We have mentioned many times over that we think the Real Estate Market in Victoria, in British Columbia and in Canada in general will continue to grow stronger. The reasons are many but it is hard to beat an investment like your own home.
A recent article published in the Times Colonist by Helen Morris, with files from Carla Wilson, CanWest News Service reads:
House prices across the country have hit new record highs this year, but higher lending rates could slow down the rise in home buying, according to an industry report.
In June 2007, the average house price was $315,332, a rise of 11.2 per cent from a year earlier, the Canadian Real Estate Association (CREA) said. This was the greatest monthly increase since August 2006.
According to CREA, average prices in June broke all previous monthly records in Alberta, Saskatchewan, Ontario, New Brunswick, Nova Scotia, and Newfoundland and Labrador.
At $446,893, the average price of a house in British Columbia rose 11.2 per cent in 12 months maintaining the province’s position at the top of the table well ahead of Alberta at $364,072.
Greater Victoria is handily outstripping provincial figures, with June’s average price for a single family home coming in at a record $573,415, and the median price topping $500,000 as well. July’s monthly sales results come out today from the Victoria Real Estate Board.
Bev McIvor, president of the Victoria board, said yesterday, “I just can’t see it slowing down.”
“Even with the interest rates, people still want to live here.” One of the major drawing points is that this is a safe place to live, she said.
When a house is priced right, multiple offers are coming in higher than the asking price, McIvor said.
This market is driven not only by local shoppers but by newcomers to the area, some with extra-deep pockets. Global shoppers are drawn to this region, driving prices for luxury homes into the multi-millions.
Several waterfront properties with mansions are offered on the Multiple Listing Service at more than $10 million, with one at $18.5 million.
Alberta is making rapid gains with an increase of 24.7 per cent since June 2006 only just behind the increase in Saskatchewan where the average price of a house rose 34.9 per cent to $180,934 and a 28.8 per cent increase in the Northwest Territories.
Sales activity set records in the first and second quarters. Sales for January to June of this year were ahead of levels for the same period last year in almost every province. According to CREA, sales activity in the first half of 2007 rose by 8.2 per cent compared to the same period in 2006 to 287,862 units. If current trends continue, 2007 will be a record year for sales.
Seasonally adjusted national sales activity rose to 133,612 units in the second quarter of 2007, a gain of 3.3 per cent on the previous quarter to reach the highest quarterly level on record. New quarterly records for sales activity were set in Alberta, Saskatchewan, Manitoba, Ontario, Quebec, New Brunswick and Nova Scotia.
“The bank rate was hiked for the first time in over a year in July, and an additional increase is expected in September. Higher interest rates and additional housing price increases will gradually impact affordability and housing demand over the second half of the year,” said CREA chief economist Gregory Klump.
“It is important to note that the low interest rates and flexible mortgage insurance options some Canadians have had access to in recent years do not provide all the support necessary for home ownership,” said Ann Bosley, CREA’s president.
“Recent research shows that ownership rates among younger Canadians and newer Canadians have been on the decline, in large part due to lower incomes and difficulty saving funds for a down payment,” she said. End of Article.
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You can contact us anytime should you have any questions about Victoria Real Estate.
Anders Treiberg, REALTOR®
Properties In Victoria Professionals– Royal LePage Coast Capital Realty
Anders Treiberg has been a REALTOR® in Victoria, BC. since 1990. He has extensive Real Estate Expertise and can be reached on his website www.PropertiesInVictoria.comAll Articles More Like This