The imbalance of supply and demand has shifted some in favour of buyers, but continues to be undersupplied in lower priced housing. The result being that more affordable housing is continuing to experience rising prices.
There were 755 properties sold on Victoria Real Estate Board this May, down 25% from the 1,006 sold in May last year and also 2.5% fewer than April 2018. Of those sold 237 were condos and 406 were single family homes.
At the same time, the number of listings has increased substantially to 2,394 at the end of May 2018, up 19.6% from 2,002 the previous month and up 26.3% from 1,896 last year at this time.
The shift in the balance of supply vs demand we’re seeing is not surprising given the many impactful changes including to mortgage qualifying rules and many new taxes. The supply of affordable homes has actually decreased while the higher end has shifted to a buyer’s market with abundant supply. The stated objective of the government to “increase availability of affordable housing” has not been achieved.
The Home Price Index Benchmark for single family homes in Victoria’s core for May 2018 was up 7% to $878,100 from $820,800 in May of 2017 and higher than April’s $866,700. The HPI Benchmark for Condos in the Victoria Core increased by 15.7% to $493,900 in May 2018 from $426,900 in May 2017, but down slightly from this April’s $495,100.
If you are wondering about taking advantage of this market or you happen to know someone who is, give us a call. For up to date and relevant information for you please call or text us at 250.386.8181 to arrange your free consultation, without obligation of course. We can help you to navigate this year’s spring market, ensuring any purchase and/or sale goes smoothly.
The Neal Estate Team
Victoria’s Real Estate Experts
“Go with those who know!”
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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.