New property assessments from B.C. Assessment indicate a stable real estate market in Greater Victoria, with little to no change in home values for most residents. This contrasts with the Lower Mainland, where homeowners are facing potential decreases in assessed values. The steady demand for housing on Vancouver Island has contributed to this localized market resilience.
Key Takeaways
- Greater Victoria's property assessments reflect a stable real estate market, unlike the Lower Mainland's projected decreases.
- Demand for homes on Vancouver Island remains steady, contributing to the stability.
- Specific municipalities within Greater Victoria show minor fluctuations, with most experiencing little to no change.
- The assessment reflects market conditions as of July 1 and physical condition as of October 31.
Stable Market Conditions
Matthew Butterfield, deputy assessor for Vancouver Island, stated that the trend for Greater Victoria is similar to previous years, describing it as "a fairly stable year." He noted that the decrease in the Lower Mainland, sometimes up to 10 percent, is due to reduced housing demand and a surplus of unsold homes. In contrast, the Island's market has maintained steady demand.
Brendon Ogmundson, chief economist with the B.C. Real Estate Association, confirmed that sale prices in Victoria and the rest of the Island were "essentially flat" this year, while Lower Mainland prices saw about a five percent decrease. He added that Lower Mainland prices were relatively resilient despite a significant drop in sales volume.
Localized Assessment Changes
The typical residential property owner in Langford and Esquimalt will see virtually no change in their home's assessed value. Homeowners in Victoria, Saanich, Oak Bay, North Saanich, Central Saanich, and the Gulf Islands might see a one percent increase. Sidney is expected to have a two percent increase, while View Royal, Colwood, and Sooke could see a one percent drop. Metchosin and Highlands are projected to experience a two percent and three percent drop, respectively.
Market Dynamics and Influences
Victoria real estate agent Bobby Ross described the capital region as a "balanced market with a bias toward buyers having a little more power." He noted higher inventories and lower sales volumes compared to previous years, indicating less urgency among buyers. Ross also pointed out that assessments can lag behind true market value.
While B.C. Assessment focuses on reflecting market activity, potential influences on the real estate market include trade disputes with the U.S. and a recent Supreme Court decision concerning First Nations title. However, the immediate impact of these factors on property assessments is not yet clear, with Butterfield emphasizing that any market effect will be reflected in future valuations.
Commercial and Industrial Properties
Commercial and industrial properties in Vancouver Island are also showing similar trends, with minor changes in assessed value, generally ranging from zero to a five percent increase. The most valuable commercial property in Greater Victoria is the Uptown shopping centre, assessed at $324 million.
Homeowner Grant and Appeals
The homeowner grant threshold has been lowered to $2.075 million, meaning properties valued below this amount may be eligible for the grant to reduce property taxes. B.C. Assessment encourages property owners to review their assessments and contact them with any concerns. The deadline to file an appeal is February 2.
