Victoria home prices drop for first time in two years
The benchmark price of a single-family home in Victoria has dropped for the first time in two years – but don’t tell any prospective buyers that.
A new report from the Victoria Real Estate Board shows that the benchmark price of a single-family home in the city’s core dropped to $823,100 in August, roughly $10,000 less than in July.
Realtor Marko Juras said he isn’t surprised by the modest decline, one that he called inevitable, and doesn’t think prices will fall by much more.
“I would still say it’s definitely a seller’s market. Inventory is at historic lows,” he said.
The slight drop of 1.3 per cent is the first time the benchmark has lowered since 2015, but some buyers say it still feels like a drop in the bucket.
Sean Curry said he’s been hunting for a place in Victoria since May with no luck in the ultra-competitive market.
“I guess some people are more hungry than we are, but it gets frustrating,” he said. “If [prices] could come down faster, that’d be great.”
Not all prices have dropped either. The benchmark price for townhomes and condos both went up in price in August, likely driver by a rush in interest from buyers hoping to get something more affordable.
“People are being priced out of single-family homes and even townhomes,” said Juras. “A two-bedroom, two-bathroom condo is somewhat of a substitute.”
The benchmark price for condos is now over $400,000, while the benchmark for townhomes is more than $500,000, according to VREB.
According to the new report, 736 properties were sold in August – down from the 883 sold in August 2016.
President Ara Balabanian said the drop could be attributed to buyer fatigue, but it’s too soon to tell whether the new numbers are a trend or just a one-off.
With a report from CTV Vancouver Island's Rob Buffam and files from The Canadian Press.