No change on the horizon for the Victoria real estate market
December 1, 2021
Strong demand for housing in our community continue to exceed the all-time low numbers of listings of homes available. This demand creates competition and pressure on pricing, and we continue to see home values notch up. As of December 1st, there were fewer than 600 residential properties for sale in our market.
- A total of 653 properties sold in the Victoria Real Estate Board region this November, 17.9 per cent fewer than the 795 properties sold in November 2020 and 12.3 per cent fewer than the previous month of October. 236 condominiums sold, 5.2 per cent fewer than in the previous month of October. 276 single family homes sold, 18.6 per cent fewer than in the previous month of October.
- There were 887 active listings for sale on the Victoria Real Estate Board Multiple Listing Service® at the end of November 2021. 51.1 per cent fewer properties than the 1,813 available at the end of November 2020 and 14.4 per cent fewer properties than the 1,036 active listings for sale at the end of October 2021.
Strong measures around supply will see a lift in the pressures on our housing market. Government continues to try to intervene by using demand side measures, such as the province announcing their plan to introduce a cooling off period for resale homes. This concept was delivered without industry consultation or supporting data. Introducing measures that add uncertainty to the marketplace fails to address the issues of supply and attainability in our community – and threatens to make the supply situation worse. A cooling off period will not increase consumer protection – in fact many of the unintended consequences of such a policy could decrease protection for both buyers and sellers. The housing market is complex, and policy must be evidence-based and designed for all types of markets – not to react to a moment in time. The government needs to sharpen their focus on the issue that has been documented for years – that a consistent delay in the delivery of homes to meet the needs of our growing population has created housing gridlock.
Sources: VREB / RE/MAX Camosun