Thursday, December 01, 2016

High Demand Continues as Inventory Shrinks in the Victoria Housing Market


A total of 599 properties sold in the Victoria Real Estate Board region this November, 4.5 per cent more than the 573 properties sold in November last year.

Inventory levels remain lower than last year, with 1,815 active listings for sale on the Victoria Real Estate Board Multiple Listing Service® at the end of November 2016, 38.5 per cent fewer than the 2,952 active listings at the end of November 2015.

"Our current housing market is in a strong cycle due to many factors, including our current positive economic conditions, baby boomers retiring here, millennial buying cycles, a low Canadian dollar keeping folks closer to home and our favourable living conditions," notes Mike Nugent, 2016 President of the Board. "These factors and others, in combination with ongoing low inventory mean demand for housing is up, particularly in those areas close to the core and amenities."

The Multiple Listing Service® Home Price Index benchmark value for a single family home in the Victoria Core in November 2015 was $608,600. The benchmark value for the same home in November 2016 has increased by 23.9 per cent to $753,800.

"Foreign buyers are another factor that affects our local housing market. The provincial government is considering implementation of a local tax on foreign buyers to ensure pressure on pricing from that source remains mitigated," adds President Nugent. "While October data shows an increase in foreign buyers into the Capital Regional District compared to previous months, their 6.3 per cent of property transfers indicate that these buyers are one factor in the marketplace. A much larger factor affecting affordability and availability right now is the lack of inventory. An effective method to address housing affordability issues could be through efforts to increase the supply of housing, either through adjustments to zoning or density."

Saturday, November 05, 2016

New Victoria Listing

New Listing
3117 Alder St  $699,900
 Living Room
 Dining Room
Kitchen 
 Master Bedroom
 Main Bath
Back Yard 
Front in Bloom 
Well cared for 80's home with recent updates including Laminate floors and new vinyl in kitchen and bathroom, recently painted and 30 year roof 5 years ago. Wood stove with brick surround keeps the main floor toasty. There is a main floor suite with separate entry that is rented at $1,200/month. Garage is oversized single with 220 plug in. Great home in a fantastic location. To view, call Lorne Tuplin 250-217-4600

New Victoria Listing

New Listing
3117 Alder St  $739,900
 Living Room
 Dining Room
Kitchen 
 Master Bedroom
 Main Bath
Back Yard 
Front in Bloom 
Well cared for 80's home with recent updates including Laminate floors and new vinyl in kitchen and bathroom, recently painted and 30 year roof 5 years ago. Wood stove with brick surround keeps the main floor toasty. There is a main floor suite with separate entry that is rented at $1,200/month. Garage is oversized single with 220 plug in. Great home in a fantastic location. To view, call Lorne Tuplin 250-217-4600

Wednesday, November 02, 2016

Competitive Housing Market in Victoria Continues as Inventory Remains Low

A total of 735 properties sold in the Victoria Real Estate Board region this October, a single property more than the 734 properties sold in October last year.

Inventory levels remain lower than last year, with 1,938 active listings for sale on the Victoria Real Estate Board Multiple Listing Service® at the end of October 2016, 38.9 per cent fewer than the 3,170 active listings at the end of October 2015.

"We continue to see low inventory hindering sales in the local market," notes Mike Nugent, 2016 President of the Board. "Though our numbers are down from the record setting pace set this summer, the market is still moving quickly and is still very competitive for certain properties. High demand areas like Saanich and Oak Bay continue to see multiple offers and areas in the West Shore are also seeing sales over listed prices. In other areas, prices remain firm because of high demand and extremely limited inventory."

The Multiple Listing Service® Home Price Index benchmark value for a single family home in the Victoria Core in October 2015 was $608,200. The benchmark value for the same home in October 2016 has increased by 24.1 per cent to $755,000.

"The federal government's change to mortgage lending rules has also impacted buyers," adds President Nugent. "Buyers that require mortgage insurance are able to qualify for significantly smaller mortgages than before the rule change and this is further limiting their options in a very restricted market. Some buyers have postponed their search in order to save up more of a down payment so they can work within these new limitations."

The graphic below shows market price activity in 3 areas over the past year
If you are considering buying or selling anywhere on the South Island, 
call Lorne Tuplin today 250-217-4600!

Tuesday, November 01, 2016

Feel free to share this with anyone you know who might be interested or call me at (250) 217-4600.