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CPABC: Greater Victoria’s strong population growth and lack of housing supply driving prices to new highs

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VICTORIA, British Columbia, June 16, 2021 (GLOBE NEWSWIRE) — In keeping with BC Examine-Up: Reside, an annual report by the Chartered Skilled Accountants of British Columbia (CPABC) on demographic and affordability tendencies throughout the province, the Capital Regional District (CRD) added 5,651 new residents in 2020, bringing the whole inhabitants to 425,503.

“Whereas inhabitants progress slowed reasonably in 2020 because the COVID-19 hampered worldwide migration, the area noticed a a lot smaller decline than for the province as a complete,” stated Lindalee Brougham, FCPA, FCA, FCGA, principal at Grant Thornton LLP. “The area has welcomed a sturdy variety of new residents over the previous 5 years, primarily from different components of the province and nation.”

The area’s inhabitants grew by 6.2 per cent from 2016 to 2020. Of the whole enhance in 2020, 60 per cent got here from different provinces with a web acquire of three,396 residents, whereas almost 1,800 further residents arrived from different components of British Columbia.

The slowdown in 2020 was principally attributable to fewer non-permanent residents, comparable to college students, coming to the area from exterior the nation in comparison with in 2019. The area’s inhabitants progress has additionally been hampered by declining pure progress, with mortalities exceeding births by 887 in 2020.

“With an getting old inhabitants and the bottom fertility fee in Canada, Larger Victoria depends on migration to develop its inhabitants,” famous Brougham. “The area has been lucky to draw a lot of residents from different components of Canada and internationally. We should additionally guarantee there’s sufficient housing provide for present and future residents.”

Over the previous 5 years, 33,303 new residents got here to the area whereas the quantity housing items accomplished was simply over 14,650. Though the variety of items accomplished has elevated in recent times, with 4,044 items accomplished in 2020 in comparison with 1,787 in 2016, the variety of bigger items accomplished has been comparatively flat.

“It’s encouraging to witness the appreciable building exercise underway, however the kind of unit accomplished has more and more been smaller, hooked up items comparable to condos and townhomes which can be changing older, bigger housing inventory. In 2020, 4 out of each 5 properties constructed have been hooked up items in comparison with simply over half in 2016,” continued Brougham. “As seen in current worth will increase, the dearth of bigger items is placing stress on household properties.”

Throughout Larger Victoria, the common single-family house offered for $932,300 in Might 2021, up by 19.3 per cent in comparison with Might 2020. The typical worth for an house offered in Might 2021 was $513,400, up by 7.0 per cent over Might 2020.

“Housing costs are quickly growing because of file low rates of interest, surging demand for more room, and insufficient housing provide,” concluded Brougham. “Given our getting old demographics, it will likely be more and more vital to draw households to the area. As we glance to the longer term, it’s vital to maintain ramping up provide to make sure housing is extra accessible and reasonably priced.”

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About CPA British Columbia
The Chartered Skilled Accountants of British Columbia (CPABC) is the coaching, governing, and regulatory physique for over 37,000 CPA members and 5,500 CPA candidates and college students. CPABC carries out its main mission to guard the general public by imposing the best skilled and moral requirements and contributing to the development of public coverage. CPAs are acknowledged internationally for bringing superior monetary experience, strategic pondering, enterprise perception, and management to organizations.

For extra data: Vivian Tse, Supervisor, Communications 604.488.2647

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