As expected, the Victoria market has continued to soften last month.
Sales volume is down by about 27% over last year. The interesting thing is that the median home price is still up over last year. However, that key figure is also slipping and I wouldn't be surprised to see prices fall below last year levels within the next few months. The general feel is that price drops are likely in our area, but are also likely to be small due to demand to live here.
The good news for both buyers and sellers is that both parties seem to be getting back in sync. What I mean is that buyers are making realistic offers and sellers are realizing that they have to set an aggressive price to sell in this very competitive market. Looking closely at sales we see that well priced homes are still selling very quickly. Last week one of my clients found that two of three of the new listings he wanted to see were sold before he could view them! On the other hand, property that isn't sharply priced may not even get any showings!
If you are considering upsizing there is some potential good news. If we experience across the board price decreases then it follows that the price drops on the more expensive homes are larger. So, in a dropping market you can save money by upsizing.
Each quarter I publish a much more indepth analysis. If you are interested in receiving your own personal copy just let me know.
