April 2025
The Victoria real estate market remains surprisingly stable during these economically and politically charged times. Victoria is a resilient city and remains a desirable place to call home for a lot of people moving to the island from across BC, Canada, and around the world. Today, the Bank of Canada decided not to change the overnight rate, so this probably means they are in a wait and see mode with respect to the inflationary and economic effects of the Tariffs and continuing Trade war with the US. There is still some pent-up Buyer demand due to the past higher interest rates, but with the Bank of Canada not dropping the rate today and holding the overnight rate at 2.75%, a lot of these Buyers will remain sidelined until the rates drop further, so not much should change in the market in the coming months. Also, real Estate activity usually stalls during an election season, so market activity should improve after the Federal election in a few weeks, as traditionally, May is one of the busiest months in real estate in Victoria.
Below are some of the statistics for March 2025
Listing Inventory:
There were 3,023 active listings for sale on the Victoria Real Estate Board Multiple Listing Service® at the end of March 2025, an increase of 14.9 % compared to the previous month of February and an 14.% increase from the 2,647 active listings for sale at the end of March 2024. Listing inventory is increasing which bodes well for Buyers. On the flip side, with about only 1 in 5 listings selling per month in Victoria, sellers must price their homes correctly to attract Buyer interest.
Sales:
A total of 613 properties sold in the Victoria Real Estate Board region this March, 4.3 % more than the 588 properties sold in March 2024 and 16.1 % more than in February 2025. Sales of condominiums were up 14.1 % from March 2024 with 202 units sold. Sales of single-family homes increased by 2.1% from March 2024 with 292 sold. While sales are up slightly from 2024, the numbers are still below seasonal highs of a few years ago. Economic and political uncertainly is most likely the main reason, combined with continued higher interest rates.
Average Prices:
The Multiple Listing Service® Home Price Index benchmark value for a single-family home in the Victoria Core in March 2024 was $1,288,400. The benchmark value for the same home in March 2025 increased by 3.6 % to $1,335,300, up from February’s value of $1,309,500. The MLS® HPI benchmark value for a condominium in the Victoria Core area in March 2024 was $558,200 while the benchmark value for the same condominium in March 2025 increased by 0.4 % to $560,400, up from the February value of $551,900. Surprisingly, even in this current economic climate, prices have increased slightly this month compared to the previous month and year. Due to the ongoing trade war, predicting future price trends is not an easy one. I would suspect that the market will remain stable, with not too much change one way or another.
If you or any of your family or friends require any real estate related information, feel free to contact Dale at 250-744-0844, or email him through his website: www.dalesheppard.com
