Ron’s Candid Thoughts on Victoria Real Estate Market - September 2013

We experienced the expected increase in sales this August compared to last years and I fully expect that trend to continue into the fall provided there are no further immediate moves by government to tighten lending policies. A balanced market is within reach but we’re not there yet and marginal properties and those in outlying areas continue to be harder hit than they would be if supply and demand were more balanced. At the end of last month our total supply of listings for sale shrank further to just 4,593 and with 540 total sales or 11.75% of the inventory, an 8 ½ month supply. We are definitely continuing our trend and edging closer to a balanced market which we’ve been moving towards since April 2013.   FOR IMMEDIATE RELEASE September 3, 2012 STRONGEST SUMMER IN FIVE YEARS FOR PROPERTY SALES IN GREATER VICTORIA VICTORIA, BC–Summer-time real estate sales numbers were the best they’ve been in Greater Victoria in five years. There was a total of 1,787 sales in June, July and August. On a monthly scale, total real estate sales in Greater Victoria were up 16.8 per cent in August 2013 over August 2012, the Victoria Real Estate Board reports. A total of 540 properties sold in August, finishing off a strong summer market. “I’m very pleased with the August results. MLS® sales are strong and, with 4,593 active listings in all categories at month end, we remain on the cusp of a balanced market,” says President of the Victoria Real Estate Board. The BC Real Estate Association defines a balanced market as when the ratio of sales to active listings is between 15 and 20 per cent. At month end, Victoria’s ratio for residential properties was 14 per cent. There were 308 single family homes sold in August, an increase of 28.3 per cent over August 2012, while the median price of $529,950 is up less than one per cent year over year from $526,250. There were 125 condominium sales with a median price of $287,000 and 70 townhomes sold at a median price of $415,000. “Overall, pricing remains flat and our provincial economist predicts the trend will continue for another year. That said, the year-over-year median price of condos is up 9.2 per cent and the median of townhomes is up 12.5 percent. This will vary between neighbourhoods, which is why I always recommend that consumers consult a REALTOR® for local pricing. “With interest rates starting to increase, many buyers are locking into preapproved mortgages. These consumers should be purchasing in the next three to four months, so I believe the market will remain steady,” she says. Total Waterfront Single Family Dwellings sold: 20, up 7 over August 2012 Total Non-waterfront Single Family Dwellings sold: 288, up 61 over August 2012 Single Family Dwellings sold over $1 million: 17 (2 over $2 million) While the use of average price information can be useful in establishing trends when applied over a period of time, e.g. six months or longer, the Victoria Real Estate Board cautions that an average price does not indicate the actual value of a property in a particular neighbourhood. Those requiring specific information on property values in their area should contact a REALTOR®. The Victoria Real Estate Board has 1,222 Members. August 2013, MLS® Real Estate Sales, and Average and Median Prices, Greater VictoriaAugust 2013, MLS® Real Estate Sales and Six-Month Average Prices over July 2013