February proved to be another strong month in our southern Georgian Bay real estate market and like the GTA, March is proving to be coming in like a lion. With the just-announced cut to the bank rate, we can expect continued high levels of activity in the foreseeable future.
Residential sales in our region are up by 19.8% year-to-date compared to last year and are close to echoing the conditions we saw during the frenzy in 2016 and early 2017. While the number of new listings has increased YTD by 14.%%, sales are up more so the months of inventory available is generally declining. Inventory of options for buyers continues to be a challenge with current offerings well below levels seen pre-2015 by half or more.
The average residential sale price in the region has climbed 13.4% in the region to $615,295 reflecting increased sales of higher-priced properties.
I have noticed that certain types of properties sell far more quickly than others. For example, condominiums with garages or those where short-term rentals are permitted, sell instantly with multiple offers. Properties in the downtown core of Collingwood are also in high demand as are lower-priced properties in all areas. More typical “middle-class” homes such as ones we see in subdivisions, are taking longer to sell reflecting perhaps the fact that many buyers in the region are not local, move-up buyers as much as people purchasing secondary or retirement homes.
All markets are local and variances are significant in our region. For example, by far the tightest market conditions are in Collingwood with just 2.8 months of inventory available compared to Clearview where we see over 7 months available. In Blue Mountain, the inventory of properties for sale is climbing significantly and now has 5.5 months available. While most areas are in relatively balanced market conditions, Collingwood, in particular, is clearly a seller’s market.
To see a detailed report that breaks down sales, inventory and home price data for Collingwood, Blue Mountain, Clearview, Meaford and Wasaga Beach, please click the following link: February-2020-Western-District.pdf