Victoria housing market remains strong
July 23, 2014 at 2:23 a.m.
The Victoria housing market remains healthy based on sales of existing homes for the first half of 2014. There are interesting observations we can make, and we can perhaps draw some conclusions about the direction the market is headed.
The number of units sold is up almost 4 percent for the year. This is positive and compares favorably with the state and national markets. However, most of the activity was in the first quarter. We have noticed a slight downturn in units sold the last couple of months when comparing month-to-month numbers.
Looking at the dollar value of houses sold, we see dramatic increases in total volume, average price and, more importantly, median price. All these numbers are up more than 10 percent over last year and don't seem to be leveling off.
The increase in prices is a direct result of available inventory, or better stated, "lack of available inventory." This does not mean that the value of a specific property has gone up by the amount reflected in the market. With 2.8 months of inventory (the same as this time a year ago), buyers simply don't have much to choose from. This is especially the case in marketable properties below $150,000. We don't see anything on the horizon that will change that, so expect to see the median price continue to rise.