Victoria’s Real Estate Market is strongly active. With Scores of buyers competing with Multiple-Offers on Prime properties and low level of inventory, it certainly makes this a “Seller’s Market”
But what are the main factors that created such mad rush of buyers?
Lets concentrate on what Victoria has to offer. Mildest Climate in Canada. Secluded Island, job growth, attraction on Teck and IT workers, Business and commercial developments (WholeFood, additional location for Red Barn, local quality gourmet cafes and restaurants filling the empty spaces in Downtown, Oak Bay and Saanich) 20 minutes commute from Saanich to Downtown, Spectacular scenes drives with crystal view of ocean, wonderful communities and ability of outdoor activity in all seasons of the year, are all few reasons that makes this beautiful City an attractive target to many who are relocating.
Who are the demographics? I don’t have the statistics but it is truly a mix of people looking into call Victoria home.
- Many folks from Vancouver who purchased their house a decade ago for under $500,000 now are cashing out in this market and gain a substantial equity and to buy again, they have a hard time finding something else within value, so they look elsewhere such as Victoria. With the cashed out money they have gain, they certainly get way more house for their buck in comparison to Vancouver.
- Many seniors are retiring and wish to downsize. Relocating from a 2500+ sqft house, they are in search of any condo/townhouse which offers at least 1000+ sqft. which is not easily found in Victoria.
- Foreign investors are attracted to rental demand in Victoria, specifically in areas such as Saanich East and Downtown Core. Condos with no restrictions such as rentals or pets gain better momentum in this market and tend to keep their value stronger. For investors also existence of a finished suite with separate entry to gain more rental revenue is an added bonus.
- Having a suite in a property is also is a great gain for many first-time buyers or limited finances which bank extend and enhances their borrowing limit.
- Many folks from other province are relocating to Victoria Via job transfer or are in a job hunt.
- Strong US dollar, also has a big influence in US Buyers to enter Victoria’s housing market and call this heavenly land their home.
- Uvic and Camoson College has always been a greatest influence for many job transfers, Student investors, and teachers who wish to live within the proximity of these fine faculties.
All above niche are creating a higher demand for housing market and when inventory can’t keep up with this demand, with the help of low interest rate of mortgage financing to boost the consumer shopping confidence, it makes this a strong “seller’s Market”
Does Multiple-offers happens in every property in Victoria?
Realistically no. In some cases even in multiple-offers sometimes a property is sold under asked.
So what makes some properties to get offers over asked and some in the same neighborhood to be sold under?
Property type, Layout, Finished Square footage of the property and the Lot, Finished suite Vs no suite, condition of the property and the location of the properties determine its value. Market value is determined by the buyers only. It is the buyers to decide the targeted property is offering all the checklist in their wish-list or not and based on this fact they place a number on the property.
Stay Tuned for my next news on “How To Handle Multiple-Offers”
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