April 2023 Real Estate Update

The current spring market is slowly picking up as expected in Cowichan Valley and Victoria.  Canada wide, headlines indicate, “Canada’s largest bank is expecting a slow start to the spring housing market as higher interest rates keep many buyers out, despite a drop in prices states Neil McLaughlin, head of personal and commercial banking at Royal Bank of Canada. The benchmark home price is down about 16 per cent in the past year in Canada, but at $704,000 (US$519,000), it’s still nearly 30 per cent higher than three years ago.”
 
Vancouver Island is certainly its own market which attracts many people from abroad and continues to keep the housing market strong.

I'm happy to discuss our current market with you, please feel free to contact me.

March Sales Stats for Single Family Homes in the Cowichan Valley

March saw a total of 59 single-family homes sold in the Cowichan Valley, down about 35% from the 93 that sold in February of last year, and higher than the 35 homes sold in the preceding month of February. There were 98 single-family homes listed on the market in March 2023 compared to 134 last year, down 27%.  There were 641 sales in our valley over the past 12 months representing a 28% decrease in comparison to the 891 sales in the 12 months ending in March of last year. 

Average prices for single-family residential homes in March 2023 were at $799,249, down about 9% from $882,790 in March 2022, and up from February’s average of $761,080. The median price of a single-family home in the Cowichan Valley for the 12 months to date ending in March 2023 was $785,000.

In March, the active inventory of single-family homes on the market in the Cowichan Valley was 313 homes. When compared to the 141 homes at the end of last March 2022, it's clear home buyers have much more choice.

We had a 3.4-month supply of single-family homes on the market last month, while March 2022 had a 1.1-month supply. The average days to sell a single-family home in March was 32 days, compared to 8 days last March.


Condos & Townhouses
 
Condominium apartment sales in March saw 5 units sold, down from 10 sales in the previous month of February, and down from the 12 that sold last March. Condo apartments in the valley saw the average price for the 12 months ending in March 2022 at $356,240; that's up 14% compared to last year. 

The inventory of Townhomes on the market saw 9 sales in March, up two from the 7 that sold in the month of February, and half as many from the 18 sold last March. Townhomes in the valley saw the average price for the 12 months to date ending in for March at $618,480, up a considerable 14% from $538,547 for the same period last year.
 

Federal Government Amends the Foreign Buyers Ban Regulations 

"On March 27, 2023, the federal government announced amendments to the Prohibition on the Purchase of Residential Property by Non-Canadians Act’s (the Act) accompanying Regulations, effective March 27, 2023. The Act was passed in June 2022 and the regulations came into force January 1, 2023." Full Article here for all the details.

Highlights include amendments for:

- foreign buyers working in Canada with 183+ days remaining on their work permit ban on purchase of vacant land has been repealed.
- non-Canadians to be able to purchase residential property for the purpose of development.

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