|Demand is easily represented by the sales figures so far this year. In 2020 we had 8,679 total sales on the Victoria Real Estate Board. So far in 2021 we have 7,574 sales and are on pace to exceed 10,000 sales for 2021. The last time we reached 10,000 sales was in 2016 with 10,981 sales. The market slowed in ’17 and ’18 with the introduction of stricter lending requirements and taxation on foreign buyers. Whether a newly formed government imposes similar restrictions to cool the market remains to be seen (comments on that later on).
Here are a few more insights from the years stats so far:
Recall that there were 234 sales above $2,000,000 on the Victoria Real Estate Board in 2020. So far in 2021 we have had 290 sales above $2,000,000. Prior to 2020 the high was 146 in 2017.
In August we reached the highest median sale price of a detached home ever recorded on our real estate board at $1,100,000. The average sale price in detached also reached an all time high at $1,238,900.
The average sale price of a condominium on the Victoria Real Estate board for 2020 was $484,317. So far in 2021 the average sale price of a condo is $539,321 with the highest average for a given month also in August at $549,787.
Last year 85 condominiums sold above $1,000,000. In 2021 there have been 95 sales above $1,000,000 so far.
The average sale price of a single family detached home in the core neighbourhoods (Victoria, Saanich, Oak Bay, Esquimalt, View Royal) is $1,321,400 in 2021. Last year it was $1,164,754
The record setting year that it has been thus far isn’t surprising to some of us. The pressure on prices is being supported by astonishingly low inventory, strong demand, and a continued shift of Canadians to Victoria. Another dominant theme over the last year has been Canadians shifting to working or spending more time at home and requiring more space. Low rates alone haven’t inspired all these transactions. So what’s next? On top of mind for many at the moment is the upcoming election and the impact that may have on the trajectory of the market.