent.

It is important to note that while the economy generally continues recovering strongly, we are still in a very abnormal and uncertain environment for commercial real estate. Therefore, the strong economic and employment growth we have seen in previous quarters may not translate directly to improved conditions in the commercial real estate market.

The CLI declined in the third quarter due to a drop in the economic

2 Bedroom Townhouse in a Great Location!

Opportunity awaits!

This is a great chance to get a spacious 2 bedroom townhome at a price where you can put your own touches on it.

Welcome to unit 27 at 909 Admirals Rd.

The Admirals Gate complex is a desirable property that is located at a very convenient location just off the water on the outskirts of Esquimalt between the E and N trail and Admirals Road.

It is less than a 5-minute drive to Central Esquimalt or 10 minutes to downtown Victoria and many other amenities like parks, Gorge Vale golf club, Esquimalt rec center, and more.

This unit is in a quiet location in the middle of the development and is a ground floor property with a garage and a huge crawlspace for all your

Beautifully Restored Character 4 Bed 3 Bath with 20 x 24 Shop

Character, Charm, and restoration describe this Heritage designated 4 Bed 3 bath home on .20 acre no thru road.

It's not a registered site so you can make it your own.

Upon entering the home you are greeted with the warm Heatilator brick surround fireplace & mantle with rich fir trimmed millwork throughout, taken from the original shiplap siding.

The newer kitchen boasts a very large Quartz bakers Island, loads of rich cabinetry, and beautiful windows with access to the side porch.

Dining or Family room with views of the rear property and just down the hall a bedroom with the same amazing outlook and 4 piece bath.

The Principal Bedroom with 4 piece ensuite is also on

3 Bd 2 Bath Over 1500 Sq. Ft.

View Royal Rancher style Double Wide 3 bed 2 bath home perfect for slowing down or young families!

Privately set in the park the entrance leads to the large living room with New electric Fireplace, Heat Pump newer windows, and flooring throughout.

The Separate dining offers wonderful views of the mountains and has stylish storage to keep you organized.

The bright kitchen offers NEW cabinetry and appliances complete with a large pantry, pull-outs, loads of pot drawers, and counter space.

There is an adjacent Family room allowing you to entertain while cooking!

A spacious storage/ office plus a separate laundry room.

The Principal Bedroom and 4-piece ensuite overlook the private rear yard while 2

Canadian Retail Sales (September 2021) - November 19, 2021

Canadian seasonally-adjusted retail sales fell 0.6% to $56.6 billion in September. The decline was driven by sales at motor vehicle and parts dealers (-1.6%) as new car sales continued to be impacted by semiconductor chip supply shortages. According to Statistics Canada's survey, just 0.5% of retailers were closed at some point in September. Preliminary estimates, based on roughly 50% of respondents reporting so far to the agency, indicate that retail sales rose 1% in October.

In BC, sales rose 1.1% to a fresh record in September, erasing declines in July and August. Compared to the same month last year, retail sales were up 6.7% in the province. Only electronics and

Custom 6 bed 4 bath home in cul de sac on .20 acre

Attention Families!

This custom-built 6 bed 4 bath home in a cul de sac on a .20 acre lot is centrally located between Victoria and Sidney.

The grand double-height foyer greats you with a curved staircase that overlooks the entry.

Hardwood floors and wainscotting lead to the cook's kitchen with a large island, granite counters, and a bayed eating nook overlooking the private treed backyard and patio with some nice ocean views.

Adjoining family room with a gas fireplace and BI entertainment unit housing pull-out drawers and bookshelving.

Formal living and dining rooms all with large bright windows.

A large utility room and office with access to a double garage on main.

The

Canadian Inflation (October 2021) - November 17, 2021

Canadian prices, as measured by the Consumer Price Index (CPI), rose 4.7% on a year-over-year basis in October, rising at the fastest rate since 2003. On a month-over-month basis, the CPI was up 0.7% in October. The Bank of Canada's preferred measures of core inflation (which use techniques to strip out volatile elements) rose an average of 2.7% year-over-year in October. Major drivers of the year-over-year price increase included transportation prices (+10.1%), shelter (+4.8%), and food prices (+3.8%) partly on continuing supply-chain difficulties. In BC, consumer prices were up 0.43% month-over-month, and up 3.8% on a year-over-year basis. 

Inflation continues to run ahead of the

Canadian Housing Starts (October 2021) - November 16, 2021

Canadian housing starts declined for the fifth consecutive month in October, but remain somewhat strong compared to typical pre-pandemic activity. Housing starts decreased by 13.4k to 236.6k units (-5.3% m/m) in October at a seasonally-adjusted annual rate (SAAR). Comparing year-over-year, starts were up modestly from October of 2020 (4.1% y/y). Single-detached housing starts dipped 3.7% in October to 73.4k, while multi-family and others declined 6% to 163.2k (SAAR). 

In British Columbia, starts were essentially unchanged in October, maintaining the level of 35.9k units SAAR in all areas of the province. Single-detached starts dropped 5.6% m/m to 7.5k units while multi-family

There was half the number of actively listed homes this October in Victoria compared to last year and the shortage of options for buyers has had strong effects on sales volume and price. While this time of year is traditionally slower, the decreasing amount of inventory (7.8% down from September) has only marginally dampened the persistent demand and it is clear we are still in a hot market with high sales volume relative to the number of available listings. The combination of the two factors is keeping upward pressure on prices and we are seeing significant increases in Benchmark prices (Benchmark prices being the “average” price of a home in a given area).

Here is a breakdown of the numbers:

Months of inventory hit 1.39 (the number of

The Vancouver Island Real Estate Market continues to struggle with frustration stemming from low inventory pressures. As a result of how few homes are available, the number of sales continues to decrease as well, although not enough to give reprieve on the inventory side of the ledger.

Single family home sales were down 23% in October compared to October the previous year with 398 sales. Condos were down 6% in the same time period with 122 sales and townhomes were down 10% with 88 unit sales. It is fairly safe to assume those numbers would increase if there were simply more options for buyers.

Listings of single family homes were down 46% from last year and 18% from September 2021. This segment has been hit particularly hard as buyers are