Our hot summer is over and it seems that our hot market is too, other than with a few specific property types, price ranges and neighbourhoods. The volume of sales reported each month since May 2017 has declined each month, but surprisingly the number of available active listings has remained low, hovering just over 1,500 active residential listings.
There were 640 sales reported last month in Greater Victoria which while was 18% less than the 781 reported sold in September 2016, is still more than 10% higher than the 10 year average of 573 sales in September. The number of total listings (including commercial and lots) at the end of September was 1,976 up 3% from the previous month and 4% less than the same time last year.
This proportion of listings to sales is overall about 3 to 1, or about a three month supply. Not fully balanced and still very undersupplied in some property types, but much more balanced than the one month supply we had for several months. The record-breaking pace of sales we were experiencing is in our rearview mirror, for now.
Is the Victoria Real Estate Market Slowing Down?
Buyers are finding more opportunities to offer on listings without competition and upward pressure on prices has generally subsided. There are some indications of prices having retracted some with fewer competing buyers.
The Victoria Real Estate Board (VREB) reports Home Price Index Benchmark prices of detached single family homes in Victoria’s core at $823,100 in September 2017, up 11% from $742,200 in September 2016.
With foreign buyer taxes, other new taxes being considered, changes contemplated for capital gains, small corporations under the gun, review of rent controls and restrictions (rent increases in BC limited to 4.0% in 2018), tightening of rules around short-term vacation rentals and mortgage rates and rules increasing, we are finding increasingly that both buyers and sellers are paying close attention to government initiatives and their impact.
For information relevant to your own property and neighbourhood, please contact us for a personal consultation, with no obligation of course.
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The Neal Estate Team is your #1 source for all of your Victoria BC real estate needs. Get in touch with us online or by phone at (250) 386-8181 to speak with a Victoria real estate buying or selling expert today. With decades of experience as a top selling Victoria REALTOR® and ranked in top 1% globally with over 4,000 transactions and $1 Billion SOLD, Ron Neal & The Neal Estate Team have the industry experience and market knowledge to help you make smart and informed buying or selling decisions.