Real estate & housing in British Columbia - A 2025 guide for buyers, renters, and investors

British Columbia remains one of Canada’s most dynamic real estate markets. Driven by strong population growth, limited housing supply, and increasing migration, the province sees constant activity in both ownership and rental sectors. While affordability continues to be a pressing concern-especially in major urban centers-regional differences across the province offer opportunities for a wide range of homebuyers, renters, and investors.

 

Metro Vancouver: Expensive, competitive, and ever-growing

Metro Vancouver continues to be the epicenter of BC’s real estate activity. As of early 2025, average home prices in Vancouver are around $1.25 million for all property types, with detached homes still priced well above $2 million in desirable areas. Condos and townhomes offer slightly more affordable entry points, but rising mortgage rates and stricter qualification rules are slowing first-time buyer momentum.

Rental demand remains intense. One-bedroom apartments in central Vancouver now average between $2,600 and $2,900 per month. With low vacancy rates (around 1%) and limited new rental construction, tenants face tough competition and rising prices.

Victoria & Vancouver Island: Lifestyle-driven demand and rising prices

Victoria and surrounding communities continue to attract remote workers, retirees, and families looking for a gentler pace of life. As of 2025, Victoria’s benchmark home price is just over $900,000, with strong appreciation driven by limited inventory and steady demand.

Vancouver Island cities like Nanaimo and Courtenay are emerging as strong alternatives for buyers priced out of larger urban markets. They offer more space, access to nature, and relatively lower prices while still being close to major amenities and ferry routes to the mainland.

Interior and northern BC: Affordable growth regions

Inland BC continues to attract newcomers due to more affordable real estate and quality of life. Kelowna remains the largest and fastest-growing city in the Interior. Its benchmark home price sits around $760,000, though lakefront and central neighborhoods command much higher values. Kelowna is a growing tech and tourism hub, with a strong rental market and high student demand due to UBC Okanagan.

Prince George, Kamloops, and Castlegar also offer opportunities for affordable living, particularly for families or remote workers seeking space and nature. However, smaller markets are seeing rapid appreciation as buyers leave high-cost regions.

BC’s rental market: Low supply and high pressure

Rental housing in BC remains under extreme pressure. Vacancy rates across most urban centers remain below 1.5%, and rents have increased steadily for the past three years. Provincial rent caps in 2024 and 2025 have provided some relief—rent increases are currently limited to 3.5% for existing tenancies—but do not apply to newly listed units.

Vancouver, Burnaby, and Victoria lead in rent prices, while smaller cities like Kelowna and Nanaimo are catching up. Secondary suites, basement rentals, and laneway homes are increasingly popular, with many municipalities relaxing zoning laws to allow for more density and rental options.

Government policies and affordability measures

The BC government continues to roll out housing reforms to tackle affordability. As of 2025, new zoning legislation requires municipalities to allow multiplex homes (up to six units) on single-family lots, especially near transit and urban cores. The province is also investing in non-market housing projects and supportive housing initiatives.

On the financial side, programs like the First-Time Home Buyers’ Program, BC Home Owner Grant, and property transfer tax exemptions remain in place. Foreign buyer restrictions introduced nationally in 2023 have been extended through 2025, limiting international investment in residential properties.

Speculation and vacancy taxes are still enforced in major urban regions to prevent long-term vacancies and encourage local ownership. The federal mortgage stress test remains a factor in buyer eligibility, especially for younger buyers or those with smaller down payments.

Things to know before buying or renting in BC

If you’re planning to enter BC’s housing market, it’s essential to research your chosen region thoroughly. Urban areas may offer better amenities and job access but come with higher costs. Smaller cities and towns may provide savings but limited services and employment options.

Work with a licensed realtor and mortgage broker familiar with BC’s market conditions. For renters, prepare application documents in advance, including employment verification and references. For buyers, understand your long-term affordability, as interest rates remain elevated in 2025.

Final thoughts

Real estate in British Columbia continues to evolve, shaped by market forces, population growth, and government action. While affordability challenges persist, new policies and shifting demographics are creating opportunities-especially in emerging regions outside of the Lower Mainland.

Whether you're buying your first home, relocating, or investing in the province’s future, BC offers a diverse landscape for housing. From urban condos to mountain retreats, there’s a place here for every lifestyle-if you know where and how to look.