Greater Victoria’s real estate market remained solidly locked in the seller’s favour in May, according to data released Monday by the Victoria Real Estate Board.
There were 905 property sales last month, a 27 per cent increase over the same time last year. Year-to-date, there has been a 25 per cent increase in sales with 3,372 properties sold through the first five months of the year compared with 2,707 between January and the end of May 2014.
“May was another great month for local real estate. It’s been a very active month for sales and listings, and we continue to see consumer confidence in our market as people continue to purchase properties,” said Guy Crozier, president of the VREB.
Crozier noted the Victoria market has not been this hectic in May since 2007, when there were 963 properties sold in that month.
However, he was quick to note that while there is plenty of demand out there, prices have remained competitive. “Across our entire market, home values are up compared to this time last year. In high-demand areas with less inventory available, we may see some pressure on pricing, but we also have areas in our market with great variety that offer more options in terms of property and price,” he said.
The Victoria Real Estate Board defines a “seller’s market” as a month of having a sales-to-active-listings ratio of above 25 per cent. The region’s ratio is currently at about 28 per cent, according to VREB data.
“It’s definitely a seller’s market, and its super active out there,” said Bobby Ross, a real-estate agent with Pemberton Holmes. “There’s been activity at all price levels, though the hottest range is probably in the $500,000 to $800,000 range where there have been a number of multiple-offer situations.”
Ross said there are a variety of influences driving the market, including continued low interest rates, relatively low inventory levels at the start of this year and a strong pool of buyers.
