Ron Neal's Victoria Real Estate Market Update July 2014

While our market is generally viewed as balanced now, the market varies considerably by area, property type and price range. Activity is strong in Greater Victoria’s most popular areas including south of Fort Street (Fairfield, James Bay and Rockland), east of Foul Bay (all of Oak Bay) and the University area (including Mt Tolmie, Gordon Head, Mt Doug, Cadboro Bay, Ten Mile Point, Queenswood and Arbutus). Activity in other areas is generally vastly improved compared to a couple years ago, however, rural areas and high end are still over supplied and not recovering as rapidly as the most popular areas. Our market is considered balanced by most when 15-20% of the supply is selling each month. In Oak Bay last month 18% of the available listings sold and 20% in Victoria compared to 11.5% in North Saanich and 10% in Sooke. Furthermore, just 6% of available listings over $1 Million sold during June. At the end of June there were 4,695 total listings for sale on Victoria MLS with 680 total sales for the month of June representing 14.5% of listings sold or ratio of 1 in 7 sold for the month. Overall stability and improved conditions show continuing momentum of our market drifting closer to being truly balanced. Media Release from VREB A good time to buy or sell in Victoria as steady market conditions continue to create a balanced market. July 2, 2014, Victoria BC - The Victoria Real Estate Board today released its monthly report on real estate activity in the Victoria area for June 2014. 680 properties sold in the region in the month of June 2014 compared to 664 in June 2013 - an increase of 2.4% year over year. Compared to last month in May, there were 5% less sales, which follows a common seasonal trend as summer approaches. Compared to 2013, 2014 shows an 8.9% increase in year-to-date sales. "We continue to see slow and steady growth in our overall sales numbers," Victoria Real Estate Board President Tim Ayres says. "May and June represent the top two sales months we have seen since spring 2010." "Once again we see balanced market conditions in June - as we did in March, April, and May this year," adds President Ayres. "Market conditions track the ratio of sales to available inventory and indicate supply and demand. A balanced market is advantageous to sellers and buyers - pricing is more stable and predictable and there is less pressure on price either way." The MLS® Home Price Index benchmark value for single family homes in the Victoria Core area for June is $556,200, which represents an increase in value of 1.8% over last year. The most common price range for single family homes in the entire region is $400,000 - $600,000. 48% of sales in June were in this range. Victoria Real Estate Board President Tim Ayres is available for comment. More information on the June 2014 report and the MLS® HPI is available from the Victoria Real Estate Board.