The end of the third quarter has ushered in cooler temperatures, brilliant colours and a subtle but interesting change in the real estate market.
The number of listings has steadily risen with a 3.9 percent increase year over year. This is good news as it offers more inventory for buyers and keeps the market competitive.
The Real Estate market in the Western Region of Southern Georgian Bay continues to hold its own. Sales in niche markets continue to be competitive as the number of listings continues to fall behind the demand. However, with the growth of new developments in the Western District, the availability is not as limited as in previous years, leading to a growth in the re-sale market, as individuals invest in the strong market. The average price of property has remained stable month to month and while not rising by earth-shattering amounts, it does continue to rise but only statistically at less than 1 percent from last year at the same time, in the Western District of Southern Georgian Bay.
Indeed, while THE NUMBER OF listings did inch up in the Western District of Southern Georgian Bay, the PRICES on properties remained, not only competitive, but slightly on the rise. Looking back at the 3rd quarter of 2018: The average price of property SOLD in September INCREASED by point 8 percent year over year. As well, the year-to-date average price was up 2.6 percent. This news bodes well for Buyers as the average market price is stabilizing AND there is slightly more inventory available.
Depending on the style of property and the price, the market seems to be adjusting to accommodate both Sellers and Buyers. The ratio of sales to properties listed to date in 2018 in comparison to the same time period in 2017 was down 9 percent which was reflected in the total number of properties available and therefore created more choice for Buyers. However, 55 percent of properties listed in September in our specific area were sold, so it is STILL a strong market for Sellers.
LISTINGS for Buyers continued to be limited, BUT NOT QUITE AS MUCH throughout the 3rd quarter. In fact, the number of listings year-over-year increased by 3.9 percent. While the number of listings was up slightly, the number of sales was down 16.1 percent in units. In fact, if the current rate of sales activity continues, the entire inventory would sell in less than 3.8 months in the Western Region of Southern Georgian Bay. This has remained constant throughout 2018 and is reflective of the strong market which continues to attract ALL buyers.
While the market shows some softening in other areas, Southern Georgian Bay is still in an upswing but clearly on a path to better balance for all parties. The reasons for this adjustment in the market could be 3 fold… new mortgage rules, higher interest rates and steeper prices. Investment in real estate in the Southern Georgian Bay Area is well worth considering as the area continues to grow and attract new businesses and increased services. Do you have a property to sell or are you interested in buying?