There were 5% fewer sales in the VREB (Victoria Real Estate Board) area this March compared to the same month last year (for a grand total of 608 sales). While the month started off as a typical spring market, with even higher sales volume compared to last year the inevitable effects of COVID and self-isolation were felt in the latter half of the month bringing the total sales number down. Condo sales specifically were down more with 178 unit sales, 9.2% down from March last year. On the other hand, there were 305 sales of single-family homes, only 5.3% down from March last year.
While many sellers that were already in the process of listing their home scrambled to put together the final materials, many other homeowners decided to wait it out before bringing their property to the market. Many of The Neal Estate Team’s clients opted to market their property with our “Coming Soon” program. As a result of sellers holding off, we saw a 7.5% decrease in the total number of active listings on the MLS in March this year compared to last, bringing the options for buyers down to 2,252 listings. Inventory is up compared to February though (5.9%) with those first few weeks of the typical spring market and a few sellers who needed their listings on the market before self-isolation really settled in.
COVID and Social Distancing have changed the way many Realtors are marketing properties. The Neal Estate Team have been using remote and virtual technology very effectively for years assisting successfully many of our out of town buyers. We are experienced experts, far ahead of the curve offering full Virtual Reality 3D Tours, Laser Floor Plans and Professional Video on all of our listings. Our very mature and well developed Coming Soon Program gives Sellers a great head start, attracting hundreds of online viewings, inquiries and interest before opening the doors to showings. We are also offering LIVE Interactive Virtual Open Homes in safe and qualifying instances. We are equipped to market and show our listings remotely and virtually and handle all other aspects of the real estate process. Whether buying or selling, now or in the future, we invite you to join us for a Free Virtual Consultation today.
HPI (or Home Price Index) benchmark prices increased across the board this month. Single-family homes were up 5% from March 2019 and 1.1% from February 2020 reaching a benchmark price of $877,700 in Victoria Core. Condos in the same area increased 4.8% from March last year and 0.9% from February 2020 bring the benchmark price to $531,900.
While no one has a crystal ball, it is my personal bet that as we come out of "The Pause of 2020", the Spring Market will have simply been postponed to the summer. With the stay at home and physical distancing expectations in place, it's logical that there will be fewer new listings and most buyers will stick to the sidelines. Buyer demand should be further fueled by investors moving into real estate with some of the trillions they took out of the stock market. I won't speak to the rest of the world, but people need somewhere to live. That isn't changing. People also go where the jobs are and where the lifestyle is better. That hasn't changed, that's still here! The tech sector is the leading part of our economy. It's mostly export based and with our dollar down, our local exporting businesses should thrive. Tourism is the second biggest part of our economy and again will greatly benefit due to our depressed dollar which plunged thanks to the global oil war. The third biggest sector of our economy is government with provincial and military making up most of that. The supply available is likely to rapidly be exceeded by demand as we come out of this resulting in a "Seller Market". Bottom line, our economy will come out of this "pause" very strong, in my opinion.
If you are considering Buying or Selling, please Contact us Here and ask about featuring your home on www.VictoriaComingSoonListings.com to help hit the ground running when we get to the other side of this.
Thank you for your trust in us as we navigate these challenging circumstances together.
The Neal Estate Team
Your Victoria & Vancouver Island 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.