WATCH: While June home sales were significantly higher than they were at the same time last year, there were fewer homes sold than in the record-breaking months of April and May. April Lawrence reports.
As another condo building goes up in downtown Victoria, buyers are snatching it up before the concrete has even set.
“The rate we’re going we could very well be sold out before we even complete the building,” said Wendy Pryde, Sales Manager for the Escher on Broughton.
Wendy Pryde has been selling new condo developments for years and said sales are stronger than ever.
“The increase in traffic from Vancouver has been significant,” said Pryde.
According to the Victoria Real Estate Board, condominium sales lead the way for June, up 66.5 per cent over June 2015.
While total sales remained strong for June, up 29 per cent over the year before, they have slowed from the record-hot months of April and May.
Mike Nugent, President of the Victoria Real Estate Board, said it’s common for the market to ease off during summer, but he said the lack of supply is also a major factor.
“When you take away that much selection it makes it hard so people are afraid to give up their own house or put it on the market until they know they’ve secured a place so it keeps other listings from going on,” he said.
And with that low supply, and a steady demand, prices continue to climb.
The price of a single family home in the core area of Victoria was up 2.6 per cent from May, and 22 per cent over June 2015.
But realtors warn that some sellers are getting caught up in the frenzy and pricing too high, and those properties are sitting idle.
“You can’t blame a homeowner for trying to get all they can but the buyers have rejected some of those,” said Nugent.
Although sales for June were slower than they were in April and May, realtors say the market should remain steady.
“You combine strong job growth, good business, and record low interest rates for financing and it makes a formula for a strong housing market,” Nugent said.
View the Victoria Real Estate Board report for June 2016 here.