Monthly Market Update - March 2022 Edition

Page 1

MONTHLY MARKET UPDATE — MARCH 2021 EDITION

A

Monthly Sales Comparison Greater Victoria - (2019-2022)

1400

1200

Number of Sales

total of 718 properties sold in the Greater Victoria Area this past February. While this is approximately 17% fewer than the same period last year, it was approximately 51% increase in sales numbers from the previous month of January 2022. Additionally, the end of February saw 849 active listings for sale on the Victoria Real Estate Board MLS System. While this is a 35.6% decrease from the end of February 2021, it represents a welcome 14% increase from January of this year; a light at the end of the tunnel perhaps for a market that, these last several months, has been remarkably starved of inventory.

1000

718

800

600

400

200

This past week the Bank of Canada started gradually raising it’s interest rates signaling

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Dec

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

1173

1116

1049

942

835

831

761

745

653

438

2022

474

718

Absorption Rate

6

5.3

5.1

Months of Inventory

Greater Victoria Area - (2019-2022)

5.7

4.7

5

4.7

4.6

4

4.2

5.6 5.2 4.3

4.1

4.0

3.9

4.0

4.2

4.3 4.0 3.7

3.5

3

2.8 2.4

2 1

2.2

1.8 1.5

1.4

1.4

1.3

1.3

1.3

1.3

1.4

1.6

2.0 1.6

1.3

1.2

1.1

December

November

October

2022

September

2021

August

July

2020

June

2019

May

April

March

February

January

0

1.9

that in response to elevated Canadian inflation it has begun adjusting upward to a target of 2%. The Bank of Canada expects inflation to remain close to 5% over the first half of 2022, before declining to 3% by the end of the year. Historically, Bank of Canada’s interest rate tightening has resulted in slower home sales and softer home prices. However, with markets so out-of-balance, it may take a substantial decline in demand and prices to return to a healthy, balanced state. The benchmark price for a single family home in February 2021 was $859,900 in the Greater Victoria Area. Over the past year, that benchmark price has climbed

2481 BEACON AVENUE SIDNEY BC V8L1X9 | 1-877-656-0911 REACHUS@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!


The highest priced sale during February 2022 was an North Saanich home in the Swartz Bay neighbourhood home selling for over 4.9M. The lowest priced non-strata, non-manufactured, freehold, property was an 900 sq ft home in Colwood selling for $720,000.

February 2022

6

5.40

5

Months of Inventory

Absorption rates across the Greater Victoria Area remain low continuing the trend of a Seller’s Market. For property priced below 1.5 million dollars, there is a half month or less of inventory. Between 1.5M and 2M the absorption is only 1 month of inventory. The luxury market from 2M to 3M continues to draw interest with 1.2 months of inventory. Finally, the luxury market over 3M also remains quite healthy with 5.4 months of inventory down from 6.2 months in January. Absorption rates across our various municipalities, continue to indicate strong demand in all of our neighbourhoods.

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

4

3

2

0.99

1 NO ACTIVE LISTINGS

0

0.00 Under $600K

1.21

0.43 0.42 0.51 $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 2022

10.00

9.00

9.00

8.00

Months of Inventory

to $1,109,400. Town house benchmarks climbed from $623,900 this time last year, to $789,100 last month. Finally, condominium benchmarks have jumped from $487,400 to $597,700 over the past twelve months.

7.00

6.00

5.00

4.00

3.00

2.40

2.00

2.00

1.28 1.00

1.15 0.68

0.43

0.81

1.20

1.59 1.67

1.38

1.08

1.07

0.00

2481 BEACON AVENUE SIDNEY BC V8L1X9 | 1-877-656-0911 REACHUS@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 6

5.3

5.1

Months of Inventory

Greater Victoria Area - (2019-2022)

5.7

4.7

5

4.7

4.6

4

4.2

5.6 5.2 4.3

4.1

4.0

3.9

4.0

4.2

4.3 4.0 3.7

3.5 2.8

3

2.4 1.9

2

1

1.8 1.5

1.4

1.4

1.3

1.3

1.3

1.3

1.4

1.3

1.2

1.1

December

November

October

2022

September

2021

August

2020

July

June

May

April

March

2019

2.0 1.6

1.6 February

January

0

2.2


Active Listings / Number of Sales Greater Victoria - (last 24 months) 3000

2500

2000

1500

1000

500

0

Active Listings

Number of Sales


Monthly Sales Comparison Greater Victoria - (2019-2022) 1400

Number of Sales

1200

1000

800

600

400

200

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Dec

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

1173

1116

1049

942

835

831

761

745

653

438

2022

474

718


Absorption Rates - Single Family Detached February 2022

10.00

9.00

9.00

Months of Inventory

8.00

7.00

6.00

5.00

4.00

3.00

2.40

2.00

2.00

1.28 1.00

0.00

1.15 0.68

0.43

0.81

1.20

1.59 1.67

1.38

1.08

1.07


Absorption Rates - Condominiums February 2022

4.00

3.43

Months of Inventory

3.50

3.00

2.50

2.00

1.50

1.26 1.06

1.00

1.00

0.50

0.00

0.75 0.46 0.29

0.38

0.43

0.52

0.43


Absorption Rates - Townhouses February 2022

3.50

3.00

Months of Inventory

3.00

2.50

2.00

1.50

1.00

1.00 0.79

0.67

0.63 0.50

0.00

0.30

0.50

0.38 NO ACTIVE 0.00 LISTINGS

0.38

0.30

0.20


Absorption Rates - Manufactured Homes February 2022

3.50

3.00

Months of Inventory

3.00

2.50

2.00

2.00

2.00

1.50

1.00

0.67 0.50

0.00

NO ACTIVE 0.00 LISTINGS


Absorption Rates - Saanich Peninsula February 2022 2

1.59

1.67

1.20

1.26

1

0.67 0.43

0

0.50

n/a

n/a

SINGLE FAMILY CONDOS

TOWNHOMES

North Saanich

Sidney

Central Saanich


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