Victoria

Let’s get this out of the way: Victoria isn’t some quiet town with one stoplight. It’s a core, high-volume market for us, a city of over 90,000 that’s grown more than 7% in recent years. From a lender’s perspective, the city is built on an exceptionally stable foundation, making it a predictable and reliable place to deploy capital. When we look at a deal here, we see a mature market with fundamentals you can bank on.

The economic drivers are exactly what an underwriter wants. The top three industries are healthcare, public administration, and professional services. These are not boom-and-bust sectors. With the provincial government, the military, and a major university as employment anchors, a huge slice of the local economy is insulated from the commodity cycles that hammer other western towns. This stability is reinforced by a highly educated workforce-nearly half the adult population has a bachelor’s degree or higher, which fuels that strong professional services sector.

Demographically, you probably know the story. Victoria is a magnet for retirees, a fact backed by the numbers: over 23% of the population is 65 or older. This creates a constant influx of buyers with significant equity from more expensive markets like Vancouver or from colder provinces. They aren’t just looking for a place to live; they’re buying a lifestyle. The famous mild climate is getting even milder, with data showing a significant warming trend over the last 30 years. Add in short commutes and ocean access, and you have a desirability that puts a solid floor under property values. Even in a slump, there is always a buyer for a well-located property here.

The physical reality of the market is land constraint. Being on the southern tip of Vancouver Island means there is no room for endless sprawl. Development is almost entirely infill and densification. That’s why single-family homes make up less than 14% of the housing stock, while apartments account for nearly half. This enforced scarcity keeps constant upward pressure on prices and ensures that property holds its value. We see a lot of deals here for bridge financing as people downsize, or second mortgages for renovations and debt consolidation.

This unique combination of a stable employment base, a constant stream of equity-rich buyers, and geographical constraints gives us the confidence to lend. The exit strategy is clear and the timelines are predictable. That’s why Victoria is one of the few markets where we will go up to a maximum LTV of 70.0% on the right property. It’s a prime market for our kind of common-sense, equity-based lending.