The Neal Estate Team's Real Estate Market Update for Vancouver Island for February 2020

There were 174 single-family home sales in Nanaimo, BC in the first month of 2020, 16% down from the beginning of last year (and 25% down from December 2019). Condo sales volume was 3% lower in January 2020 than it was in January 2019.

With lower sales came higher inventory with 992 single family homes available compared to 981 January last year, also up 6% from the last month of 2019. Inversely matching the decrease in sales, available condos on the market increased 3% compared to January last year to 309 available and active listings.

Competition in the low and mid-ranges of the market continue to increase despite the government’s attempts at reducing demand. Many of the government initiatives to aid mid-range buyers and combat the demand side of the Real Estate market have come up short. The federal First Time Home Buyers Incentive which was introduced to counteract the limiting nature of the earlier introduced mortgage “Stress Test” was only used by 4 people in Victoria (3,000 Canada wide). With a three-year target of lending $1.25 billion and only $55 million lent to date the incentive still has a long way to go for giving first-time buyers more options.

Good news in the commercial market that might affect the supply side of the problem is that there is a 421-acre proposal to develop currently undeveloped land near Duke Point. If the bid to rezone is approved it will become one of the largest industrial sites on Vancouver Island

The VIREB wide benchmark price January 2020 for a single-family dwelling was 4% up from last year at $515,400 and slightly down from December 2019. Board-wide sales volumes for condos were up 5% getting to $309,300 from January 2019.

January 2020 Regional Summary of Benchmark Prices of Single Family Homes Compared to Jan 2019:

Correctly presented properties are continuing to sell. There are abundant opportunities depending on your area, property type, and price range, especially for moving-up buyers. Please contact us for a free consultation with a Neal Estate Team Area Specialist.

P.S. Ask us about our new home seller programs for INSTANT OFFER or Your Home Sold in 30 Days...Or We Sell it *FREE! Click HERE for Free Market Value Estimate!

The Neal Estate Team
Your Victoria & Vancouver Island Real Estate Experts
“Go with those who know!”
www.RonNeal.com
www.HomesOnVancouverIsland.ca