Slower domestic Greater Victoria market means calmer buying and selling scenarios

A change in the market could mean more time for potential buyers and sellers.

In July, 510 properties were sold in the Victoria Real Estate Board (VREB) area. This is nearly 40% less than the 835 properties that changed hands in July 2021 and a drop of nearly 17% from June turnover.

Year-over-year, condo sales fell nearly 40% to 172, while single-family home sales fell more than 35% to 254.

“We previously indicated a shift in the local housing market,” VREB President Karen Dinnie-Smyth said in a statement. “This continued (to) be the case in July as sales fell, and we saw fewer listings hitting the market, with more of the existing inventory remaining for sale. This slowdown means a calmer and friendlier environment with time for decision-making, which benefits both sellers and buyers and will be a relief to many.

There were 2,162 active listings at the end of July, up 5% from June and more than 70% more than the 1,270 properties for sale at the end of July 2021.

“Due to rising interest rates and inflation right now, we are seeing fluctuations in price and availability,” Dinnie-Smyth added. “Values ​​will rise and fall over time, and historically local property values ​​rise slowly over time… The government has recently focused on demand-side mechanisms and other market modifiers, such as a period of mandatory three-day reflection starting in 2023. A better long-term approach to housing affordability for our future is to address housing supply constraints, which will be at the heart of the next set of pressures to the rise in house prices.

The benchmark value of a typical single-family home in central Victoria was $1,433,800 in July, down from $1.46 million in June, but up from the value of 1.2 million observed in July 2021.

The benchmark for a downtown condo was $639,600, down from $643,100 in June, but up significantly from last July’s mark of $502,600.

On the Peninsula, the benchmark for a single-family home was $1,332,600 in July, down slightly from $1.34 million in June but up from $1.12 million in July 2021. benchmark for condos fell to $649,800, down from $658,100 in June but up from $576,200 in July 2021.

On the West Shore, the benchmark for single-family homes has not changed much in one year. It was $1,136,400 in July, down slightly from $1.14 million in June, but up from $1.12 in July 2021. The benchmark for condos paints a different picture, with the July value of $555,200 up from $545,900 in June, but significantly higher than the last July value of $453,600.

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