Ron’s July 2013 Victoria Real Estate Market Update

The trend towards a balanced market has continued over the past 3 months since the end of HST. The number of sales reported for June exceeded those of the previous month and for the same month in 2012 while the total number of listing slipped slightly from the same period last year. It would appear as previously speculated that our market has stabilized and prices have ended their decline. Long term interest rates just jumped about 0.5% and our market remains very sensitive to interest rate increases which impact affordability. Further increases would be certain to slow buyers down and could upset the balance we now have again. At over 4,800 total listings there is still an abundant supply with good choices for buyers and with variable rate mortgages still available at below 3% I believe it’s an excellent time to buy for long term home ownership and investment. Greater Victoria Real Estate Market Rebounds in Second Quarter July 2, 2013 VICTORIA BC - For the third consecutive month, the Victoria Real Estate Board reports sales through the MLS® System remained strong with 65% more activity in the current quarter than in the first quarter of 2013. "With 664 sales this month, and 1,938 sales this quarter, the market is definitely rebounding," says President Shelley Mann. "We are now headed into the quieter summer months, so I'm interested to see where this leads." There were 382 single family homes sold in June at a median price of $525,250, up 1% over June 2012 at $520,000. Condominium sales were 164 at a median price of $265,000 and 79 townhomes sold at a median price of $365,000. There were 4,833 active listings on the MLS® System at the end of June, bringing the active-listings-to-sales ratio to 17%, well within the balanced market range. "While sales are up, prices remain flat," Mann says. "It is more important than ever to focus on the median prices. With six family home sales between $2 million and $7 million in June, the average price was pulled higher. The median price - the middle price - remained stable." Mann also advises buyers to consider long-term mortgages as she is hearing that long-term rates are starting to increase and lenders are providing fewer discounts on posted interest rates. Total Waterfront Single Family Dwellings sold: 18, up two over June 2012 Total Non-waterfront Single Family Dwellings sold: 364, up 10 over June 2012 Single Family Dwellings sold over $1 million: 27 (6 over $2 million) Stats Quick Reference Total Single Family All Areas includes Shawnigan Lake/Malahat, Gulf Islands and Up Island