MARKET UPDATE

AUGUST

2014

Holmes Realty Ltd. 2481 Beacon Ave.

Sidney, BC V8L 1X9

250-656-0911

WWW.HOLMESREALTY.COM

July has seen a continuation of this summers balanced market throughout the Greater Victoria area. There were a total of 681

MLS sales compared with 680 in June. July sale are up dramatically relative to this time last year where July sales only reached 583 total. This represents an increase of nearly 17% year-to-year.

Our absorption rate dropped from 8.3 months of inventory in June of 2014 to only 7.4 months of inventory in July. With leveled inventory numbers and great sales volumes we hope to see this trend continue. Values approaching 6 months of inventory are generally considered a truly balanced market.

The Home Price Index (HPI) benchmark price for Single Family De-tached (SFD) homes in Victoria was $497,800 in July. This is up very slightly from $498,200 in June. Our overall HPI year to year is up slightly with an HPI benchmark price of $490,400 this time last year. The Condominium and Town-home markets were also relatively flat. With condos reporting an HPI benchmark price of $287,500 and $401,200 for town-homes in July. This compared to $286,500 and $394,500 respectively for July of last year.

On the peninsula, the HPI benchmark price for Single Family De-tached homes was $526,300 in July. Condominiums and Town-homes were $312,300 and $381,100 respectively.

HPI Benchmark Prices - July 2014Single Family Condominiums Town-homes

Greater Victoria $497,800 $287,500 $401,200Core $562,000 $289,200 $432,500Westshore $414,300 $241,700 $320,600Peninsula $526,300 $312,300 $381,100

There were a total of 20 waterfront Single Family Dwellings sold in the month of July in the Greater Victoria Area. A total of 21 Single Family Dwellings sold over $1 million, of which 5 sold for over $2 million and one sale of $4.6 million.

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Absorption Rate (2011- 2014)

2011 2012 2013 2014

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

2011 339 488 622 574 572 618 523 542 458 483 482 339

2012 372 497 570 586 659 637 523 462 419 373 366 283

2013 294 394 483 615 659 664 583 540 487 512 412 355

2014 342 412 575 664 714 680 681

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Monthly Sales Comparison (2011-2014)

CAPITAL REGION SALESWHAT IS AN

ABSORPTION RATE?

The rate at which available homes are sold in a specific market during a giv-en time period.

The rate shows how many months it will take to exhaust the supply of homes. An value over 6 is gen-erally considered a Buyers market. Un-der 6 is generally a Sellers market.

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