Monthly Market Update - March 2021 Edition

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MONTHLY MARKET UPDATE — MARCH 2021

A

Monthly Sales Comparison

total of 863 properties sold in the VREB market region in February of this year. This marks a 53% increase from the 563 sales reported in the same period in 2020. Single family detached homes have experienced a 44% increase in sales from this time last year, and similarly, the condominium market has increased nearly 68% from last year.

Greater Victoria - (2018-2021)

1100

1000

863

Number of Sales

900

As is apparent from the Monthly Sales Comparison chart (opposite), the 2021 market is off to quite a start. We are currently experiencing significant pressure on single family detached housing across the Greater Victoria Area. New listings are seeing heavy demand and are quickly getting offers almost as soon as they hit the market.

800

700

600

500

400

300

200

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Dec

2018

431

545

688

774

755

708

651

594

533

598

462

375

2019

329

421

640

696

848

740

706

661

616

619

577

402

2020

411

563

608

287

457

808

979

979

989

990

795

631

2021

646

863

Absorption Rate

Greater Victoria Area - (2018-2021)

Months of Inventory

7 6

5.7 5.3

5.1

4.7

5

4.7

4.6

4

4.2

4.3

3.4

5.6 5.2 4.1

3.9

4.3 4.0 4.0

3.1

3

3.9

4.1

3.8 3.5

2.7

4.0

4.3 4.1

4.2 4.0

3.6

3.7

2.8

2.5

2

2.4 1.9

2.2

1.8

2.0 1.6

December

November

October

2021

September

2020

August

July

2019

June

2018

May

April

March

February

January

1

4.2

Lack of inventory in particular has exacerbated demand in the most sought-after market segments. Inventory is the number everyone will be watching in 2021. Despite numerous attempts by governments to slow down the housing market, demand remains. The foreign buyer tax, the speculation tax, more demanding mortgage qualification rules have had little to no effect on buyer’s appetites. With only 1,318 active listings at the end of February, the benchmark price for a single family home climbed to $851,200 from $768,000 in February 2020. Townhouses climbed from $587,600 in February 2020 to $634,600 last month. Finally condominium benchmarks have remained largely unchanged over the year at $514,700.

2481 BEACON AVENUE SIDNEY BC V8L1X9 | 1-877-656-0911 MICHELESTEAM@HOLMESREALTY.COM | WWW.HOLMESREALTY.COM When you buy or sell a home with Holmes Realty, a portion of the commission goes in support of local charities. Over $250,000 raised!


Demand for property is strong across all price ranges. Property under the $3M price range had less then 2 months of inventory. While the absorption rate for the highest luxury property over $3M was 4.5 months, this is nonetheless a Seller’s Market in that highest of price ranges as well.

Greater Victoria Area (Core, Westshore & Peninsula) Absorption Rates by Price Range February 2021

5

4.50

5 4

Months of Inventory

Single family detached absorption rates remain consistently low across all of the Greater Victoria Area. Absorption rates remained below two months of inventory in all our municipalities. On the peninsula we recorded 1.25 months of inventory in Central Saanich, 0.51 months of inventory in Sidney, and 1.82 months of inventory in North Saanich.

4 3 3

1.87

2 2 1

1.11 0.60

0.84

1.02

1 0

February had 166 single family home sales over the $1M mark. 67 sold above the $1.5M mark. 29 sold over $2M and there were 8 sales over $3M.

Under $600K

$600K to $800K $800K to $1M

$1M to $1.5M

$1.5 to $2M

$2M to $3M

Over $3M

Absorption Rates - Single Family Detached February 2021

2.00

1.82 1.80

1.71

1.69

1.60

Months of Inventory

The highest priced sale for February was a Willis Point view property home selling for just over it’s asking price of $7.999 million. The lowest priced non-strata, freehold, non-manufactured, non-development, home in the Victoria Area (not including Sooke) was a Langford home, approximately 885sq/ft, for $586,000.

1.44

1.50 1.37

1.40

1.25 1.13 1.15

1.20

0.80

0.60

1.03

1.00

1.00

0.71

0.66

0.70

0.51

0.40

0.20

0.00

2481 BEACON AVENUE SIDNEY BC V8L1X9 | 1-877-656-0911 MICHELESTEAM@HOLMESREALTY.COM | WWW.HOLMESREALTY.COM When you buy or sell a home with Holmes Realty, a portion of the commission goes in support of local charities. Over $250,000 raised!


Absorption Rate Greater Victoria Area - (2018-2021)

Months of Inventory

7

5.7

6

5.3

5.1

4.7

5

4.7

4.6

4

4.2

4.3

3.4

5.6 5.2 4.1

3.9

4.3 4.0 4.0

3.1

3

3.9

4.1

3.8 3.5

2.7

4.0

4.3 4.1

4.2 4.0

3.6

3.7

2.8

2.5

2.4

2 1.9

2.2

1.8

2.0 1.6

December

November

October

2021

September

2020

August

2019

July

June

2018

May

April

March

February

January

1

4.2


Monthly Sales Comparison Greater Victoria - (2018-2021) 1100

1000

Number of Sales

900

800

700

600

500

400

300

200

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Dec

2018

431

545

688

774

755

708

651

594

533

598

462

375

2019

329

421

640

696

848

740

706

661

616

619

577

402

2020

411

563

608

287

457

808

979

979

989

990

795

631

2021

646

863


Active Listings / Number of Sales Greater Victoria - (last 24 months) 3500

3000

2500

2000

1500

1000

500

0

Active Listings

Number of Sales


Absorption Rates - Single Family Detached February 2021

2.00

1.82 1.80

1.71

1.69

Months of Inventory

1.60

1.50 1.37

1.40

1.25 1.13 1.15

1.20

1.00

0.80

0.60

0.40

0.20

0.00

1.03

1.00

0.71

0.66 0.51

0.70


Absorption Rates - Condominiums February 2021

6.00

5.00

Months of Inventory

5.00

4.80

4.00

3.18

2.92

3.00

2.50

2.48 2.00

1.00

0.00

3.00

2.02

1.00

1.03 0.74


Absorption Rates - Townhouses February 2021

3.50

3.00

Months of Inventory

3.00

2.50

2.14 2.00

1.50

1.88 1.50

1.69

1.64

1.56

1.00

1.00

0.64 0.50

0.00

0.29 0.00

1.80


Absorption Rates - Manufactured Homes February 2021

3.50

3.00

Months of Inventory

3.00

2.63 2.50

2.00

1.71 1.50

1.00

0.38

0.50

0.00

0.00


Absorption Rates - Saanich Peninsula February 2021 3

2.92

3.00

2.50

2

1.82

1.64

1.71

1.25 1

1.00 0.51

n/a

0

SINGLE FAMILY

n/a

CONDOS

North Saanich

n/a

TOWNHOMES

Sidney

MANUFACTURED

Central Saanich


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