Real Estate Archives - Victoria Real Estate | Capital City Group

Real Estate Market Update – April 2024

ccg — Tue, 23 Apr 2024 17:50:51 +0000

A total of 588 properties sold in the Victoria Real Estate Board region this March, 0.3 per cent fewer than the 590 properties sold in March 2023 but a 25.1 per cent increase from February 2024. Sales of condominiums were down 10.2 per cent from March 2023 with 177 units sold. Sales of single family homes increased 1.8 per cent from March 2023 with 286 sold.

The average price for a single family home in Greater Victoria was $1,304,353 for a single family home, $628,092 for a condominium, and $822,049 for a townhome last month (March 2024).

There were 2,647 active listings for sale on the Victoria Real Estate Board Multiple Listing Service® at the end of March 2024, an increase of 12 per cent compared to the previous month of February and a 34.4 per cent increase from the 1,970 active listings for sale at the end of March 2023. The sales to listings ratio for March was 22.2% and therefore into sellers side of the market.

The Bank of Canada held it’s target interest rate at 5% and the bank expects the global economy to continue growing at a rate of about 3%. There were some changes relating to mortgages that affect first time buyers recently announced. Changes to capital gains are also on the horizon. If you would like to learn more get in touch.

We have a lot of clients asking us if now it the right time to sell. The short answer is, for some it is and others it is not. We can offer you a market analysis on your home and provide you all the information you need to determine what is best for you.

Sign up for our newsletter:

No properties found

The post Real Estate Market Update – April 2024 appeared first on Victoria Real Estate | Capital City Group.

Real Estate Market Update – Sept 2023

ccg — Tue, 19 Sep 2023 20:43:58 +0000

Victoria real estate market needs better mix of housing supply to help restore balance

A total of 544 properties sold in the Victoria Real Estate Board region this August, 13.8 per cent more than the 478 properties sold in August 2022 and an 8.6 per cent decrease from July 2023. Sales of condominiums were up 10.8 per cent from August 2022 with 164 units sold. Sales of single family homes increased 9.6 per cent from August 2022 with 273 sold.

The average price for a single family home in Greater Victoria was $1,363,565; condo was $619,128; and townhome was $827,812 in August this year.

“Real estate activity this month reflected what we’d expect to see in an average late summer housing market,” said Victoria Real Estate Board Chair Graden Sol. “The beginning of the month was reasonably slow, and sales ramped up through the last half of the month. The brisk sales pace leading up to the end of August may very well continue into September.”

There were 2,490 active listings for sale on the Victoria Real Estate Board Multiple Listing Service® at the end of August 2023, an increase of 2.9 per cent compared to the previous month of July and a 16.5 per cent increase from the 2,137 active listings for sale at the end of August 2022.

The Sales-to-Active Ratio last month was 21.8% showing a more balanced market however inventory levels remain very low.

On Sept 6th the Bank of Canada held its target for the overnight rate at 5% – a welcomed relief for many!

Sign up for our newsletter to stay up to date!

No properties found

The post Real Estate Market Update – Sept 2023 appeared first on Victoria Real Estate | Capital City Group.

Real Estate Market Update June 2023

ccg — Sat, 24 Jun 2023 23:48:24 +0000

Summer is here!

“The month of May marks the highest number of sales we’ve seen since April of last year,” said Victoria Real Estate Board Chair Graden Sol. “While we haven’t seen the number of total sales we would expect in a spring market, the month of May marks the fourth consecutive month with sales higher than the month previous. With momentum building, there’s an indication of consumer optimism in the market heading into June.

However, if the ongoing lack of homes for sale persists and inventory is not added, we risk a return to an overheated market with pressure on pricing.” There were 2,189 active listings for sale on the Victoria Real Estate Board Multiple Listing Service® at the end of May 2023, an increase of 7.1 per cent compared to the previous month of April and a 23.3% increase from the 1,776 active listings for sale at the end of May 2022.

The average home price for a single family home in Greater Victoria in May was $1,304,225, town home was $853,470 and condominium was $674,732.

The Sales-to-Active Listings ratio is sitting at 35% and further into the sellers market then we have seen in the past few months.

“The return of consumer confidence we indicated last month appears to be staying strong,” adds Sol. “The slight uptick in inventory means there is more selection, though of course on well-priced properties buyers need to come prepared to move at pace with the help of their REALTOR® to ensure they are well positioned in the current market.”

June saw another interest rate increase of 25 basis points from the Bank of Canada as Canada’s economy is proving to be stronger than expected.

If you are considering a move give us a call so we can discuss your specific situation and help you determine the best plan for you.

Sign up for our newsletter and stay up to date

Featured Listings

No properties found

The post Real Estate Market Update June 2023 appeared first on Victoria Real Estate | Capital City Group.

Real Estate Market Update for Victoria – April 2023

ccg — Sun, 23 Apr 2023 00:16:28 +0000

Good news makes for a buoyant market. It looks like the turbulent and uncertain waters of inflation on our real estate market are behind us and it’s back to confidence. The news has been positive on many fronts since my last newsletter. The Bank of Canada held rates for the second time in a row and has even started talking about rates coming back down, although not likely this year according to them. Inflation has dropped to just over 4%. which is well down from its peak and on the way back to 2%. The interest rate hikes certainly hurt some of us but they seem to be having the intended effect. The threat of recession has yet to materialize with the economy actually seeing modest growth in recent reports, and locally, Victoria has approved the missing middle bylaw but we’ll chat a little more about that in a minute.

All in all, good news all around. But what does that mean for our local market? Well there were 590 sales last month with 1970 active listings at month’s end. If you’ve been following this newsletter for sometime you know what that means. The Sales-to-Active Listings ratio is sitting at about 30%. Although a much lower percentage than before the slow down, that is still well above the 20% threshold that takes us from a balanced market into a seller’s market and a seller’s market means upward pressure on pricing. With no real prospects for increasing density quickly and a backlog of demand, we expect this will be reflected in price increases over the next few years, although moderate compared to the last few years.

So where is the new supply going to come from? Well I’m glad you asked…

Victoria, ahead of the curve, has passed into bylaw their missing middle initiative which will allow for greater density on some single family lots. This means houseplexes, duplexes with suites and townhouses where once there was only single family dwellings. There will of course be some pain. Many people won’t want to see the density in their neighbourhood. I understand. I wouldn’t want to see a condo development crammed in beside me however I would also like my kids to be able to afford a home in Victoria at some point. And within this, of course, is an opportunity. I have some investors I am partnering up with to build missing middle housing, and am looking for more who want to be part of the solution AND make money at the same time. So if you have a house in Victoria or Vic West (for now, the other municipalities will be following shortly or the province will just make it happen) and you’re thinking of selling, but perhaps are concerned about being able to buy. Give me a call. I can give you all the time you need to find the perfect place with no risk, and a guaranteed sale at a fair price (market value) when you do, for whatever dates you need.

If on the other hand you are looking for what I consider to be a safe investment with good return and want to be part of the housing solution give me a call. Let’s grab a coffee.

Stay up to date! Sign up for our Newsletter!

Featured Listings

$425,000

83 Saghalie 105 Victoria, British Columbia

1 Beds 1 Baths 482 SqFt

$52,500,000

1069/1101 Beach Dr Oak Bay, British Columbia

5.13 Acres

$27,999,000

3175 Beach Dr Oak Bay, British Columbia

12 Beds 10 Baths 16,543 SqFt 3.23 Acres

$7,500,000

3375 Ripon Rd Oak Bay, British Columbia

5 Beds 6 Baths 8,115 SqFt 0.67 Acres

Our Communities:

The post Real Estate Market Update for Victoria – April 2023 appeared first on Victoria Real Estate | Capital City Group.

Victoria Real Estate Market Update – March 2023

ccg — Sat, 25 Mar 2023 16:31:25 +0000

Here comes the spring market!!!

As expected, the Federal Government’s indication of interest rate stability by choosing not to raise interest rates in March, and recent announcement showing inflation continues to fall has breathed confidence back into the market in Victoria, a real estate market plagued with low inventory and soaring demand. The Sales-to-Active Listings ratio in February was 25.4%, well back into Sellers Market territory. These levels will drive prices up, albeit at a slower level than we have seen in the past few years. So if you’re thinking of getting in I’d suggest sooner than later. There were 460 sales last month with 1809 active listings at month’s end.

The average price for a Single Family Home was $1,272,933 Condo $579,025 and Townhouse $788,113.

A quick look at posted rates tells an interesting story from the one big bank I checked. The current posted fixed rate for a high ratio (less than 20% down) mortgage is just over a full percent lower than the current variable rate mortgage.

Now if there’s one thing I’ve learned from my dealings with the banks it’s they always make money. So to me this is very telling. The variable rate is usually lower than the fixed rate, so an inversion like this makes me think this bank is anticipating interest rates to drop as they’re trying to encourage borrowers to lock in for the long term with what appears to be a better deal in the short term. Now I’m not here to give you mortgage advice, and each individual’s decision should be based on personal situations, risk tolerance, and a conversation with a financial advisor, but I’ll be staying variable and if I had to hazard a guess I’d say given the current economic trajectory we are likely to see rates starting to ease towards the end of the year. What a great Christmas present that would be!!!

If you’re a home owner in Victoria and wondering how to improve your affordability, you may want to have a look at the recently adopted Missing Middle Initiative adopted by council. There may be an opportunity in there…

If you want to discuss options let me know and we can help.

Stay up to date! Sign up for our Newsletter!

No properties found

The post Victoria Real Estate Market Update – March 2023 appeared first on Victoria Real Estate | Capital City Group.

Victoria Real Estate Market Update – February 2023

ccg — Thu, 02 Feb 2023 22:59:26 +0000

A frigid January in the real estate market

Consumer confidence remained cool in the real estate market in the first half of January this year with sales quite cold but warming up towards the end of the month. The slowing of interest rate hikes with a modest 1/4 point rise this month coupled with indications there may not be more hikes for the next little while, and slowing inflation has given confidence to buyers and triggered the late month surge. Overall sales however were some of the lowest on record, with just 278 properties selling during January 2023. A Sales-To-Active Listings ratio of just 15%, nearing buyer’s territory but still on the low side of a balanced market. There were 1739 active listings for sale at month’s end.

The balanced market vs a buyer’s market is only being maintained by the continuing low inventory levels.

The average price for a Single Family Home was $1,233,152, Condo $606,681, and Townhouse $662,338.

Stay up to date and sign up for our newsletter!

No properties found

Real Estate Market Update – April 2024
A total of 588 properties sold in the Victoria Real Estate Board region this March, 0.3 per cent fewer than the 590 … » Learn More about Real Estate Market Update – April 2024
Real Estate Market Update – Sept 2023
Victoria real estate market needs better mix of housing supply to help restore balance A total of 544 properties sold in the … » Learn More about Real Estate Market Update – Sept 2023
Real Estate Market Update June 2023
Summer is here! “The month of May marks the highest number of sales we’ve seen since April of last year,” said Victoria … » Learn More about Real Estate Market Update June 2023

The post Victoria Real Estate Market Update – February 2023 appeared first on Victoria Real Estate | Capital City Group.

Victoria Real Estate Market Update – September

ccg — Wed, 28 Sep 2022 18:43:27 +0000

First an apology;

As you probably noticed we missed last month’s newsletter after years of a perfect record. In early August Josh, Andrea and family travelled to Toronto where Josh’s oldest friend was getting married and had asked him to be his best man. Two weeks in Toronto with the kids, and they came back with COVID-19, which wiped out the rest of August. Then kids back to school, and well, here we are, a day late and a dollar short…

We Continue to See a Seller’s Real Estate Market

But you aren’t here to hear our tale. This is about the Victoria Real Estate Market. Interest rate hikes and uncertainty continue to drive sentiment in the Victoria real estate market however ongoing low inventory levels continue to keep us out of a buyer’s market, and indeed, even out of a balanced market. The Sales-To-Active Listings ratio in August was 22%. Just north of the 20% threshold for a balanced market. Having said that the benchmark price for a home in the core area was down 2.9% to $1,391,700 from July’s value of $1,433,400. Buyer’s are coming back into the market now realizing they can get offers with conditions, a reasonable due diligence period and finally make a purchase. To many, including ourselves, this is a relief and a movement back to a better market.

We are also hearing buyers wanting to use the rates they have locked in for fear rates will continue to increase. All in all, a good time to be buying and yet still a reasonable time to be selling… a balanced market and a breath of fresh air.

Stay up to date and sign up for our newsletter!

$565,000

1270 Beach Dr 305 Oak Bay, British Columbia

2 Beds 1 Baths 1,020 SqFt 0.45 Acres

$2,160,000

1175 Beach Dr 405 Oak Bay, British Columbia

2 Beds 2 Baths 1,527 SqFt 0.03 Acres

$895,000

2605 Windsor Rd 304 Oak Bay, British Columbia

2 Beds 2 Baths 1,377 SqFt 0.03 Acres

$449,000

2095 Oak Bay Ave 303 Oak Bay, British Columbia

1 Beds 1 Baths 766 SqFt

Real Estate Market Update – April 2024
A total of 588 properties sold in the Victoria Real Estate Board region this March, 0.3 per cent fewer than the 590 properties sold in March 2023 … » Learn More about Real Estate Market Update – April 2024
Real Estate Market Update – Sept 2023
Victoria real estate market needs better mix of housing supply to help restore balance A total of 544 properties sold in the Victoria Real Estate Board region … » Learn More about Real Estate Market Update – Sept 2023
Real Estate Market Update June 2023
Summer is here! “The month of May marks the highest number of sales we’ve seen since April of last year,” said Victoria Real Estate Board Chair Graden … » Learn More about Real Estate Market Update June 2023

The post Victoria Real Estate Market Update – September appeared first on Victoria Real Estate | Capital City Group.

Real Estate Victoria | Market Update – July 2022

ccg — Mon, 18 Jul 2022 21:05:11 +0000

Not surprisingly the slowdown in the real estate market in Victoria continued with the Sales-to-Active Listings ratio down to 29.7% at the end of last month. This represents another 10% drop in sales over inventory month over month and the move back towards a balanced market. As this is a bit of a trailing indicator and the Bank of Canada just announced a 1% interest rate increase I think we’re going to go shooting past a balanced market to find ourselves in a buyer’s market by the end of summer.

Average Home Prices in June

The average price for a single family home in June was $1,319,403 (10.8% increase from this month last year), a condo was $603,498 (up 19.4%), and townhome was $930,226 (up 28.6%).

Sale prices remain strong with values leveling off but not pulling back as would be expected in a balanced or mild sellers market. However in a buyer’s market opportunities tend to pop up and that’s when we start to see deals. This 1% interest rate hike is going to make it much tougher for many people to get into the market and I would expect will help the feds meet their goal of slowing down the economy enough to reduce inflation. I’ve personally seen prices down between 5 and 10% at the pump for gas which is one of the big inflationary pressures we’ve been dealing with, and although that’s still quite high it’s a trend in the right direction. This cooling off should provide some relief for home buyers who are in a position to buy but increased interest rates may not provide much relief for the first time home buyers and new buyers trying to get mortgages.

Real Estate Projections for Remainder of the Summer

I’ve seen an awful lot of headlines ranging from the sky is falling and we’re going to see 50% a pullback in value to the Feds will be dropping interest rates again by next spring as inflation turns and the economy keeps bubbling along. Historically speaking our market corrections have been in the 5 to 10% range. This happened numerous times since the mid eighties in Victoria as our market crests and then pulls back and levels off. In the earlier eighties when interest rates approached 20% the market value pulled back 25%, but the timeline from the peak of the market through the dip and back up to where values had reclaimed their lost ground was only 3 years. And from there prices took off again.

If you’ve been thinking about buying a home it’s a good time to keep an eye on the market, see what happens and find your opportunity. Real estate is a mid to long-term opportunity so even a small correction can quickly be reclaimed just in principal pay down by the time the market corrects. If you’re looking to sell and buy then the market fluctuations and corrections don’t make a huge difference because your moves are generally lateral and so the property you’re selling if the price comes down or goes up it’s likely to do the same for the property you want to buy.

If you have any questions or want to know what your opportunities look like within this market feel free to reach out and we’d be happy to help.

If you liked this article, Sign Up for Our Newsletter!

No properties found

Real Estate Market Update – April 2024
A total of 588 properties sold in the Victoria Real Estate Board region this March, 0.3 per cent fewer than the 590 properties sold in … » Learn More about Real Estate Market Update – April 2024
Real Estate Market Update – Sept 2023
Victoria real estate market needs better mix of housing supply to help restore balance A total of 544 properties sold in the Victoria Real Estate … » Learn More about Real Estate Market Update – Sept 2023
Real Estate Market Update June 2023
Summer is here! “The month of May marks the highest number of sales we’ve seen since April of last year,” said Victoria Real Estate Board … » Learn More about Real Estate Market Update June 2023

More About Our Communities

The post Real Estate Victoria | Market Update – July 2022 appeared first on Victoria Real Estate | Capital City Group.

Victoria Real Estate Market Update – June 2022

ccg — Tue, 21 Jun 2022 04:51:38 +0000

The shift towards a balanced market continues.

In May we saw the effect of the Fed’s (Bank of Canada) interest rate hikes and the uncertainty in the economy as a whole. Although the economy continues to show great strength here combined with low unemployment, inflation and the fears associated with it are putting a long over do cooling on our market. The Sales-to-Active Listings ratio last month was just under 43%, with 761 sales and 1776 active listings at month’s end. This is still strongly in seller’s market territory but well down from the 70%+ highs we experienced over the last couple years. The ratio has been dropping 10-20% per month the last couple months and if this trend continues, which it likely will, we should be back into a balanced market mid summer.

The average price for a single family home in May just under $1.4M; townhome was $850,224 and condominium was $655,518.

Buyer’s are getting some relief, with subject conditions becoming much more common and heated bidding wars the exception vs. the rule. It’s hard to predict what will come. If the Canadian Government keeps increasing interest rates in their battle against inflation, affordability is going to become more challenging, which will likely drive prices down. Historically after each peak there has been a 5-10% market correction and history tends to repeat itself. Having said that last time we had double digit inflation in the early eighties and interest rates approached 20% the market correction was around 25%. It’s worth noting though, that although people were walking away from their homes then, from the top of the market to value equalization after the dip was only about 3 years. Real estate has always gone up here on the island over the mid to long term and there’s no reason to think that trend won’t continue. Just remember, the top of this cycle is close to the bottom of the next.

Sign Up For Our Monthly Newsletter

No properties found

Real Estate Market Update – April 2024
A total of 588 properties sold in the Victoria Real Estate Board region this March, … » Learn More about Real Estate Market Update – April 2024
Real Estate Market Update – Sept 2023
Victoria real estate market needs better mix of housing supply to help restore balance A … » Learn More about Real Estate Market Update – Sept 2023
Real Estate Market Update June 2023
Summer is here! “The month of May marks the highest number of sales we’ve seen … » Learn More about Real Estate Market Update June 2023

More About Our Communities

The post Victoria Real Estate Market Update – June 2022 appeared first on Victoria Real Estate | Capital City Group.

Victoria Real Estate Market Update – May 2022

ccg — Sun, 15 May 2022 15:08:01 +0000

Is change in the air.

Rising inflation, rising interest rates and rising uncertainty seem is simmering just below the surface of a still hot, but markedly cooling real estate market.

The Sales-to-Active listings ratio dripped last month to 60%. Although a substantial drop as you’ll realize if you’ve been following my newsletter, it’s also still well above the 20% threshold for a seller’s market.

Inventory levels closed April at just over 1364 with 824 total sales. There is still pent up demand in the market but new qualification levels with interest rate hikes are continuing to price some folks out of the market.

The average price for a single family home was $1,432,298 in April 2022; townhome was $946,319; and condo was $666,733.

Have we reached the top? Maybe. The next couple months will be very interesting.

I learned many years ago though that the top of one cycle is the bottom of the next.

I don’t have a crystal ball, if I did I would be buying lottery tickets, but history tends to repeat itself and for the last 40+ years the cycle has seen price increases, a leveling, and a small pullback. We could be seeing the beginnings of the leveling. Time will tell.

Not sure if it’s a good time for you to buy or sell? Unsure how a lower price but higher mortgage rate will effect your monthly carrying costs?

Wondering which market segments historically get hit the hardest during a correction?

Drop us a line. We’re happy to chat.

Sign up for Our Monthly Newsletter

$1,349,000

132 Clarence St Victoria, British Columbia

3 Beds 4 Baths 2,503 SqFt 0.1 Acres

$819,900

1727 Lillian Rd Victoria, British Columbia

2 Beds 1 Baths 794 SqFt 0.06 Acres

$1,999,999

737 Vancouver St Victoria, British Columbia

6 Beds 5 Baths 3,554 SqFt 0.1 Acres

$1,599,000

590 Simcoe St Victoria, British Columbia

3 Beds 4 Baths 2,871 SqFt 0.11 Acres

Real Estate Market Update – April 2024
A total of 588 properties sold in the Victoria Real Estate Board region this March, 0.3 per cent fewer than … » Learn More about Real Estate Market Update – April 2024
Real Estate Market Update – Sept 2023
Victoria real estate market needs better mix of housing supply to help restore balance A total of 544 properties sold … » Learn More about Real Estate Market Update – Sept 2023
Real Estate Market Update June 2023
Summer is here! “The month of May marks the highest number of sales we’ve seen since April of last year,” … » Learn More about Real Estate Market Update June 2023

More About Our Communities

The post Victoria Real Estate Market Update – May 2022 appeared first on Victoria Real Estate | Capital City Group.