Momentum Builds Towards a Better Spring Market
Real estate sales increased in February, gearing up towards a solid, Spring market. Sales volume jumped 38% to 745 units from 539 units in January. On a year over year basis, sales were up 25% from 2023!
New Listings also jumped by 47% from the previous month; from 828 to 1,217 units across the Region. On a year-to-date basis, the jump was 15% compared to the same period last year. The increase in inventory presented more choice for Buyers but, with the sizeable increase in sales, the most desirable properties were getting multiple offers, mainly in the price ranges below $900,000.
Interest rate increases have stalled, creating optimism in the market. Buyers who sat on the sidelines for over a year want to find a home, especially with astronomically high rents showing no signs of slowing. Many Buyers have saved more money for a down payment over the past year, somewhat off setting the higher rates.
The Market in Durham Region sat at 1.1 Months of Inventory, down slightly from 1.4 Months in January. Average Sale Price was up slightly, from $894,825 in January to $919,017 in February and up 2% from $886,908 recorded in February 2023. Year-To-Date Total Dollar Volume really took a leap of 33% over last year, across the Region with Oshawa (42%) and Whitby (41%) leading the pack!
Average Days On Market also declined from 33 Days in January to 20 Days in February, showing pick-up in the pace of the market. The Average Sale Price/List Price percentage increased from 99% to 102% month over month and, the Sales To New Listing Ratio came in at 61.2%, slightly favouring Sellers and making things a bit more challenging for Buyers.
Momentum will continue to build. We’re busy doing Market Appraisals and Seller/Buyer consultations, so we see the action before it translates to the streets. One thing we lose sleep on is “affordability.” It’s an on-going issue at every level of government. We’d love to see an increase in Amortization Rates, allowing first-time buyers more options for affordable mortgage payments, yet no one in government is speaking to this issue.
If your mortgage is coming up, please get mortgage advice. Banks are offering early renewals which, in a market of future declining rates may not be the best choice for you. We can put you in touch with some excellent lenders who have your best interests at heart.
Reach out anytime to: team@willowsgroup.ca
