Tag Archives: salt spring

August 2024 – Market Analysis – Salt Spring Island

August 2024

Salt Spring Island

August ushers in the bittersweet finale of summer’s symphony.

Well, here we are, at the very beginning of August…still in Summer, but with a definite sense that Fall will arrive lickety split. Already, it’s darker in the early mornings and definitely darker much earlier in the evenings. Earlier sunsets deliver incredible star-watching opportunities, but facing forward towards the shortest day of the year is a reminder that the summer season is a brief one, and needs to be savoured.

B.C. Day Weekend & Summer Activities

Salt Spring Island
Salt Spring Island

August opens with the B.C. Day holiday weekend, and lots is happening on Salt Spring and the Southern Gulf Islands. Check in with the Visitors Centre in seaside Ganges, to see what’s on.

  • Live music venues (Treehouse, Moby’s, Legion, Centennial Park)
  • Al fresco dining opportunities at our great restaurants
  • Saturday Market, Tuesday Farmer’s Market
  • Hiking trails (Ruckle Park, Mt Erskine, Channel Ridge)
  • Wine tastings (Garry Oak), cider tastings, craft brewery
  • Salt Spring cheese, farm gate stands
  • Restorative spa treatments, alternative wellness options
  • Studio tours, gallery receptions, ArtCraft, ArtSpring
  • Sailing, kayaking, paddle boarding, whale watching

Salt Spring does deliver on the essentials: a peaceful enjoyment of the natural world welcomes one.

Salt Spring Island
Salt Spring Island

Real Estate Trends

At this very beginning of August, what about that elusive real estate market trend? Although some few new listings did appear in July, for “the season”, the inventory remains low. As soon as one describes type and price, in seeking a real estate purchase, it’s clear that there’s not a big choice for a buyer in their preferred category.

The Bank of Canada has brought in two interest rate reductions, but this has not pushed buyers to rush to action. Buyers are being thoughtful. The Gulf Islands are not first time buyer locales. Low inventory, relatively stable pricings, concern about lack of appealing choices lead to “wait and see” outcomes. Most listings below one million remain in the townhome/strata segment. Single family homes require a buyer who can look up to 1.45. Many properties in these low million plus price points still need upgrades/renovations.

CMHC (Canadian Mortgage & Housing) reports that the lack of housing product will be a factor for some substantial time (2030?). Immigration coupled with lack of housing equals continuing price stability, if not serious escalation. Reasons for seeking a real estate purchase in a recreational area remain the same: a desire to drop urban for rural (seeking safety) and a desire to preserve capital (hard asset investment choices). Most owners do not want to be sellers.

At this very beginning of August, mixed outcomes are evident, with both entry level and luxury offerings finding buyers, with both price reductions at the point of an offer and “over ask” situations also in play. It may take until late October to see completed summer sales, and a corresponding market report…things are underway right now. Most buyers continue to be from Vancouver/Lower Mainland.

More information on what’s for sale and what has sold? Contact me.

Salt Spring Island

August sees Fall Fairs in many rural locations, reminding us of the fruition cycle. Back to school ads are with us. Yes, it’s still Summer, but there’s a sense of rushed pleasures, not the drifting and dreaming enjoyment of June or July, with their sense of endless time.

Summer…a warmth that inspires. The hammock calls. Remember your Omar Khayyam…the bird is on the wing. August’s summer pleasures are calling…catch them…and enjoy.

Salt Spring Island, May 2024, Market Analysis

Salt Spring Island and the Southern Gulf Islands

Here we are, at the very beginning of May, long considered the start of the most alluring months on the entire Pacific Northwest Coast…and those on Salt Spring Island and the Southern Gulf Islands would agree. May to October are the key delectable months in our local world, taking in Spring, Summer, early Fall. Lucky Salt Springers to be enfolded by beauty. So important, no matter the geopolitical concerns that underline our time and bring worries our way, to enjoy this annual splendour of Nature.

Real Estate Market

The real estate market on Salt Spring and the Gulf Islands is showing good action again. Most buyers still continue to be from Vancouver/Lower Mainland. A desire to leave urban for rural remains a key factor. A newer reason for a property purchase might be a preservation of capital consideration. An interest in hard asset investment could be a major reason for owners not wanting to be sellers, unless they “have to”. Low inventory, coupled with renewed buyer action (the pause in activity in 2022 and most of 2023 is over), does lead to price escalation. As a secondary home marketplace, Salt Spring and the Gulf Islands do follow their own pattern.

Seasonal Market Trends

  • Early Spring (includes March Break) can show sales action, mainly in entry level price points. This mainly weekend activity runs to late April.
  • Early May brings activity in all price points/ property types. This goes to early July.
  • The summer market includes early July to late September. It might be the busiest time for showings.
  • The late Fall Market can be active, even with changes in weather patterns.

People do buy throughout the year, but it is true that most sales action occurs between mid-March to late October. There is no local market, and since 2016 most buyers have come from Vancouver/Lower Mainland. Low inventory continues to be a factor in Vancouver Island communities, on Salt Spring and the Gulf Islands, and on the Sunshine Coast. This lack of housing, in spite of governments welcoming immigration, is not easily solved. Some government measures to add to housing stock will have very limited outcomes and could be described as ineffective. It is expected that lack of housing pressures will continue past 2030. Hmmm……

Property Types and Buyer Preferences

It’s interesting that most options below one million, on Salt Spring, are townhomes. These strata listings are not always what a seeker for a Salt Spring lifestyle is looking for. Single family homes are few & far between, below one million. Many potential buyers are looking for:

And so on. It can take three visits before a sale is accomplished. The buyer also has to choose “for” Salt Spring as well as for a specific property.

Market Outlook

So, low inventory continues. More buyers are willing to act with an offer in 2024, and price escalation is projected by the summer season. It may not be bidding war territory, but it remains a sellers market.

More information? Contact me. Your best interests are always my motivation.

default

Enjoying Salt Spring Island

May…an important anniversary for ArtSpring. ArtCraft at Mahon Hall is getting ready for the season. Ganges Galleries are presenting new works, and coffee stops that showcase artists are welcoming one. New restaurants are there to try and Hastings House, Auntie Pesto’s, and Rock Salt remain faves.

Beachcombing, sailing races, paddle board and kayak adventures, whale watching…walking/hiking trails beckon…Ruckle Park picnics…restorative spa experiences, amazing Saturday Market…yes, it’s Spring-into-Summer and time to jump in. Enjoy!

Salt Spring Island, February 2024, Market Analysis

February in the Pacific Northwest Coast Real Estate Market

February often starts the early Spring market on the Pacific Northwest Coast. The trend for 2024 might not be evident till March Break, but February introduces the early activity.

Salt Spring Real Estate Market – Early February

What do we see in the Salt Spring real estate market at this very beginning of February? The song of thin inventory continues. This is a theme seen in competing Vancouver Island communities…lack of listings is not just a Gulf Island issue.

Why Owners Hesitate to Sell

There are many reasons for owners not wanting to be sellers. That flight from urban to rural, post-pandemic, continues. It may be about a desire for safety. Geopolitical concerns are part of location decisions. A desire to be apart from city problems is a strong driver to action…a seeking of a “kinder gentler” lifestyle makes sense. There is also that “back to the land” component, where one can be self-sufficient if supply chains falter. These elements may propel buyers, but they also stop owners from becoming sellers…they are already enjoying these elements. IF they thought of selling, they would discover they can’t find a replacement property elsewhere…no inventory…and so it goes.

Gulf Islands Governance and Real Estate

Under the Gulf Islands form of governance (Islands Trust, with a mandate to “preserve and protect” the environmental beauties of the Gulf Islands for the benefit of all B.C. residents), in place since 1974, a buyer purchase/investment is ensured to remain as purchased. In this era of extreme change, this continuation of what one fell in love with, and purchased, is a strong feature of decisions to invest on a Gulf Island.

Ganges

Market Dynamics and Future Trends

It’s also a recipe for price escalation. Will we see multiple owners as a buyer profile, going forward, so that one can enjoy ownership of a Gulf Island property? Hmmm….there are always work-arounds and creative ownership models may be one outcome to encourage the opportunity to own, as prices rise and inventory remains static.

A February 2024 Market Analysis On Salt Spring

So: the very beginning of February shows continuing low inventory, with buyer interest showing up in all price ranges and property types, and now with a sense that one needs to act. The pauses in action, seen in 2022 and 2023, appear to be over. Oddly, this increase in activity began in November 2023. The interest rate fluctuations remain a factor in buyer outcomes. Those having to renew mortgages in 2024 and 2025 will also be making decisions as to whether to hold or to sell. Lack of inventory to buy or to rent may decide people to struggle on with current ownership.

Real Estate as Capital Preservation

Many on both sides of the seller/buyer divide are seeing real estate as a way to preserve capital. Concern about erosion of purchasing power of currencies has people thinking about how to retain value in their holdings.

Anticipating Future Outcomes

Lots of outcomes still waiting to be formed…it’s very early in what promises to be a busy year. It’s a good idea to attend seminars and financial webinars…all information is helpful in times of change. And also keep an eye on AI…implants that allow one’s thoughts to effect change? Hmmm…. Mid-Feb welcomes the Year of the Wood Dragon in the Asian Lunar New Year. The western zodiac sees Pluto in Aquarius, a line-up not seen since the French Revolution. Recipes for change? Keep your editing function fired up.

Exploring the Local Area in February

So: February. Check the garden…early bulbs and shrubs are flowering forward. Give yourself the gift of new…zip off to Victoria or Sidney and look at a different set of walls. Remember the Cowichan Valley…on our doorstep and lots to see and do there. Beaches to explore at Parksville/Qualicum or all the way to Tofino. Check out our close neighbours, the other Southern Gulf Islands…each with their own signature. A day trip makes us glad to get back to Salt Spring’s many charms. Family Day holiday weekend in mid-February invites us to sample other nearby spaces. Lucky us…adventure on!

Salt Spring Island, October 2022, Market Analysis

October is beginning with a continuing long late summer weather pattern. The beauty of this harvest season is visible everywhere on the Pacific Northwest Coast.

It’s also the civic election time in B.C. (every four years), and it seems that all communities are seeing many people running for only a few seats…many more people are wanting to be involved than there are available spaces.   Salt Spring is no exception.

Usually, civic/community elections are lackluster…it’s provincial and federal elections that capture attention. The community level is very important, as it guides the day to day lives of those who live there. Important to get out and vote. Be informed.

Support the candidate that reflects your views. Those elected will be in place for the next four years.  The Gulf Islands form of governance (Islands Trust) means each island votes for two trustees and also for a CRD director. Apathy is not a choice in 2022.

October is the Canadian Thanksgiving month…an authentic Harvest season. It’s the perfect time to be a visitor on the Gulf Islands.   The micro-climate on these islands supports vineyards, wineries, cideries, farmers markets, and the park hiking/walking trails beckon. Galleries showcase the artistic culture that creates the ambiance of the Gulf Islands.

The real estate market?   Low inventory remains a factor.   Sales do take place in all price ranges.   The frenzy market of 2021 is over, but buyer inquiries remain strong.   Uncertainties create hesitations, but action is still happening.   There are both price reductions and also new listings that come onstream with higher than expected pricings.

The key to all markets is supply and the flight from urban to rural remains a key demand motivator in deciding for a purchase of a country property.   Increased interest rates do affect first time buyers, and hesitations/pauses in action are a feature, but sales activity remains consistent in many secondary home locales.   More information on current listings and sales on Salt Spring Island, as the market evolves?   Contact me for updates.   Thank you.

Meantime: it’s October…a month for star-watching as the days shorten and crisper evenings invite us to watch our skies.   The annual Apple Festival on Salt Spring, the Thanksgiving holiday weekend, the gallery openings and receptions, the ArtSpring events, the switch to Sunday races at the Sailing Club, the Saturday and Tuesday farmers markets, the olive grove and vineyard and apple orchard harvests and creation of new wines/new ciders…this is a time of beauty and the gift of restorative Nature.
The ease of the Fall Season is with us.   Enjoy!

Salt Spring Island, August 2022, Market Analysis

Something we know for sure: the 2022 real estate market is very different from the 2021 pattern.

Buyers have not lost interest in a Salt Spring or Gulf Islands property purchase.

The desire to experience the rural lifestyle, to be “apart” from city issues, to be self-sufficient, all remain as the base lines of such interest.

Salt Spring Island

Salt Spring Island

Buyers are hesitating on the way to making a decision. The bidding frenzy (for five months) seen in 2021 has long gone.

Fear is the archtypal inhibitor.

Rising interest rates, inflation impacts, supply chain woes, wars and rumours of wars, currency worries…these all create a safe haven seeking. Yet action can stall.

When to hold? When to act? Are prices going down? If I wait, will a seller be more inclined to listen to my offer? Is it a buyer’s market now? Uncertainty brings a treading water pattern.

Note: classic sellers market means few listings and many buyers. Classic buyers market means lots of listings and few buyers.

Listing inventory is rising very slightly. At the moment, there are still few available listings as soon as one separates out by property type and price point. There is not a large spill-out of property opportunities. Inventory is best described as still “thin”.

Some owners are removing listings from the market; they are wanting to hold their Salt Spring and Gulf Islands assets. In inflationary times, real estate keeps pace.

Salt Spring Island

Salt Spring Island

Others, remaining as sellers, will counter at full price or close to it when an offer does come in. If their property has no competing parcel, then more than one buyer may come forward. This means the buyer still has to come towards the seller.

None of this sounds like a big market correction or a segue into a full buyers market. In a buyer considering an outcome, there are bound to be pauses. A flat line pause is not a downward spiral. So…in August (and summer is a slower season as people are on holiday) 2022, it can perhaps be described as a thoughtful market.

Thoughtful is good. It allows time for a buyer to do due diligence, to have subject conditions on an offer, to be satisfied on the purchase. It also allows time for the seller to consider right pricing. A seller once again needs to prep to sell at optimum.

Price is the only thing a seller is in control of. A buyer decides the where and the when of a purchase. It is always a two step dance between a seller and a buyer.

We may have to wait until the end of October to see the outcome of the 2022 summer season market. The entire year to date has seen a 6 to 8 week delay in many instances (weather, gardens, markets). 2022 is slower than 2021…perhaps it’s more like 2019 (pre-pandemic)…but it may not be the expected “correction”. Important to keep an eye on things, perhaps weekly. Change is just a part of the 21st Century surround sound…shift is with us.

More information on the current Salt Spring and Gulf Islands real estate market? Look forward to connecting with you.

Salt Spring Island, August 2022, Thoughts & Market Musings

The Gulf Islands & The Beauty Shimmering Around Us

Salt Spring and the Gulf Islands breathe blue, that lovely French blue palette, of sea and sky. You know…the hue that makes us dream.

It’s a short season. Remember your Omar Khayyam (“the bird is on the wing”), and give yourself permission to enjoy this season’s ease….

A kayak meander here, a sunset beach there, a drifting across a lake on a paddle board, an ice cream cone on a dock, a coffee at a seaside patio with a view…pack a picnic and scamper down to Ruckle Park (always a good place to start).

The ferry goes back and forth, to and fro, and the floatplanes chortle in and out. The Harbour ripples through the marina.

Somewhere out there, beyond the horizon, everyday concerns pile up…summer-summer turns away…later is the mantra. It can all wait.

Right now, a seal slides past, an eagle ponders from a tree, and summer smiles over Salt Spring…enjoy.