THE VICTORIA MARKET
Posted by John Vernon & Associates on
After two dismal months in March and April, the real estate market in Victoria continued a dramatic rebound in the 3rd Qtr of 2020. On the supply side, the number of listings was up from last year. However, even this increase did not meet the strong demand as sales activity reached levels well beyond last year.
The ratio of sales-to-listings (a measure of market strength) was up from last year. As a consequence, the upward pressure on prices increased in the 3rd Qtr of 2020. Properties are spending less time on the market before they sell. Also noteworthy, demand increased for more expensive properties. Sales above the $2.0 million mark in the 3rd Qtr of 2020 were almost triple that of last year. In addition, multiple offer situations have returned to the market. Overall, the Victoria real estate market moved into strong seller’s market territory.
The number of new residential listings through the Victoria Real Estate Board’s (VREB’s) MLS® in the 3rd Qtr of 2020 was 3,892, up +29.8% from 2,999 a year ago. Sales of residential properties (i.e., all types of housing excluding lots/acreage and commercial) totalled 2,811 in the 3rd Qtr of 2020, up +48.8% from 1,889 sales in the 3rd Qtr of 2019. The sales-to-new-listings ratio was .73 in the 3rd Qtr of 2020, up from .63 a year ago. The average sale price (SP) of a residential property in Greater Victoria and other areas was $811,353 in the 3rd Qtr of 2020, up +20.2% from $675,083 in the 3rd Qtr of 2019. The median sale price was $715,000, up +17.2% from $610,000 last year. Properties sold about -3.0% below the original list price. The figure of $811,353 compares to August 2020 average sale prices and year-over-year percentage changes of $1,077,729 (+6.1%) in Vancouver, $951,494 (+13.0%) in Toronto, $820,665 (+10.4%) in the Fraser Valley and $472,728 (-0.6%) in Calgary.