Greater Victoria’s housing market red-hot in March
Prices are rising, homes are selling fast and house hunters are getting used to losing out in bidding wars
VICTORIA — Greater Victoria’s real estate sales numbers set a record in March as the hot market marched into spring without any signs of slowing down.
“I think the strong uptick in the market has surprised many of us,” Mike Nugent, Victoria Real Estate Board president, said Friday.
“The business cycles of real estate are affected by economic drivers and it’s clear that this cycle has all possible drivers running at top speed.”
Prices are rising, homes are selling faster, and the inventory of available properties remains 30 per cent lower than a year ago. Certain areas, such as Gordon Head, Oak Bay and Fairfield are in particularly high demand.
House hunters are getting used to being beaten out in bidding wars, a common practice these days.
Vancouver’s super-charged real estate market has spread to the capital region, where local buyers are vying with Lower Mainland and offshore purchasers.
Nugent also points to low mortgage rates, pent-up demand from slower years between 200813, and a buoyant economy.
A total of 1,121 properties changed hands last month. The previous record was set in 1991 with 959 properties sold, the real estate board said.
Last month’s sales numbers for all types of properties are up by 45 per cent from February at 772.
March sales numbers beat March 2015 numbers by 52.7 per cent, when 734 properties were sold.
The benchmark price for a house in the core rose to $663,000 in March. Again, up from last month and higher than a year ago at $569,700.
Real estate agent Leslee Farrell, of Macdonald Realty, sold a waterfront Oak Bay house for the highest amount recorded so far this year.
An offer of $ 6.2 million, due to close in July, has been accepted for the 1913 Salty Towers, a 9,777-square-foot English Tudor-style manor on 2.25 acres of Beach Drive featuring mountain views across the water.
Salty Towers’ features include nine bedrooms, 10 bathrooms, a 450-gallon salt water aquarium, a snooker room, three hot water tanks, temperature-controlled wine cellars, wood panelling and more.
Real estate watchers had thought that the Greater Victoria’s hot market would attract more sellers. It did, but not by much.
There are now, 2,618 listings, an increase from 2,562 in February. The number was higher in March 2015, at 3,769.
Saanich East saw 134 sales of single-family homes last month. That’s the highest number of sales in any neighbourhood for any category of home.
Victoria followed with 100 condominium sales.
With 29 sales of single family homes, totalling $34.6 million in sales value, Oak Bay hung on to its reputation for higher prices.
Nugent said that prices and inventory vary in different neighbourhoods.
“Areas near the downtown core continue to see high demand for houses and condos, as do most areas in the Peninsula,” he said.
Prices in the West Shore are typically lower because there is more inventory.
The business cycles of real estate are affected by economic drivers and it’ s clear that this cycle has all possible drivers running at top speed.
MIKE NUGENT VICTORIA REAL ESTATE BOARD PRESIDENT