Victoria Real Estate Market update, Ban on Foreign Investment, Secrets for Selling your Home, Ban on Off-Market Listings

 

A slight uptick in sales and inventory, but Victoria market still requires commitment to homes November 1, 2022  A total of 480 properties sold in the Victoria Real Estate Board region this October, 35.6 per cent fewer than the 745 properties sold in October 2021 but a 17.1 per cent increase from September 2022. Sales of condominiums were down 39 per cent from October 2021 with 152 units sold. Sales of single family homes decreased 32.2 per cent from October 2021 with 230 sold. “Inventory has remained stable this month and for the first time since May 2022, we see a slight increase in the month over month sales,” says Victoria Real Estate Board President Karen Dinnie-Smyth. “We noted last month that the number of sales for September did not necessarily reflect the on-the-ground activity in the marketplace. October sales have shown what the industry has been experiencing, an increase in activity, more sales and wellpriced homes receiving plenty of attention – some receiving multiple offers. If you are considering selling a property, the continually evolving market conditions this month reinforce the need for up-to-date analysis of how to price your home during this type of market. With many micro-markets within the Greater Victoria area conversations with your local REALTOR® on how the housing market is performing in your specific area will be crucial to your success.” There were 2,192 active listings for sale on the Victoria Real Estate Board Multiple Listing Service® at the end of October 2022, a decrease of 4.7 per cent compared to the previous month of September but a 111.6 per cent increase from the 1,036 active listings for sale at the end of October 2021.  READ MORE Selling your Home? Choose the Right Photos They say a picture speaks a thousand words. That’s certainly true in real estate. Sure, property descriptions are vitally important, but photos are essential. Especially these days, when so many people view listings online, the right photos can mean the difference between a buyer becoming interested in your property or moving on to the next listing. So, what photos should you take? Recent studies suggest that the more photos the better. Property listings that feature several photos tend to attract more buyers than those with just a single picture or none at all. So, you’ll want to have plenty taken. Some of the most effective shots include: • Photos of each room. • Desirable features, such as a gorgeous fireplace. • The property facade. • The backyard and other appealing outdoor features. • Key rooms from multiple perspectives, such as the kitchen, master en suite, and dining room. Before having these photos taken, be sure to prepare. If you were having a family photo taken by a professional photographer, you’d probably ensure everyone dressed their best. The same holds true when listing pictures are taken. Make sure your home looks its best. Get as much decluttering and cleaning done as possible before pictures are taken. Also, if there are any repairs needed around the home, especially ones that are likely to show up in a photo, get those taken care of too. Of course, if you need to list your home quickly, there are ways to shoot photos that still look great, even before your home is 100% prepared. Listing photography doesn’t take that long, so scheduling won’t be a big concern. Federal Ban on Foreign Investment in Canadian Residential Real Estate On June 23, 2022, the Canadian federal government passed the Prohibition on the purchase of residential property by non-Canadians Act. Coming into force January 1, 2023, this Act: Does not apply to Canadian citizens and permanent residents. Applies to non-Canadians directly or indirectly purchasing residential property in Canada for a period of two years. Applies to residential property, including detached houses or similar buildings of one to three dwelling units, as well as parts of buildings such as semi-detached houses, condominium units, or other similar premises. Applies to direct or indirect purchases of residential property, including purchases made through corporations, trusts or other legal entities. Establishes penalties for non-compliance applicable to non-Canadians, as well as any person or entity knowingly assisting a non-Canadian in violating the prohibition. CREA is currently working with government, provincial associations and other stakeholders to minimize the impacts of the new rules on the businesses of REALTOR® members, and any related impact on an already slowing housing market. The Government has not yet released regulations, which typically clarify and define terms within the Act. We recently made a number of recommendations to the government as part of a consultation process, which can be reviewed in detail here. CREA’s understanding and interpretation of this legislation may change upon release of the regulations. The legislation may be complicated to interpret, so it’s always a good idea to consult a lawyer for advice or guidance. Business in Vancouver – Housing market downturn deepens in B.C. Victoria Times Colonist – CONDO SMARTS: Shift workers have the right to enjoy a quiet day Storeys – With the housing market in decline, will Canada come to regret banning foreign buyers? Financial Post - Home prices have further to fall, economists say Globe and Mail – Ottawa aims to welcome 500,000 immigrants per year by 2025 Globe and Mail – BoC’s Macklem says interest rate hikes are nearing an end, but to expect borrowing costs to rise before levelling out Storeys – Not coming soon? CREA to ban most off-market listings starting in 2023 Financial Post - HAIDER & MORANIS: Forcing real estate brokers onto MLS probably a good thing for both buyers and sellers Macleans - MOFFATT: How Toronto's housing market is transforming the rest of Canada Globe and Mail – Fixer-uppers the first rung on the property ladder Globe and Mail – KERSHAW: StatsCan failed young Canadians by underestimating the effect of housing inflation Canadian Mortgage Professional – Where will interest rates go if inflation stays high in 2023? Keyspire - Determine Your ROI HGTV - 10 Best-Kept Secrets for Selling Your Home   Conquering the Fear of Paying too Much for a Home You’ve heard of “buyer’s regret”. It refers to purchasing a pricey item, like a fancy sweater or a new car, and then regretting it the next day because you think you paid too much. Fear of buyer’s regret can actually dissuade people from making a purchase, even when the price is right and they really want the product! In the real estate world, buyers can sometimes hesitate to make an offer on a home for the same reason. They worry about paying too much, so they take a pass on the property. That’s unfortunate because they may miss out on a great home at a good price! How do you conquer this fear? The first step is to get your finances in order. Determine how much your current property will likely sell for on today’s market. Also, talk to a lender or mortgage advisor to find out how much of a mortgage you can get. This will give you a fairly good idea of what you can comfortably afford. Don’t forget to factor in monthly expenses when determining affordability. If you’re looking to move to a larger home, or one that’s in a highly desirable neighbourhood, your mortgage payments may be higher. Other expenses, like utilities, might increase too. Remember, a new home is as much a lifestyle investment as it is a traditional financial one. You’re making an investment in your – and your family’s – happiness. That might even make it worth spending a bit more. And, once you’ve reviewed your finances and anticipated your expenses, you may discover you can do just that! So, take all these factors into account and determine a price range within which you can comfortably shop. That will make it easier to make an offer on that perfect property with confidence, and with no fears of regret. Ed Sheeran's Stevie Wonder cover (made love her) How often has someone asked you about a particular professional or a service company? For example, they may have asked, “Do you know a good tree trimming service?” or “Can you recommend a great accountant?” Chances are you’ve been asked plenty of times over the years. The reason is obvious. Most people would prefer to work with a professional or company that a friend or neighbour has endorsed. That’s why they ask for recommendations! With that in mind, when you get asked, “Do you know a great real estate agent?” I hope you’ll offer my name. If you do, I promise to provide that person with my very best service — as I do all my clients. If the opportunity comes up and you do recommend me, please let me know. I’ll want to thank you personally for the referral. And, by the way, recommendations go both ways. If you’re looking for a contractor or other professional, give me a call. I can probably give you the name of someone who does excellent work. Notable, Quotable, Quotes!   “The easiest thing is to react. The second easiest is to respond. But the hardest is to initiate.” Seth Godin Best regards, Diana Winger Personal Real Estate Corporation | eXp Realty CNE, SRS, SRES, ABR www.Housesforsale369.com | 250-588-8839 On Your Team!