Unusual Times for the Victoria Real Estate Market – Covid-19 Update

Not surprisingly, a number of our clients are asking whether they should put their real estate buying or selling plans on hold. At this point, it is uncertain how dramatically the COVID-19 Virus is going to affect the Victoria  Real Estate market. We are still seeing new listings come on the market and sales of homes in Victoria are taking place.

Robert Hogue, the senior economist at RBC Capital Markets, stated in a March 13 news story in the Financial Post, that “we are coming to the view now that because of the virus and the meltdown in financial markets, we will most likely see a decline in buying activity through at least parts of the spring market, and maybe even going into the summer market.”

However, in an online interview, Phil Soper the CEO of Royal Lepage, said that the significant drop in interest rates may encourage a subset of buyers to enter the market.

Today’s BC Real Estate Association (BCREA) Market Intelligence brief, agrees with Hogue’s forecast of a reduction in the number of sales stating that “BC home sales and prices will likely face declines in the spring and early summer, but should recover along with the wider economy in the second half of the year, contingent on the outbreak resolving.”

If you are a buyer or seller, we suggest being cautious.

What is most important, is to do our part to flatten the transmission curve of the virus and follow self isolation guidelines if advised.

As such, we will be putting in place a protocol to support the government’s call for social distancing. For now, we will be putting open houses on hold, putting hand wipes and sanitizer in our active listings, offering to do virtual walk throughs for buyers or sellers, and implementing a pulse approach to properties we have listed for sale (i.e. moving a listing from active to inactive if warranted).

Stay healthy, wash your hands, don’t touch your face too much and don’t hesitate to contact us if you have questions.

Hal Decter, LLB & Audra Poole

Victoria Real Estate Monthly Statistics

BC Real Estate Association Housing Market Update

Canadian Mortgage and Housing Corporation