CMHC has released the housing market assessment for Greater Victoria available here, which says:
- Overall, the framework indicates strong evidence of problematic housing market conditions in the Victoria CMA1 .
- Overvaluation was detected in the Victoria CMA as price growth for housing outpaced fundamentals.
- A persistent low supply of homes in the market and elevated sales led to overheating in the market.
- With an overheated market, price growth accelerated.
- Due to low supply, there was weak evidence of overbuilding.
VRBA has outlined the challenges to supply including:
CRD’s new Regional Growth Strategy, which obstructs development – https://www.vrba.ca/rgs-incompatible-housing-affordability/
Saanich’s EDPA which obstructs housing in areas identified for housing – https://www.vrba.ca/protect-housing-in-urban-containment-areas-2/
Rising municipal fees charged to develop new housing – https://www.vrba.ca/housing-affordability-undermined-dccs/
The province’s proposed Step Code will far surpass the HST for adding costs to new homes – https://www.vrba.ca/step-code-step-public/
The Best Practice Guides developed by the BC govt are not enforced and actually often undermine housing affordability – https://www.vrba.ca/practice-real-best-practice-bc/
For more info, contact www.vrba.ca