The Greater Victoria Real Estate market in 2015 was strong throughout the year and prices saw almost a 10% increase for a standard home in the Victoria core. We have seen a consistent increase in year over year sales every month and decreasing inventory. At the end of November there were only 2,952 active listings on the Victoria Real Estate Board MLS, almost 19% fewer than a year ago at the same time. With low inventory and few options in many of the popular neighbourhoods, it is common for homes to sell with multiple offers and considerably higher than the asking price. It is a great time to list your home right now to get top dollar.
CMHC has made another important change which will impact anyone purchasing a home with a high ratio mortgage. As of February 2016 when purchasing a home over $500,000 any portion of the purchase price over $500,000 must have a 10% down payment, instead of 5% down on the entire purchase price. The change is to encourage borrowers to purchase less expensive homes and take less risk. Interest rates are also expected to rise moderately in 2016 with a stronger economy and a hot housing market. If you are thinking of purchasing a home in the new year you can get pre approved for a mortgage now, and they will hold your low interest rate for three months.
Merry Christmas and Happy Holidays to all your families and I look forward to working with you in 2016.