The Cost of Living In Victoria, British Columbia on Vancouver Island

The Price You'll Pay To Live In Victoria, BC

Are you considering moving to our beautiful city of Victoria? If so, you may want to know more about the living expenses in this picturesque coastal city on Vancouver Island.

The cost of living in Victoria British Columbia is relatively high compared to other Canadian cities. Whether the cost of living in Victoria is worth it, depends on a variety of factors such as your lifestyle, income and personal preferences. Victoria is considered to be one of the most desirable cities to live in Canada due to its mild climate, beautiful natural surroundings and a vibrant cultural scene.

There are several reasons why it is more expensive to live in Victoria, BC than in other parts of Canada.

High demand for housing as Victoria is a popular city to live in due to its mild climate, natural beauty and culture.
Limited land availability as Victoria is located on Vancouver Island which is surrounded by water and mountains, limiting the amount of land available for development.
High cost of construction. The cost of building new homes and apartments in Victoria is higher than in some other parts of Canada due to the high cost of labor, materials and permits.
Tourism is a major industry in Victoria and the influx of visitors during peak seasons can drive up the cost of goods and services.
Provincial taxes are higher than some other provinces within Canada.

Other expenses such as transportation, food and entertainment are generally similar to other cities in Canada. Overall, the combination of all of the above add up to make Victoria an expensive place to live in Canada.

Income:

The average single person income is approximately $46K per year before taxes, dependant upon occupation, education and experience which falls in line with the national average. Victoria BC has a diverse economy, with job opportunities in various sectors, including technology, tourism, healthcare, and government. The unemployment rate in Victoria BC is 5% which is lower than the national average that currently sits at 6.2%.

Ultimately, whether the cost of living in Victoria is worth it depends on your personal priorities and financial situation. If you prioritize living in a beautiful and vibrant city with access to natural surroundings, then Victoria may be worth the cost. However, if affordability is your primary concern, there may be other cities or regions in Canada that are more suitable for you. While there are certainly more affordable places to live in Canada, the quality of life in Victoria can be worth the higher cost for those who value access to the city's unique amenities.

Housing:

A single-family home can cost around $800,000, while condos can range from $400,000 to $600,000. The benchmark value for the average Single Family home in February 2023 is $1,247,200 and for a Condominium the value is $568,200.

The average monthly cost of a rental housing for a single person is $1,725.

Housing costs in Victoria are particularly high, with the average price of a single-family home well above the national average. However, there are also a range of housing options available, including apartments, townhouses, and condos, which may be more affordable for some people.

Moving Expenses:

Moving to Victoria BC can be an expensive endeavor. Here is an itemized list of some of the moving expenses you can expect.

Moving Company: Depending on the distance and size of your move, a moving company can cost anywhere from $1,000 to $5,000.

Rental Truck: Renting a moving truck can cost around $50-$100 per day, depending on the size of the truck.

Packing Supplies: Boxes, tape, and other packing supplies can cost anywhere from $50-$200.

Insurance: If you are moving valuable items, you may want to consider purchasing insurance, which can cost around $200-$500.

Other Costs to Consider if you are Purchasing A Home:

Property Transfer Tax: The general property tax applies for all taxable transactions. You can find out further details at the link here by clicking on the BC Government logo.
You can also read more details from our blog on 'Property Assessments & Taxes'. Click on the image below.

The tax rate is:
1% of the fair market value up to and including $200,000
2% of the fair market value greater than $200,000 and up to and including $2,000,000
3% of the fair market value greater than $2,000,000
A further 2% on residential property over $3,000,000

Lawyer Fees: The average ballpark figure for a 'Purchase' with a mortgage including taxes and disbursements (land title fees, bank fees, courier charges, trust charges, search fees, software user costs) would be approximately $2,000. Title insurance is an additional fee which typically ranges from $200-$600. For a 'Sale' with on mortgage discharge including all disbursements and fees, the cost is approximately $1,500.

Additional Taxes: For information on additional taxes including 'Speculation Tax, Underused Housing Tax and Foreign Buyer Tax', please read our blog titled 'What taxes Apply To You'. Click on the image below:

On March 27, 2023, the 'Minister of Housing Diversity & Inclusion' announced amendments to the 'Federal Foreign Buyer Ban'. For the full details, click on the image below:

On the same day, the CRA also made changes to the Underused Housing Tax. See more details here:

Whether you're Renting or Buying, the following Expenses should be Considered:

Utilities:

The cost of utilities varies depending on the size of the home, the number of people living in the house and usage.

Garbage, Sewer and Water costs for a Single Occupant average an annual cost of $912 or $76 monthly. For a family of four the cost average $2,866 annually or $238 monthly.

Heating is dependant on what source you are using. In Victoria, most homes are heated by natural gas or electricity. Many homes are equipped with furnaces for forced air heating systems or boilers, but electric baseboard heaters are a popular choice for many as they are easy to install and use and can be controlled on a room by room basis. In recent years there has been a growing interest in alternative heating methods such as geothermal and solar. While these options are still relatively uncommon, some homeowners have installed geothermal heat pumps or solar panels to provide heat for their homes. The sole distributor of natural gas in Victoria s Fortis BC. Click on the logo for further details.

Electricity bills vary widely based on factors such as size of home, number of people, appliances used, energy efficient upgrades etc. BC Hydro claims that the average monthly cost of a single family home is around $120-130 monthly. It would be safer to budget between $175-200 monthly. BC Hydro offers various programs and rebates to help the consumers reduce their electricity bills. They also offer a breakdown of their rate charges on their website. Click the logo below for further details.

Monthly Grocery Costs:

The cost of groceries in Victoria BC is similar to other Canadian cities. The monthly grocery costs vary depending on the size of your family. The estimated monthly grocery costs for a single person is $200-$300 per month while a family of four is $800-$1,200 per month

Transportation:

Gas comes at a higher price on the island than most other parts of Canada. Gas is between 7-8% higher than the national average.

Victoria has an excellent public transportation system. The cost of public transportation ranges from $2.50 to $5.00 per ride, while monthly passes are around $85.00.

Insurance:

VEHICLE: ICBC Basic Autoplan insurance is the mandatory coverage you need for a vehicle in B.C. It helps ensure that all British Columbians who own and drive a motor vehicle here are protected with a basic level of coverage. You can estimate the average vehicle costing between $75-100 monthly for basic insurance coverage.

HOME: Westland Insurance is a common company that offers house, condo, seasonal and tenant insurance. For an average home in Victoria, you can expect to pay $100-125 monthly for home insurance.