Monthly Archives: May 2014

VREB May 2014 News

May 1, 2014 Victoria real estate market is on track and steady for spring

Victoria BC – The Victoria Real Estate Board today released its monthly report on real estate activity in the Victoria area for April 2014.

664 properties sold in the month of April 2014, compared to 615 in April 2013 – an increase of nearly 8% year over year. Compared to last month in March, there were 15.5% more sales.

New inventory came on to the market; with almost 9% more new listings than last month, which creates more choice for buyers. And though the total inventory level was higher than last month, it was still 4% lower than this time last year – approximately 180 fewer listings.

“We’re at an interesting time of the year for local real estate; spring is traditionally a busy season and I think the market is headed in the right direction,” Victoria Real Estate Board President Tim Ayres says. “I think people are watching numbers closely to see where house values are going and where demand is headed. But people waiting for a large change are going to be disappointed, because we see a steady market. Pricing is stable, inventory is at a good level, and we’re in balanced market territory which is good for both buyers and sellers.”

Current MLS® Home Price Index benchmark prices were relatively flat across the region. Single Family homes on the Peninsula showed the largest change in benchmark price with a drop of 2% compared to last year, while the Westshore showed the largest increase with 1.2% compared to last year. Greater Victoria condo benchmark pricing was down 0.5% from last year, but the value in the same area for townhouses increased by 2.4%.

Probate Issues

Backlog!

Tejpaul Wirk from Mullin Demeo came and talked to us regarding Probate.  As of March 31st most probate forms have changed, resulting in a backlog during the transition period.  There is currently  a three month wait according to Tej.  If you are currently in this situation contact your lawyer to see how long the process might be.

Selling prior to probate

It is highly recommended that a property not be marketed until probate has cleared.  Selling prior to probate can cause collateral issues on all ends.

Avoiding probate fees:

A question came up regarding estate tax and probate. A property owner may consider putting their children’s names on title in order to save the probate fee (currently 1.4%). Tej said this can open a number of issues including exposure to Capital Gains Tax, and credit issues caused by debts incurred by a child.  In most cases it is safer to leave the title as is.  It is always prudent to talk to your lawyer and financial planner regarding estate issues.