Sales increased by 44% over February and New Listings surged 44.9%, from 869 in February to 1,299 in March. Due to the increase in sales, the added inventory did little towards increasing affordability. In fact, the Average Sold Price increased by 4.2% from February to March.
The Average Sale Price came in at $926,142, an increase from February’s price of $888,448. Will this continue through the Spring season? The inflation rate in Canada decreased by the most in approximately 3 years in February which, if it continues, could lead to the Bank of Canada decreasing interest rates later in the year. Therein lies the Catch-22. A decrease in rates brings more buyers into the market, increasing demand and driving up prices. The only thing that could counter that trend is a substantial increase in housing inventory. This is an age old problem! As inventory goes up, so do the number of Buyers in the market.
We stood at 1 month of inventory acoss the Region with a Sales to New Listings Ratio of 66.5%, firmly back in Seller territory. This is important to know if you’re a Buyer. The Average Days on Market (the time it takes to sell a home) was 14 days.
Here’s a quick comparison of key metrics this year to last:
2023 2022
New listings year to date - 3,059 last year ytd - 4,962
Number of sales ytd - 1,855 last year ytd - 3,092
Average price ytd - $905,175 last year ytd - $1,182,272
For those folks who believe prices may decrease as the year progresses, I wish we had a crystal ball. We can say for the benefit of those Buyers trying to time the market that seasonality still plays a role. Over the years, July/August and December/January have traditionally
been the best months for Buyers.
For advice or information, give us a call at 905-442-5847 (Lisa) or email: team@williamsandfollows.com!
