The housing market in Sidney, the Saanich Peninsula, and Greater Victoria continues to settle, creating a more balanced environment for both buyers and sellers.
CMHC expects home sales to pick up in 2026, but activity is forecast to remain below historical averages as the economy grows slowly. Locally, this means more thoughtful buyers, steady demand, and fewer pressure-driven decisions.
More Choice for Buyers
Inventory levels remain elevated across Greater Victoria, including Sidney and Peninsula communities. This is giving buyers more options and time to make decisions. Prices are expected to stabilize in 2026, with only modest increases, as higher supply keeps strong price growth in check.
Well-located homes in established neighbourhoods continue to perform best, while entry-level prices are expected to remain relatively steady.
Rental Market Is Easing
Rental conditions in Victoria and surrounding areas have softened. Vacancy rates are higher, and rent growth has slowed significantly. This shift is improving affordability and giving tenants more flexibility. As the gap between renting and owning narrows, some renters may consider making the move to homeownership.
New Construction Slowing
New home construction across Greater Victoria is expected to slow, particularly condominium projects, due to higher costs and weaker demand. Purpose-built rental construction remains a key source of new supply, but even this segment is beginning to moderate as vacancy rates rise.
Population Growth Falling In Greater Victoria
Population growth in Greater Victoria has fallen to levels not seen since 2011. While more restrictive federal immigration policy and lower international migration were major contributors, so too was reduced domestic migration.
Bottom Line
For Sidney, the Saanich Peninsula, and Victoria, 2026 is shaping up to be a steady, balanced year. It’s a market that rewards good preparation, realistic pricing, and careful decision-making — a healthier pace for everyone involved.