Viewing Category – Market Update

New Westcoast Modern Homes on the Ridge at Woodland Creek, Sooke BC

We are excited to launch a new offering of Westcoast Modern homes by our builder SC Smith Building Co.  New designs that take cues from both contemporary and westcoast influences and complement the energy and lifestyle of Sooke.

New Westcoast Modern Homes Victoria BC

New Westcoast Modern Homes at Woodland Creek

Located on lots 11-13 on Arranwood Drive in Woodland Creek, these homes have a long list of features normally only found in custom homes: waterfall kitchen islands, floating ensuite vanity with vessel sinks, wall mounted faucets, flat panel modern cabinetry and more.  Construction has started with the first home available in the summer of 2017.

The Vibe – 3 bedroom, 3 bath plus den 

The Pulse – 3 bedroom, 3 bath plus den

The Aura – 3 bedroom, 3 bath plus den

Fresh interiors

  • Two designer inspired color schemes Tempo and Rhythm
  • Floating ensuite vanity with vessel sinks and chrome hardware
  • 12mm laminate flooring through main floor in wood grain series
  • Nine-foot main floor ceiling for airy, spacious feel and crisp, modern painted moldings and trim styles throughout
  • Electric fireplace in living room featuring crystal glass set with remote control and electric baseboard for heating
  • Pot lighting and unique lighting fixtures throughout interior with USB charger in kitchen island
  • Technology proof wiring featuring multiple connection points and central media panel access
  • Wood and metal custom stair railings in colors to complement the interior scheme selected

Appealing exteriors

  • Two designer exterior schemes Zen and Echo
  • Distinct designs capturing cues from modern and west coast features
  • Attractive, durable concrete fiber siding, aluminum longboard wood series, laminate roofing and durable products throughout
  • Aluminum and glass garage doors with electric opener and two remotes
  • Painted or wood front doors with chrome hardware in contrasting colors
  • Exposed aggregate driveways and patio, green space and rear property line fencing

Kitchens, bathrooms and laundry

  • Modern flat panel cabinetry featuring complimentary colors and dual tone finishes
  • Stylish laminate countertops with waterfall edge in kitchen
  • Floating ensuite vanity with two vessel sinks and chrome fixtures
  • Wall mounted faucet and vessel sink in powder room
  • Tile backsplash in kitchen complimenting the design elements
  • Six-piece appliance package in white or black including fridge, range, dishwasher, otr microwave and washer/dryer
  • Ensuite shower featuring tile walls and glass surround and door and chrome controls and accessories
  • Separate laundry room for maximum space and efficiency

The little things

  •  Fully heated and lit crawlspaces for warm, dry storage and a minimum of three feet headroom accessed by a large crawl space door
  • Fully finished and heated garages including insulation, primed drywall finished electrical
  • Two exterior hose bibs, ample lighting around exterior, window screens, window coverings, vacuum rough in and fiber optic media connections standard

The building process

  • Full access to our state of the art cloud based management program to keep you informed about your homes progress at every step of the construction process at the click of a mouse
  • Site walk through at lockup and at final occupancy to ensure every detail is met and every home exceeds expectations
  • Continuous quality control checks through duration of build optimizing every material and process to its fullest potential
  • 2/5/10 warranty provided by Aviva on every home
  • In house crews complete many of the key elements of the home build to ensure quality, scheduling and efficiency
  • Flexibility in mechanical and cosmetic features of the homes to allow new buyers to chose and select many available options and selections with our sales team

For more information contact the sales team at Woodland Creek

Totangi Properties Ltd., SC Smith Building Co.,  and Woodland Creek

Totangi Properties – Celebrating their 49th year in business, Totangi Properties, the developer of Woodland Creek, is a locally-owned and operated award winning property development and land management company established in 1968. In 2014 Totangi was ranked #1 in Canada for Customer Satisfaction by Avid Ratings.

SC Smith Building Company – The 2012 Gold CARE Award for Built Green Builder of the Year, SC Smith Building Company is a local, residential real estate contracting firm specializing in distinctive new homes and timeless renovations. By utilizing practical, modern solutions and old world attention to detail and building philosophies the skilled, professional team repeatedly provide a successful building experience for their clients.

Woodland Creek –  2012 Gold CARE Award winner for Best New Subdivision, Woodland Creek is a residential neighbourhood of new homes in the heart of Sooke, British Columbia – a waterfront community near Victoria BC. A planned residential community, Woodland Creek was designed with the objective of providing a wide range of new housing opportunities for the community; close to schools, parks and the Sooke shopping and service core with the fundamental commitments of quality construction, lasting value and the long-term commitment of an established local developer.

 

How to Save Thousands of Dollars on your New Home Purchase

Buyers Don’t Pay Property Purchase Tax on New Homes at Woodland Creek 

On February 16th, the BC Government gave buyers of new homes in British Columbia an advantage by exempting them from the Property Purchase Tax on new home purchases.  This regulatory change eliminates the provincial tax payable on real estate transactions in the amount of 1% on the first $200,000 and 2% on the balance, a savings of $13,000 on a new home purchase of $750,000.

All new homes at Woodland Creek in Sooke qualify for the new tax exemption.  With new home prices starting at $389,900, this saves buyers a minimum of $5,000 when making a ‘new home’ purchase in one of Victoria BC’s favourite seaside communities.

Below are some key points to consider:

1. The exemption applies only to newly built homes – not resale homes.

2. There is a full exemption for qualifying properties with a fair market value of $750,000 or less and a partial exemption for qualifying properties with a fair market value between $750,000 and $800,000.

3. The property must be 0.5 hectares (1.24 acres) or smaller.

4. The party claiming the exemption:

a. must be a Canadian citizen or permanent resident.

b. must use the property as a principal residence.

c. does not have to be a first time home buyer.

 

Other Changes to the BC Property Transfer Tax Rate

Another change to the Property Transfer Tax Act is a new tax rate of 3% for properties with a fair market value greater than $2,000,000. The Property Transfer Tax (PTT) is now calculated as follows:

1. 1% of the taxable transaction’s fair market value that does not exceed $200,000.

2. 2% of that fair market value that exceeds $200,000 but does not exceed $2,000,000.

3. 3% of that fair market value that exceeds $2,000,000.

First Time Buyers Exemption 

The First Time Home Buyers’ Program eliminates the amount of property transfer tax you pay when you purchase your first home (new or resale).  The home must be $475,000 or less if registered and be 0.5 hectares (1.24 acres) or smaller

Further Information

Below are some links with further information regarding the qualifications criteria:

1. Frequently Asked Questions about the changes to the BC Property Transfer Tax Act: http://www2.gov.bc.ca/gov/content/taxes/property-taxes/property-transfer-tax/understand/exemptions/newly-built-home-exemption#qualify

2. A Guide to the Property Transfer Tax – Newly Built Home Exemption: http://www2.gov.bc.ca/gov/content/taxes/property-taxes/property-transfer-tax/understand/exemptions/newly-built-home-exemption#qualify

3. A Table of Property Transfer Tax – Newly Built Home Exemption amounts: http://www2.gov.bc.ca/gov/content/taxes/property-taxes/property-transfer-tax/understand/exemptions/newly-built-home-exemption/exemption-amounts

 

About Totangi Properties Ltd. and Woodland Creek

Celebrating their 47th year in business, Totangi Properties is a locally-owned and operated award winning property development and land management company established in 1968. In 2014 Totangi was ranked #1 in Canada for Customer Satisfaction by Avid Ratings. Brothers Warren and Blair Robertson and their team work closely with the 2012 Built Green Builder of the Year, SC Smith Building Company, in the creation of Woodland Creek and are committed to creating affordable, high-quality residential properties with lasting homeowner value.

2012 Gold CARE Award winner for Best New Subdivision, Woodland Creek is a residential neighbourhood of new homes in the heart of Sooke, British Columbia – a waterfront community near Victoria BC. A planned residential community, Woodland Creek was designed with the objective of providing a wide range of new housing opportunities for the community; close to schools, parks and the Sooke shopping and service core with the fundamental commitments of quality construction, lasting value and the long-term commitment of an established local developer.

For more information, visit www.totangi.ca .

Victoria and Sooke Real Estate Market Outlook Fall 2015

October 28, 2015

Last year at this time we questioned if the Victoria real estate market would move in 2015 from a balance position into a sellers market – a market in which demand outpaces supply. The numbers are in and the answer is a resounding yes.

Canada Mortgage and Housing Corp. has just released their Fall 2015 Housing Outlook for Victoria and notes, “Higher sales levels combined with a declining supply of listings moved the Victoria area resale market into sellers’ conditions through the first eight months of 2015 (Figure 4), particularly in the single-detached home segment, where demand has outpaced supply in some centrally- located municipalities.”

Screen Shot 2015-10-27 at 7.40.23 PM

Sales and Prices are Up, Inventory Down:  This year all areas of Victoria have experienced month after month of home sales figures that have continued to exceed last years numbers by about 25%. Hot markets such as Oak Bay have seen median sale prices increase by over 9% over last year with currently only 3 months supply of listing inventory.  In the West Coast community of  Sooke, home sales exceeded last years total numbers by the middle of September with MLS sales up over 46% year to date and with median home prices increasing by over 7%.  However, unlike some core Victoria communities, Sooke is maintaining a good inventory of new and resale homes for buyers to choose from.  CMHC forecasts a continued increase in average home prices in the 2 – 3 % range over the next two years with sales activity to maintain above the 10 year average.

Sales Activity - Victoria 2015

Housing Starts  and the Economy:   CMHC predicts as many as 1,950 total housing starts in the region for 2015, a 50 percent increase over last years starts.  The agency expects that the housing start pace will maintain this level over the next couple of years supported by demand from new and existing residents.  “Demand for new homes in the Victoria area will be supported through the forecast horizon by modest employment and population growth combined with low mortgage interest rates,” says CMHC.

Housing Starts 2015

Household Formation: Household formation creates housing demand.  It is a function of migration into Victoria and general population growth – new families and babies. CMHC says, “Victoria is forecast to benefit from rising net migration and household formation, providing a solid groundwork for local housing demand. As more people move to the area and the employment prospects of younger demographics improve, an average of 2,050 households are expected to be added to the region each year for the next five years (Figure 2), a notable increase over the average of 1,200 new households in each of the past five years.”

Household Formation

In summary, the CMHC report confirms what the everyone has been hearing in the news and at the coffee shop – the real estate market is hopping and the forecast remains strong for the next couple of years.

Highlights from the CMHC Victoria Housing Outlook

  • „„Housing starts are forecast to total 1,950 units in 2015 to meet growing demand from new residents before stabilizing at 1,900 units in 2016 and 1,875 units in 2017 as mortgage interest rates edge higher.
  • „„MLS® sales are expected to maintain a level of activity above the 10-year average in 2016 and 2017 as the economy and employment improve.
  • „„The rental vacancy rate is expected to fall from 1.4 per cent in 2015 to 1 per cent in 2016, as rental demand is forecast to exceed new additions to supply.As new apartments are completed in 2017, the vacancy rate is expected to rise slightly to 1.2 per cent.
  • „„ Economic fundamentals, including employment and population growth, will support a stable housing market through 2016 and 2017.

Blair Robertson – co-owner Totangi Properties and Realtor® Re/Max Camosun Westside www.VictoriaNewHomes.com

About Totangi Properties Ltd. and Woodland Creek

Celebrating their 47th year in business, Totangi Properties is a locally-owned and operated award-winning property development and land management company established in 1968. In 2014, Totangi was ranked #1 in Canada for Customer Satisfaction by Avid Ratings. Brothers Warren and Blair Robertson and their team work closely with the 2012 Built Green Builder of the Year, SC Smith Building Company, in the creation of Woodland Creek and are committed to creating affordable, high-quality residential properties with lasting homeowner value.

2012 Gold CARE Award winner for Best New Subdivision, Woodland Creek is a residential neighbourhood of new homes in the heart of Sooke, British Columbia – a waterfront community near Victoria BC. A planned residential community, Woodland Creek was designed with the objective of providing a wide range of new housing opportunities for the community; close to schools, parks and the Sooke shopping and service core with the fundamental commitments of quality construction, lasting value and the long term commitment of an established local developer.

For more information, visit www.totangi.ca .

New Sales Centre Opens at Woodland Creek – Sooke, British Columbia

February  11, 2015 – Sooke BC.

We are excited to announce the opening of our new sales centre at Woodland Creek on Sunday, February 15th between 1-4 this coincides with the launch of our new relationship with Re/Max Camosun Westside as our real estate services partner.

The new Sales Centre is located on Callumwood Lane in Woodland Creek  across from Woodland Creek Park and Playground, the new purpose built sales centre is the starting point for your on-site introduction to our award winning new homes.

Let our knowledgeable sales team show you the unique differences that set us apart from the  ‘new home’ crowd.   As a multiple building and development award winner and the 2014 recipient of the Avid Diamond Award #1 in Canada for Customer Experience, we think it is fair to say you owe yourself a visit to Woodland Creek before you make your next home purchase.

New Lots –  In response to market demand we’ve opened up another 26 single family lots adjacent to Woodland Creek Park and next to Ecole Porier and Journey Middle School.  Parkside and mountain view lots are available.

Customize your New Home.  We are excited to be building several homes through our pre-sale program that gives buyers the opportunity to customize their new home with personal selections of building plans, interior finishes, landscape treatments, and custom enhancements and upgrades.  Don’t wait to see what’s on the market when your ready buy — with the pre-sale program you plan ahead and see your new home take shape before your eyes and take occupancy in as little at 6 months.  How does it work? Read this Blog about Kyla and Derek’s Awesome Home Buying Experience. 

We look forward to seeing you soon. Click here for Directions.

Best regards,

Blair Robertson, Bruce MacMillan, and Cecile Bowie- Harland

Contact us for more information.

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About Totangi Properties Ltd. and Woodland Creek

Celebrating their 45th year in business,  Totangi Properties is a locally-owned and operated award winning property development and land management company established in 1968. In 2014 Totangi was ranked #1 in Canada for Customer Satisfaction by Avid Ratings.   Brothers Warren and Blair Robertson and their team work closely with the 2012 Built Green Builder of the Year, SC Smith Building Company, in the creation of Woodland Creek and are committed to creating affordable, high-quality residential properties with lasting homeowner value.

2012 Gold CARE Award winner for Best New Subdivision, Woodland Creek is a residential neighbourhood of new homes in the heart of Sooke, British Columbia – a waterfront community near Victoria BC.  A planned residential community, Woodland Creek was designed with the objective of providing a wide range of new housing opportunities for the community; close to schools, parks and the Sooke shopping and service core with the fundamental commitments of quality construction, lasting value and the long term commitment of an established local developer.

For more information, visit www.totangi.ca .

 

 

Is the Victoria Real Estate Market heading towards a Sellers Market? – Victoria Real Estate Market Update – Fall 2014

Victoria Area Housing Market Update Fall 2014 – With a Sooke Footnote

November 26, 2014

It is no secret that the real estate market in the Victoria area has been much more active this year. Homes sales are exceeding last year numbers, and listing inventories have shrunk. These conditions have put us squarely in a Balanced Market territory with sales to active listings ratio in the range of 15 to 20 percent. In a Balanced Market, home prices remain relatively stable and there is a reasonably good supply of homes in the market for buyers to choose from (at least 5 months worth of supply). That being said, with economic, job and immigration forecasts improving for 2015 through 2016, it is reasonable to question whether the Balanced Market may move to a Seller’s Market in the near future.

At a recent Victoria housing conference, Canadian Mortgage and Housing Corporation (CMHC) analysts predicted that current economic forces will support a stable and improving housing market for Victoria, including Sooke and the Westshore. The BC economy is forecast to expand by approximately 3% in each of 2015 & 2016. US economic growth coupled with a lower value Canadian dollar will grow BC exports. Locally Victoria’s economy will also benefit from increased tourism driven by a lower Canadian dollar, higher consumer spending, and regional infrastructure projects. Moderate growth in homes sales, housing prices, and housing starts are expected through 2015 & 2016.

So are we entering a Seller’s Market? Seller’s Markets are categorized by limited inventory and upward pressure on home prices often experienced when sales to active listing ratio exceeds 20%. Increased MLS sales and reduced inventory this fall have had the Victoria market peaking into Seller’s Market conditions, and the expectation from this writer is that this trend may continue somewhat into the spring market of 2015.  This will be driven primarily by increased housing demand without an equal increase in housing supply in the short term.

With positive economic factors in sight, what might put the housing market in check?  The answer, as always, is affordability and ultimately mortgage rates. Each year we have been told by experts to expect mortgage rates to remain stable but be prepared for increases and this year’s message was no different. Mortgage rates are currently at historic lows, but the average of private sector forecasts predict that rates are expected to increase in the second half of 2015. This rate increase will have a dampening impact on housing demand and affordability. So while we may move into and remain in a Seller’s Market in the short term, mortgage rate increases will likely moderate prices and sales in the longer term leading us back to a Balanced Market.

The Sooke Experience Footnote

Like the rest of Victoria, Sooke has experienced the busiest fall for real estate sales since 2010. At Woodland Creek, we have sold out of our new home inventory and have been working with buyers on pre-sales for delivery in 2015.  Sooke continues to attract buyers that appreciate the lower home prices, but are also attracted by the small town feel on the west coast close to the amenities and shopping of Langford and Victoria.

Our recent experience is that savvy and more experienced buyers in the housing market are recognizing the advantage of ‘pre-purchasing’ a new home that they can move into in about 6 – 9 months. These buyers have taken the risk out of entering a 2015 Seller’s Market and instead of having to choose from what happens to be available in the market, they have locked into the certainty of a fixed price pre-sale. They have ordered exactly what they want in their home from the floor plan, lot location, interior and exterior finishing, and any special extras. In a sense, these buyers have greater control over their housing purchase and achieve a custom home experience without a custom home price.

We are also seeing an up tick in more mature buyers cashing out of condo’s or townhouses in town and moving into single family homes with ‘master on the main’ or one level accessible living.  Many of these buyers started their lives in smaller towns and again are attracted to Sooke as a nice friendly place to retire.

 

Blair Robertson – co-owner Totangi Properties and Realtor® DFH Real Estate www.VictoriaNewHomes.com

 

About Totangi Properties Ltd. and Woodland Creek

Celebrating their 45th year in business, Totangi Properties is a locally-owned and operated award-winning property development and land management company established in 1968. In 2014, Totangi was ranked #1 in Canada for Customer Satisfaction by Avid Ratings. Brothers Warren and Blair Robertson and their team work closely with the 2012 Built Green Builder of the Year, SC Smith Building Company, in the creation of Woodland Creek and are committed to creating affordable, high-quality residential properties with lasting homeowner value.

2012 Gold CARE Award winner for Best New Subdivision, Woodland Creek is a residential neighbourhood of new homes in the heart of Sooke, British Columbia – a waterfront community near Victoria BC. A planned residential community, Woodland Creek was designed with the objective of providing a wide range of new housing opportunities for the community; close to schools, parks and the Sooke shopping and service core with the fundamental commitments of quality construction, lasting value and the long term commitment of an established local developer.

For more information, visit www.totangi.ca .

Woodland Creek – New Parade of Homes for Victoria

 Parade of Homes

It’s a new year and to start it off with a splash and whet your Open House appetite we have 4 new homes to view with prices starting at $369,900 net taxes included. Swing by to see them and enter the draw to win a new iPad.
Woodland Creek, the 2012 Gold Care Award winner of Best New Subdivision and Built Green Builder of the Year, is proud to present a selection of homes that are finished in both the more affordable Classic Scheme and our upscale Premium Schemes both loaded with features.
The first two homes, the Arbutus and the Hemlock, offer accessible living with the master bedroom and ensuite on the main floor and extra rooms upstairs. The other two homes, the Cedar and the Juniper, offer the more conventional 3 bedroom, 3 bathroom plans with the bedrooms upstairs and a great room and kitchen on the main.
All homes are full of features including:
  • Energy saving geothermal heating and air conditioning valued at $20,000 that will save over $1,100 per year in energy costs;
  • Built Green Certified Gold and Energuide rated +80
  • Energy Star appliance package for the kitchen and energy star washer and dryer;
  • Natural gas fireplace with wood mantle and tile or rock surround plus gas BBQ service on the patio;
  • 9 foot ceiling on main floor with coffered or vaulted ceilings and crown molding;
  • Spacious master suite with walk-in closet and generous ensuite – premium scheme with heated tile floors and floor to ceiling tile;
  • Custom designed kitchens with open island for exceptional function and ease of entertaining;
  • Feature fir panel entrance door with glass windows;
  • Fully landscaped and fenced yards.

Prices for the 3 bedroom homes start at $379,900 net taxes included. And we have our very popular 2 bedroom + den, 2 bathroom rancher plan, the Elm, under construction and available from $369,900 net taxes included.

We look forward to seeing your during our Open House times  or by appointment with our sales team.

Click Here for Directions.

Open House Times:   Every Friday through Sunday 12pm – 4pm.

 

About Totangi Properties Ltd. and Woodland CreekTotangi Properties is a locally-owned and operated award winning property development and land management company established in 1968. Brothers Warren and Blair Robertson and their team work closely with the 2012 Built Green Builder of the Year, SC Smith Building Company, in the creation of Woodland Creek and are committed to creating affordable, high-quality residential properties with lasting homeowner value.

2012 Gold CARE Award winner for Best New Subdivision, Woodland Creek is a residential neighbourhood of new homes in the heart of Sooke, British Columbia – a waterfront community near Victoria BC.  A planned residential community, Woodland Creek was designed with the objective of providing a wide range of new housing opportunities for the community; close to schools, parks and the Sooke shopping and service core with the fundamental commitments of quality construction, lasting value and the long term commitment of an established local developer.

For more information, visit www.totangi.ca .

What does the end of HST mean for Housing Prices in BC?

In general the majority of housing prices will remain unaffected by the end of the HST on April 1, 2013

On April 1, 2013 British Columbia will return to the GST + PST model of consumer taxation that existed prior to the introduction of the HST in 2010. This has no impact on resale housing prices which do not attract HST or GST, but how does it impact new housing prices? In order to ensure that market distortions do not occur, government established transition measures to essentially nullify any impact of this change in taxation on new home prices.  These housing transition rules introduced last year help ensure when people buy a newly constructed home under the PST or HST models, whether built entirely under the HST, entirely under the PST, or partly under HST and partly under the PST, they will generally all pay a consistent and equitable amount of tax. The transition rules provide certainty for new-home construction and sales, particularly during the transition period. Simply put, for the majority of new home purchases the change back to GST / PST will have zero impact on pricing.   So what does this mean for new home buyers before and after this date?

Currently and until March 31, 2013, new home purchases include a net HST tax of 7% as long as the house is under $850,000 and the purchaser qualifies for the BC New Housing rebate. The 7% net HST tax is derived from the HST of 12% minus the BC New Housing rebate on homes up to $850,000 of 5% = 7%. New Home prices such as ours are generally advertised as “net HST included” because it recognizes the reduction in the BC portion of the HST by this homeowner rebate.

As of April 1st, 2013, new home purchases will include GST of 5% and a 2% transitional tax equalling a total of 7% – the same amount of tax as mentioned in the above paragraph.  The transitional tax of 2% added to the 5% GST is in place for 2 years. This ensures equitable treatment among purchasers during the transition between HST and PST and will help mitigate distortive market behaviour. Again new home prices like ours will continue to be advertised as “net taxes included” which means the price will include the GST and the transitional tax.  Our advertised home prices will not change as a result of the change in tax systems.

While PST will not apply to the purchase of new homes, what happens is that builders will once again pay seven per cent PST on their building materials which increases construction costs. On average, about two per cent of the home’s purchase price will again be embedded PST costs and this will continue to be reflected in housing costs after the transition period ends March 31, 2015.

So the conclusion is that the return to the GST / PST model on April 1 will not be reflected in a change in the net price of new homes.  The transition measures introduced by government are designed with the intent that neither consumers or builders are worse off  in the short term by the tax change.  This is not to say that new home prices in BC will not change, there are many other factors that influence housing prices in BC, only that the tax change shouldn’t affect this change.

Bare Land and 0ther Real Estate costs

With respect to bare land prices, the elimination of the HST will mean that land or a serviced lot purchased by a consumer will only attract 5% GST. This will be good news for individuals wishing to buy a recreational lot or serviced home site to build on or vacation at.

Other real estate transaction costs such as real estate commission fees and other closing costs will also see a reduction with the elimination of HST and return to GST only.

A full explanation of the tax changes are available at the BC Government PST site here or the BC Real Estate Association site here.

 

About Totangi Properties Ltd. and Woodland Creek

Totangi Properties is a locally-owned and operated award winning property development and land management company established in 1968. Brothers Warren and Blair Robertson and their team work closely with the 2012 Built Green Builder of the Year, SC Smith Building Company, in the creation of Woodland Creek and are committed to creating affordable, high-quality residential properties with lasting homeowner value.

2012 Gold CARE Award winner for Best New Subdivision, Woodland Creek is a residential neighbourhood of new homes in the heart of Sooke, British Columbia – a waterfront community near Victoria BC.  A planned residential community, Woodland Creek was designed with the objective of providing a wide range of new housing opportunities for the community; close to schools, parks and the Sooke shopping and service core with the fundamental commitments of quality construction, lasting value and the long term commitment of an established local developer.

For more information, visit www.totangi.ca .

 

 

It’s a Buyers’ market – but how long will it last?

Affordable New Homes in Sooke

Victoria Area Housing Market Update Fall 2012

November 28, 2012

Home buyers that stayed on the sidelines this past year will find themselves in an excellent position today to take advantage of opportunities in the local real estate market.  A buyers’ market currently exists with the sales to new listings ratio favouring buyers, but with interest rates at lower than normal levels, employment and migration levels in Victoria on the upswing, and time limited government cash incentives soon to expire, the question on many peoples’ mind is how much longer will these opportunities last?

Today at the Victoria Housing Market Outlook conference,  Canadian Mortgage and Housing Corporation (CMHC) analysts said that continued low mortgage rates, an improving employment situation, and positive migration to Victoria will support a stable and improving housing market for the Victoria area including Sooke and the Westshore into 2013. The Westshore and Sooke communities will continue to see the lions share of growth as new developments offer new home benefits at an affordable price compared to more expensive properties closer to Victoria. Sooke in particular is attracting home buyers that are looking for a more small town neighbourly feel with it’s local stores and ocean proximity over the busier bustling Langford only 20 minutes away.

At Woodland Creek in Sooke, winner of the 2012 Gold Care Award winner for Best New Subdivision and Built Green Builder of the Year, we believe the value proposition for homebuyers is particularly strong.  Last year’s release of new homes on Callumwood Lane combining energy efficiency with Built Green certification in a neighbourhood adjacent to schools, parks, and trails within walking distance of the town centre has received praise from buyers and industry peers alike.

Buyers can get into a new home today loaded with premium features starting a $369,900 net taxes included.  All homes include an individual geothermal heating and air conditioning system valued at $20,000 that will save the homeowner over $1,000 per year in energy costs. Buyers that qualify for the BC First Time New Home Buyer Bonus will receive a $10,000 tax credit until the incentive expires on March 31st, 2013 and there is a further energy efficient rebate from CMHC for qualifying buyers. We think this offers buyers great value with a good selection of home styles and finishes currently available.

Some other interesting observations in the CMHC report that support an optimistic view of the market include:

Average Home Prices – While home prices have gone up and down since 2008, the average price for a single detached home in Victoria today has not changed significantly from 2008. Both average town home and apartment prices have seen recent decreases and larger fluctuations during the same period. Vancouver average single detached home prices increased almost 25% since 2008, primarily driven by international migration demand, and are now seeing more of a downward correction (the media has called this the Vancouver real estate bubble).

Purchase Power – Moderating home prices in 2012 combined with favourable mortgage interest rates has reduced average mortgage payment that is required to purchase the average priced home in Greater Victoria.  In inflation- adjusted terms, the monthly payment associated with purchasing an average single-detached home in Victoria declined 11 per cent between the peak price in April 2008 and the September 2012 price.

Employment – In 2013, the gradual improvement of economic conditions, both locally and provincially will stimulate housing demand through job creation, income and population growth. Employment in Victoria is forecast to expand this year and next, returning to the previous peak level by the end of 2013.

Migration – People coming from other provinces and within British Columbia were key sources of population growth and housing demand.  Net migration to Victoria between 4,500 and 5,300 is projected for 2012 and 2013.

Mortgage Rates – Although there is significant uncertainty, mortgage rates are not expected to change in 2012. Rates are expected to increase in later 2013, but rates will remain low by historical standards. Average 1 year posted rates in the 3-4% range and 5 year posted rates in the 5-5.75% range.

The Answer – So given this information, the question remains – how long will the current buyers’ market last?  CMHC analysts believe that average housing prices in Victoria have now bottomed out and are expected to increase moderately through 2013 driven by positive employment and migration.  Moderate growth in homes sales and housing starts is expected through 2013 so we think there will be a movement from a buyers’ market to a balanced market.

In the shorter term, over the next few months, past experience tends to lead us to the opinion that when we have periods of lower than normal activity such as has occurred this fall, we can expect a stronger rebound in activity in early 2013 to deal with pent up demand.  This occurred both in the spring of 2009 and 2012 with an increase in spring sales and a corresponding reduction in new home inventory.

So in conclusion, we think that if you plan to enter the real estate market soon or are looking at trading up, and you have the financial ability to do so, now is the time to take advantage of a good selection of new homes at very attractive pricing and rebates that will put you in the position to benefit from the market recovery.

The entire CMHC Report can be found at this link.

 

About Totangi Properties Ltd. and Woodland Creek

Totangi Properties is a locally-owned and operated award winning property development and land management company established in 1968. Brothers Warren and Blair Robertson and their team work closely with the 2012 Built Green Builder of the Year, SC Smith Building Company, in the creation of Woodland Creek and are committed to creating affordable, high-quality residential properties with lasting homeowner value.

2012 Gold CARE Award winner for Best New Subdivision, Woodland Creek is a residential neighbourhood of new homes in the heart of Sooke, British Columbia – a waterfront community near Victoria BC.  A planned residential community, Woodland Creek was designed with the objective of providing a wide range of new housing opportunities for the community; close to schools, parks and the Sooke shopping and service core with the fundamental commitments of quality construction, lasting value and the long term commitment of an established local developer.

For more information, visit www.totangi.ca.