-by Tim Ayres, a Sooke REALTOR® with Royal LePage Coast Capital Realty
Overall, 2015 was a great year for real estate in Sooke. Sales were up markedly, and prices also increased across the region. I’ve compiled a few statistics, and also the top five most-and-least expensive single family homes in Sooke this year. Finally, I’ll talk about predictions for 2016. Read on…
Sales up 30%
Let’s talk sales volume first. In 2015, there were 391 sales of homes of all types (Single family dwellings, townhouses, condos, manufactured homes) in the Sooke region, excluding Port Renfrew and Jordan River. Focusing on the single family market (SFD), there were 298 sales. Compared to 2014, this is about a 30% increase over the 230 (SFD) and 300 (all) sales last year. This made 2015 more active than any of the previous 5 years.
What About Prices?
Now, prices. Overall, prices in the Sooke region increased by almost 5% over 2014. This is not surprising, given the increase in sales volume and the decrease in listings available for sale (supply vs demand). Before you get the idea that real estate in Sooke is becoming unaffordable or that your house is suddenly worth a huge sum more than you paid, it’s important to put it in perspective. In analyzing data for this post, I discovered that while the Housing Price Index has increased over the previous 12 months, it is still slightly below where it was 36 months ago in most areas of Sooke. The two graphs below will illustrate:
My Predictions for 2016
If the trend of fewer listings continues, I expect to see the trend of price increases to continue. The continued low interest rates and growth in our region, coupled with busy markets in Victoria, Vancouver, and elsewhere will bring more residents to Sooke and thus increase demand. I heard a very descriptive term the other day – housing refugee – which I can loosely define as a person or family that leaves an expensive housing market for a less expensive one after having been priced out of their home market. Or, they may cash out their home in Vancouver or Toronto and move to the Island. I believe that Sooke is and has been for some time a desirable spot for these people to put down roots. We have the climate, the amenities, and the proximity to major centres that make us a great spot to retire or start a family.
2015 Most and Least Expensive Houses in Sooke
If you have cash to burn, bring it to Sooke where your dollar goes a lot further! Not
surprisingly, most of the top five most expensive homes sold in the region in 2015 were on the waterfront. Even at the highest prices in the region, our waterfront seems a bargain, considering what it costs in other Island regions or in the lower mainland. You could sell your Vancouver Special near East 25th and Nanaimo and afford a huge home on a waterfront acreage here in Sooke.
On the lower end of the scale, probably no surprise that the least expensive homes were largely fixer-uppers or tiny older homes sold mostly for land value. That said, of the 298 SFD sold in Sooke in 2015, over half were priced under $400,000, and there were 28 sales less than $300,000. With today’s interest rates, a $400,000 purchase will cost you a little over $1600 per month, which is cheaper than rent in most regions. A further 86 sales were between $400,000 and $450,000 – lots of choice for the average family.
Have a look at the galleries below to see what was high and what was low for real estate in Sooke in 2015. You can click to view them larger, and to view the price and a short description of each:
Top Five Most Expensive Sooke Homes, 2015
Top Five Lease Expensive Sooke Homes, 2015
Making a move in 2016?
If 2016 is the year for you to make a move in real estate, be it buying or selling, I’d love to be your guide. Market evaluations and buyer consultations are always free, as is my professional advice on all topics Sooke real estate. Get in touch, directly, any time – 250-885-0512 (call or text), or email Tim@TimAyres.ca