As the summer months of 2022 wind down, there have been a few important takeaways for those living in Southern Ontario when it comes to the current Real Estate Market. Overall homes are staying on the market much longer than last August, and most areas are starting to see softer prices, but the average sales prices in most areas remain steady year over year.
August overall saw much more inventory hitting compared to last year, with the exceptions of Newmarket and South, which have been tighter for inventory. However, it should be noted that inventory levels last year were uncharacteristically low, with more regions starting to stabilize compared to years prior.
Home sales are down across all regions in Southern Ontario. Compared to August 2021, most areas have decreased from 20% to 50%, with Wasaga Beach seeing a decrease in sales by 60%. Some of this may be hesitancy from buyers due to the interest rates increase.
Ontario sellers have to prepare for homes spending longer periods on the market. The average days to sell across the board have increased. Areas South of Newmarket have been selling at an average of 20-25 days, while areas north remain on the market for 30-50 days on average.
Prices may have softened slightly compared to 2021, but the majority of the markets in Ontario have not seen a dramatic decrease in value. Homeowners who have purchased several years prior still see gains on their investment, even as the market correction has occurred.
In August, Barrie and surrounding areas saw a surplus of new listings hit the market compared to 2021. With 601 new listings, inventory is up 53.7% compared to August 2021. Despite the inventory levels, home sales are down 21% compared to last year, and homes are staying on the market much longer than August 2021. Homes in Barrie are selling at an average sale price of $777k and in an average of 45 days.
Orillia and the surrounding areas saw 244 new listings hit the market in August, a 37.9% increase in inventory year-over-year. Like most areas in Southern Ontario, home sales are down 27.5% compared to August 2021, despite the increase in inventory. Prices in Orillia and surrounding areas have remained relatively steady compared to last year, with the average sale price at around $768k, which is 3.9% lower than in August 2021. In addition, homes are staying on the market 23 days longer than last year, with homes selling firm in 46 days on average.
Alliston and the surrounding areas saw a sizable increase in new listings in August 2022. In August, 179 new properties hit the market, which is 58.4% more new inventory than last year. This contrasts the 31.2% decrease in home sales year-over-year, with just 64 homes sold in Alliston and surrounding areas last month. The average sale price has dipped slightly compared to the previous year, but homes in Alliston are still selling at an average of $913k. Overall, homes remain on the market for eight more days compared to last year, with homes going firm in an average of 29 days.
Midland and surrounding areas saw a minor increase in inventory when stacked up against other regions. With 162 new listings going live on the market, this is 7.3% more inventory than August 2021. Midland is one of the areas most affected by this market correction regarding the average sale price. The average sale price in Midland and surrounding areas to $615k, down by about 18.4% compared to last year. Like most areas in Southern Ontario, homes in this area are selling firm in an average of 48 days, which is 22 days slower than August 2021.
August saw 293 new listings available for Collingwood and the surrounding area, up 19.1% compared to August 2021. Despite this influx in inventory, home sales are down 48.8% compared to last year, with only 111 properties sold last month. The average sale price for Collingwood and surrounding area properties was $830k, which is a 7.7% dip compared to last August. Year-over-year, Collingwood homes are taking 19 days longer to sell, with homes going firm in 51 days on average.
Wasaga Beach saw 29.8% more new listings in August 2022, compared to August 2021, with 87 new listings available. However, with only 26 home sales, home sales are down 60% compared to last August. Prices have held steady in Wasaga Beach, with August 2022 only seeing a 2.5% dip in the average sale price, around $705k. Homes are also sold firm at a slower pace in August, with homes selling firm in 51 days.
Newmarket is one of the few Real Estate markets in Southern Ontario that saw a decrease in new listings compared to last year. With 125 new houses going live on the market, this is 14.4% less new inventory than we saw in August 2021. What has been consistent with most of Southern Ontario is that fewer homes sold in August than last year, with just 83 homes sold. This is a 38.5% decrease in sales year-over-year. The average sale price in Newmarket was $1M, dipping by 8.5%. Homes are selling slightly faster in Newmarket compared to areas further North, with homes selling firm in 23 days. However, this is still 12 days slower compared to August 2021.
The Vaughan Real Estate market has remained relatively consistent compared to other markets south of Newmarket, Ontario. Less inventory has trended year-over-year, with 465 new homes available at a 14.2% drop compared to August 2021. Home sales are down by 38.6%, with Vaughan seeing 261 home sales. Prices in Vaughan have marginally softened, with the average sale price around $1.2M, just a 2.5% decrease in value compared to this time last year. Homes are spending approximately 6 days longer on the market in Vaughan than they did in August 2021, with homes selling firm in 24 days in August 2022.
Listing your home with Exceptional Marketing is imperative for those looking to sell their home in 2022. Working with an agent that cuts corners regarding staging, photography, and digital marketing will only ensure that your home gets overlooked amongst the additional inventory. With the increasing interest rates, buyers are more selective and have more negotiating power. Choose a Professional, Loving, Local Realtor® who will go full out® for the sale of your home and don’t settle for anything less than the Best Real Estate Experience Guaranteed.
If you have been holding out for the right time to buy your first home, now is a great time to make the move, particularly for those looking North of the GTA. With plenty of inventory and a stabilizing in prices, there is plenty of opportunity to find your first home. Make sure that you choose a Real Estate team to help you find the best home for you and speak to one of our Licensed Mortgage Professionals who will help you navigate the interest rate increase and find the Best Mortgage Solution that works for you.
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