Welcome to the latest market update for Salt Spring Island's real estate. This report provides a comprehensive overview of the current trends and statistics for both buyers and sellers in our unique property market for August 2024. Whether you're considering buying a home, selling your property or just keeping up with the local market, this update offers valuable insights.

Current Market Overview

Residential Properties

includes single family homes, townhouses, manufactured homes and recreational properties.

New Listings

• Total new listings: 26

• Average listing price: $1,501,381

• Median listing price: $1,470,000

Sales

• Total properties sold: 9

• Average sale price: $791,133

• Median sale price: $612,000

Current Inventory

• Total available listings: 125

• Percentage change from last month: up 6% from 118 in July

• Prices range from $474,900 for a 1/2 interest in a property to $8,650,000 for a gorgeous home on 30 acres.

Land Properties

New Listings

• Total new land listings: 5

• Average listing price: $458,200

• Median listing price: $425,000

Sales

• Total land sold: 2

• Average sale price: $742,000

• Median sale price: $742,000

• The two lots that sold had above average listing prices

Current Inventory

• Total available land listings: 35

• Percentage change from last month: up 3% from 34 in July

• Prices range from $115,000 for a recreational lot for an RV to $2,350,000 for 5.98 waterfront acres with two titles.

Market Analysis

We have shifted into a buyer's market on Salt Spring Island. The number of active listings has increased to 160 at the end of August, and total sales for that month were 11. At these rates there is more than 14 months worth of inventory available.

This gives buyers have an opportunity to shop and compare at their leisure with reduced pressure to buy. They are searching for the value leader in their price range.

Some property prices are adjusting downward as a result of where the current market is. There were 23 listings with reductions on the asking price in August and 4 additional properties were relisted at a reduced price.

Sellers can only respond to what the marketplace gives us. We may think we are right, but if the price is too high or the property isn't in demand, buyers won't make offers. A price reduction shows that sellers are serious about getting a deal and not just testing the market—it encourages offers from potential buyers who might otherwise have been hesitant to make one.

But not all is negative ... we are a small market and things can change quickly.

The Bank of Canada announced its third interest rate cut of the year, lowering rates by another 25 basis points to 4.25%. This brings the overnight lending rate down by a total of 75 basis points in just three months. So far, the impact of the first two rate cuts has been minimal on the real estate market. As we enter fall, this third interest rate cut could spark renewed buyer interest by increasing affordability.

There are active buyers looking and prepared to offer when they find a property that appeals to them. The beginning of September saw a increase in showing requests and hopefully we will see some sold properties in the next few weeks.

Advice for Buyers and Sellers

Buyers

Our top recommendation is to use local experienced Salt Spring real estate agents like the Salt Spring Team. June and Scott have lived here for 23 years. We have helped buy or sell homes on most streets and stratas. We know all the areas and know about the local bylaws, building restrictions, zoning, water districts and other valuable information that you will need to make informed buying or selling decisions.

Sellers

The properties that sell are the best deal in their category. How do you it make it more attractive to sell? Either make it easier for buyers or make improvements.

Make it easy for buyers to love your home. Remove the clutter, freshen up the paint, complete small repairs and maintenance.

Provide as much information as you can. Have documents available for review including building permit report, water test, well report, heritage. Depending on the age of the home, septic and pre- home inspection reports can provide an edge and encourage an offer. Buyers buy when they have all the information. When basic information is missing or does not add up buyers go to the next home on their list.

Looking forward

The market has been moving, twisting and changing for more than a year. The heady days of the COVID market and post COVID honeymoon period have ended. We are in a time of adjustment as the market tries to find its footing and a new balance.

Because sometimes, less is more, and other times, it’s just not enough.

The question of whether downsizing or upsizing is the right move is arises frequently in discussions with friends, neighbours and clients. We understand that the decision to change your living space isn't just about square footage; it's about how that space serves your life, your goals, and your connection to the Salt Spring community. Here are a few things to consider, blending professional insight with neighborly advice.

The Case for Downsizing: Embracing a Streamlined Lifestyle

The Charm of Minimalism

A less cluttered space offers not just physical ease but a mental clarity that many find liberating. If the idea of a simplified, efficient living environment appeals to you, downsizing could be the perfect fit, allowing you to live more freely with less.

Eco-conscious Living

Our commitment to the environment runs deep on Salt Spring Island. Opting for a smaller dwelling aligns with this ethos, offering a sustainable lifestyle that reduces your ecological footprint while potentially easing financial burdens in terms of utilities and maintenance.

Community Connectivity

The essence of Salt Spring Island is not found in expansive personal spaces, but in the rich tapestry of our community interactions. Choosing a smaller home can enhance your engagement with neighbors and local events, fostering a sense of belonging and togetherness that defines our island life.

The Benefits of Upsizing: Expanding Your Possibilities

Room to Grow

Life's changes often require more space—be it for family expansion, hobbies, or entrepreneurial ventures. Upsizing affords you this flexibility, ensuring that your home can adapt to the evolving needs of your household or burgeoning business.

Dedicated Workspaces

The shift towards remote work underscores the value of having a dedicated home office. Upsizing to accommodate this can drastically improve work-life balance, enhancing productivity and providing a serene backdrop for your professional endeavors.

Hosting and Entertainment

For those who relish in hosting gatherings, from intimate dinners to vibrant celebrations, a larger home offers the space and amenities to entertain with ease, setting the stage for unforgettable memories with friends and family.

Considerations for a Wise Decision

Financial Prudence

Any move, whether upsizing or downsizing, must align with your financial reality and goals. It's prudent to consult with a financial advisor to ensure your housing decision supports your overall fiscal well-being.

Future Prospects

Reflecting on your future lifestyle aspirations and potential changes can guide your decision. Whether you envision a bustling household or tranquil retirement, your home size should reflect your anticipated future needs.

Lifestyle Compatibility

Ultimately, your home should complement your lifestyle—not complicate it. Consider your daily routines, hobbies, and social habits when deciding between a larger or smaller living space.

Navigating Salt Spring Island's Unique Housing Landscape

Local Regulations and Landscape

The unique zoning laws and natural landscape of Salt Spring Island may influence your ability to expand or modify existing properties. Familiarity with these restrictions is essential for making an informed decision.

Market Dynamics

Understanding the nuances of the Salt Spring Island real estate market is crucial. Whether downsizing or upsizing, consider how your property's value may be influenced by local demand and market trends.

As you contemplate on whether to downsize or upsize on Salt Spring Island, remember that this choice is deeply personal and reflective of your current needs, future ambitions, and connection to our community. Whether seeking a cozy nook or a sprawling domain, June and Scott are here to support and guide you through this journey with a wealth of local knowledge.

If you have any questions on anything real estate related, don’t hesitate to contact us for more information.

Contact Scott & June

It's complicated! Here is a simplified answer.

The Islands Trust is a unique form of local government in British Columbia that was established in 1974 to protect and preserve the environment, land use planning and development on Salt Spring Island.

The Capital Regional District (CRD) on Salt Spring oversees services like building permits, some sewerage, some water districts and regional parks.

The Salt Spring Island Fire District is a local government agency that provides fire protection and emergency medical services to most areas of Salt Spring Island.

The BC Ministry of Transportation and Infrastructure (MOTI) is responsible for the construction, operation and maintenance of most roads on Salt Spring.

The Salt Spring Island RCMP is a detachment of the Royal Canadian Mounted Police (RCMP) that provides policing services on the island.

Look at additional blog posts for more details on our local government and service providers. We have the local knowledge and services to help you find what you need.