The average price of homes sold in July 2017 was $333,591, rising 10.5% from July 2016.
Avg. Price Year-to-Date
The year-to-date average price was $344,209, up 23.6% compared to this time in 2016.
Units Sold in Month
161 residential units were sold in July, rising 22% from a year earlier.
Units Sold Year-to-Date
Year-to-date home sales numbered 1,109 units, up 22.5% from this time last year. This is a record for the seven months of any year.
Active supply continues to trend low although July provided the first increase in inventories since March 2013. There were just 280 active residential listings on the Board’s MLS® System at the end of July 2017, rising 12.4% from levels at the end of July 2016.
Months of Inventory
There was 2.2 months of inventory at the end of July 2017, up from 1.9 months at the end of July 2016, but still far below the long-run average for this time of year. The number of months of inventory is the number of months it would take to sell current inventories at the current rate of sales activity.
Market statistics are supplied by the Woodstock-Ingersoll and District Real Estate Board. For full statistics, visit the Board’s website.
My Market Outlook
Are we beginning to balance yet? After the record sales in the first 5 months of the year, locally we have noticed a trend to a more balanced market. I am seeing more listing price reductions and inventory levels rising. Although prices still remain higher than what we have been used to over the previous years, competition and buyer demand has seemed to level off recently.
It could be a summer swoon with a rebound coming in the early fall. It’s strange to have the market suddenly come to a halt although this could very well be the effects of recent government policies attempting to stem the huge price increases. Toronto has seen average home prices drop (click for article) drastically in the last 2 months and we usually see the trickle down effect soon afterwards. I know buyers would relish a more balanced market as I have had many buyer clients drop out of house hunting since they either couldn’t afford the prices or were fed up with offering on properties and always coming up short-handed. Hopefully the period of frustration for buyers may be coming to an end, or at least opening the window slightly for them to get back into the market. Sellers are still in a great position as home values have risen and continue to stay at a higher level than previous years. We will just have to wait and see if buyer demand picks up in the coming months and what effect it will have on pricing.