July’s house prices in Greater Victoria surged to their loftiest heights since the market peak in early 2022, while total sales shot up nearly 17% compared to last year, according to the latest data from the Victoria Real Estate Board.

 

Despite warnings that higher interest rates would depress asking prices, the average price paid in July for a free-standing home in Victoria was $1,374,115 alongside a $1,190,000 median among the month’s 293 single-family-home transactions. At over $1.37 million, July’s average was the highest since May of 2022, when homes sold for $1.4 million after reaching a peak of $1.432 million that April.

 

“The Victoria market is showing quite a bit of resilience despite today's higher interest rates,” said Marko Juras, a Victoria-based realtor (see website), adding that “in July, we also saw several high valued sales that pushed up the month’s average, but its these sales that drive home the point of how stable this market is when you consider the confidence of buyers spending millions of dollars on south Island real-estate.”

 

Condominiums, meanwhile, averaged $637,214 and saw a $552,900 median over 200 sales, both figures representing a price plateau continuation in effect since 2022 that averaged that year at $642,826 with a median of $580,000.

 

Townhomes reached 74 transactions at $831,442 on average and a $785,000 median, which much like condominiums, represent price points that have plateaued since the second half of 2022.

 

“In the face of upwards pressure with interest rates, prices haven’t buckled, and if anything, we appear synced with a scenario that once interest rates begin to recede, that could lead to another cycle of escalating values provided other macro factors like employment and the national economy remain stable,” Juras said.

 

Active listings have crept up to 2,419 units, 1,837 of which are residential. This represents an increase of 77 properties over June, and while higher than active listings earlier in 2023, in 2021 and 2022, they number below the five and ten year averages for July.

 

New listings, however, fell compared to June, reaching 1,125 (1,029 residential) in July compared to 1,297 the month prior. New listings, though, are within Victoria’s medium and long-term averages for July.

 

Total property transactions, including commercial and mobile home purchases, reached 595 sales in July, outpacing July of 2022’s 510 sales by nearly 17%, VREB data shows.

 

“There remains inherent demand for housing of all types in Victoria, and the fact that we have not seen downward pressure on prices is a sign, to me, that plenty of buyers are purchasing homes with cash in hand after selling primary residences or looking for a safe haven in which to park their money. It’s quite likely that we're seeing buyers not necessarily or heavily exposed to the whims of the lending market that are helping keep prices buoyed in Victoria,” Juras said. “And in a market such as this, where you’re seeing such stability in the face of economic changes, cash and equity reveal their value.” C

 

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