The Neal Estate Team's Real Estate Market Update for Vancouver Island for August 2021

Sales volumes in the Vancouver Island Real Estate market fell in both the single-family home and condo categories, primarily due to the lack of available inventory. 450 single-family homes sold in July 2021, 15% less than the previous month and Condos dropped 7%. Townhomes were the only segment that increased from June with 29% units sold..

With a 51% drop in inventory for the single-family and townhome category, July 2021 was reported at a 21-year low for the number of available listings. Condos fared worse year over year coming in at a 60% decrease.

While inventory constrained the sales numbers Vancouver Island-wide, The Neal Estate Team outperformed the market again and increased the number of closed deals by 21.7% in July compared to last year.

Home prices continue to increase across the island posting huge year-over-year gains in benchmark prices according to the home price index. As we said in a previous market update, the benchmark pricing tool can be slightly delayed compared to what is actually happening in the market. Well, now we are seeing those gains that have resulted from our sustained high demand and tight inventory.

VIREB (Vancouver Island Real Estate Board) wide, single-family homes increased 33% hitting $732,700 (3% from June). Condos rose 4% from June and 24% compared to last year hitting $380,700. Lastly, townhomes rose 3% and 32% (month and year) to hit $564,400.

Looking more closely at a specific area, the Cowichan Valley saw 43% of the sales in July priced between $600,000 and $800,000. To put that in context, last year's benchmark price for a single-family home in that area was only $566,768.

Here is a look regionally (Benchmark price and year over year increase):

It is likely that demand will ease the further we get into the year (although there is no truly accurate crystal ball). That being said, without a pretty significant increase in inventory any real change in the market will be very slow.

Striving to raise the bar for exceptional world-class personal service, the Neal Estate Team welcomed two more licensed Real Estate Professionals and an additional administrator this month. We are also happy to report that our annual Christmas in July at Our Place Society was a great success feeding hundreds of meals to the less fortunate, there were lots of happy faces and full bellies. 

Lastly, Sparton Acres Organic Blueberries are selling now, uPick or picked with 100% proceeds donated to BC Children’s Hospital. Click Here for more information!

If you would like to know how we are beating the market, helping our clients win, and keeping people moving safely, please click Here for a FREE consultation. Find new listings before they get to MLS and ask us about featuring your home on VancouverIslandComingSoon.com, where we generate interest while you're getting ready to come to market. Ask us also about our FREE Staging Consultation for advice on preparing your home in its best light for the market, ensuring you the best results.  

Stay safe,

The Neal Estate Team
Your Victoria & Vancouver Island Real Estate Experts
“Let our experience be your guide
www.RonNeal.com
www.HomesOnVancouverIsland.ca