The Victoria Real Estate Board has released its latest report on the state of the real estate market in the region. According to the report, there were 590 properties sold in March 2023, a decrease of 29.2 percent from the same period in 2022 when 833 properties were sold. However, there was a 28.3 percent increase in sales from February 2023. The sales of single-family homes decreased by 31.8 percent, with 281 homes sold, and sales of condominiums were down by 29.4 percent, with 197 units sold.
Despite the decrease in sales, Victoria Real Estate Board Chair Graden Sol is optimistic about the market. “We’ve seen our sales numbers this month almost double from January,” said Sol. “As we move further into spring, we expect that the return to confidence we’ve seen in the market will continue. What we can’t predict is what the overall impact on pricing will be if we continue to see quite low inventory across our community.”
At the end of March 2023, there were 1,970 active listings for sale on the Victoria Real Estate Board Multiple Listing Service, an increase of 8.9 percent compared to the previous month of February and an 85.3 percent increase from the 1,063 active listings for sale at the end of March 2022. This indicates that demand is recovering, with prices firming up and interest rates becoming normalized.
Despite this recovery, Sol acknowledges that there is still a need for more supply to help moderate pricing. “We have been talking about the need for supply to help moderate pricing for a long time,” said Sol. “Premier Eby’s announcement this week about the provincial government’s Homes for People action plan reflects an increasing awareness of the importance of supply. We need all levels of government to continue to focus on solving our market housing crunch, so we do not return to the high-pressure markets of the recent past.”
The Multiple Listing Service Home Price Index benchmark value for a single-family home in the Victoria Core in March 2022 was $1,387,200. The benchmark value for the same home in March 2023 decreased by 10.9 percent to $1,236,200, down from February’s value of $1,247,200. The MLS HPI benchmark value for a condominium in the Victoria Core area in March 2022 was $616,400, while the benchmark value for the same condominium in March 2023 decreased by 9.1 percent to $560,300, down from the February value of $568,200.
The report suggests that while the market may still be in a state of recovery, there are positive signs for the future, particularly as the spring market continues to strengthen. By working with a trusted REALTOR®, buyers and sellers can better understand the market they are in and make informed decisions about their real estate needs.