Rosemary and I were chatting about last year’s unexpected very active market in the Greater Victoria area. From a dead market in March 2020 due to Covid-19 to the most active market Victoria has seen in years was quite a surprise to many.
So I asked Rosemary, “When is the best time to purchase in 2021?” She replied, “The best time to buy is today! And the next best time to buy is tomorrow!” And she finally said, “If you wait until next week then you may need to pay more”.
Why is this you might wonder? There are a number of reasons.
The supply of properties, especially single family homes and townhomes, is the lowest in years. See the link at the end of this article to see the VREB statistics on this. Secondly, the mortgage interest rates are the lowest we have ever seen with rates below 2%. This enables a lot more people to be able to purchase in this market. Thirdly, there are a lot of buyers all competing for this scarce number of houses leading to multiple offers which inflates the purchase amounts as buyers compete. Lastly, Victoria is a wonderful place to live, work, or retire in. Canada’s aging population continues to view Victoria as their preferred retirement destination. We expect an ongoing constant influx of buyers from other places in Canada who have sold their homes and have cash to spend on acquiring a new home in Victoria.
The B.C. Real Estate Association (on Jan 25, 2021) stated:
“As a result, market conditions will start 2021 very tight, with the potential for strong price increases through the spring and summer until new supply comes online. We are forecasting a 7.7 per cent rise in the MLS® average price this year, followed by a further 3 per cent in 2022″
So what is one to do?
First, contact Rosemary and Gary to discuss your personal real estate needs and questions and let us help you navigate your 2021 purchase or home sale. Click Here For Contact Form.
Second, watch here for our future blogs where we will show you strategies to improve your chances to be successful in purchasing your dream home or listing your property for sale.
Written by Gary Sims, Jan 25, 2021
The Victoria Real Estate Board (VREB) has released the 2020 Real Estate Market Year in Review (See URL: https://rosemaryandgary.ca/dfh-news/the-2020-victoria-real-estate-market-year-in-review/ )