Victoria is starting to steal Vancouver's thunder.

Vancouver has been a hot market for a while, with luxury home prices soaring 25% in 2015 creating affordability concerns and leading buyers to look for a cheaper alternative.

"Victoria has a lot of the same things you want from that market: proximity to Asia, waterfront, but also the same stable government, financial institutions and great academic institutions," said Conn.

Related: Did San Francisco's housing market finally peak?