Well, it seems that the media has just caught up to what real estate agents have been telling our clients for some time now, since October 2007, in fact. The real estate market in the Victoria area has reached a plateau and is headed down for a little while.
What does this mean to you? Well if you bought your property prior to 2004 or even into 2005 you will still be making money. Good money. For those who didn’t take advantage of the opportunity then, the real news it this- real estate is still a great investment in the future.
Since 2001 we had a run up of over 129% which as many of you know was and is unsustainable. I get asked by many, so now what’s going to happen?
- The market in Victoria while has the largest inventory of homes in 12 years and with sales activity off by up to 50% you have to realize each market and neighbourhood is different. When the real estate board says that the market is down, in some prices and neighbourhoods yes that is true and in others we disagree completely and still have bidding wars while yet other price ranges and areas it’s a ghost town. Realize the averages and overall views are just that. Take a look at the attached reports and realize that it’s not as bad as the media makes it out to be.
- It’s going to be a soft market for a while. Many people are calling me to get market analysis on their homes and they are shocked when I show them the truth. Yes prices are down but it’s not as bad as many make it out to be. It’s also too late if you thought you wanted top dollar, during this cycle. That was last October. There are still bargains out there to be had but you have to look harder. That also means if you are selling your home the home has to be in “the market”. Over pricing your home with the expectation of getting top dollar won’t sell your home. Email me or call me today for our look at buyers markets and sellers markets to see what you need to do to get your home sold!
How long will it last?
It all depends. There are a multitude of factors: What are interest rates going to do? Will American buyers ever come back? What will happen with unemployment and job creation? These are all the difficult questions to answer and no one has all of the answers, but after 23 years in the real estate market this is my third downturn. I know what it takes to get homes sold in this market and to buy a home that will hold its value. Things may be changing out there, but know that there are still homes being sold and bought. If you would like to receive our special Total Market Overview reports or would like more information on how what it takes to get your home sold call me at 250-544-2929 (direct-line) or email me at
Ron@ronkubek.com.
Remember you live in a home, not an investment. Yes we all want to make money but if we think back to our parents, grandparents etc. they bought homes to live in, paid off mortgage and if it was worth what they paid, then it was a great investment. I like to think of real estate as a forced savings plan and a place to live. This is the time if you can to make the extra payment on the mortgage, change to bi-weekly vs. monthly payments if you plan to stay. If you want to sell then now is the time to put the extra care into your home to make it shine among all others in the market, get real advice on pricing, not just go with the REALTOR who gives you the highest price possible.
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Victoria
Central Saanich
North Saanich
Sidney
