Area real estate sales reported through the MLS® system of the Georgian Triangle Real Estate Board (GTREB) slowed in the third quarter of 2010 vs the same quarter last year. Despite worries of a fragile economic recovery, the Bank of Canada again raised it’s benchmark overnight rate during this quarter to 1.00% on September 8th, 2010, which in turn translated to interest rate hikes for some retail mortgage lenders.
MLS® Statistics for the month of September 2010, reflect a softening in both number of listings and number of sales vs September 2009: 584 properties were listed on the local MLS® system in September 2010, vs. 616 in September 2009, a decrease of 5.2%; 169 properties sold in Sept. 2010, vs 188 in Sept. 2009, a decrease of 10.2%. Sales volume was $47,189,150 in Sept. 2010, vs. $51,358,520 in Sept. 2009: a decrease of 8.2%.
Quarterly, MLS® unit sales activity dropped 14.7%, with 532 properties selling in Q3 2010 vs 624 in Q3 2009; the resulting sales volume of $149,135,752 (Q3 2010) netted a 10.9% decrease over the $167,356,079 figure for Q3 2009. As reflected in the chart above, all price categories in Q3 2010 showed a marked decrease over Q3 2009, with the exception of the $500,000 - $999,999 range, which actually exhibited an increase (9.8%) in number of sales, with the most significant increase of 60% being in the $1,000,000 + range where 8 houses sold in Q3 2010 vs 5 sales in Q3 2009. Number of sales in the $0 - $249,999 range decreased a significant 20.2%, and the $250,000 - $499,999 range decreased 10.7% (Q3 2010 vs. Q3 2009). New MLS® listings totalled 1557 in Q3 2010, representing a nominal increase of 1.3% over the 1537 properties listed in Q3 2009.
Notably, annual MLS® sales of GTREB are up 9.8% to the end of September wherein 1,516 properties have changed hands year-to-date (YTD), surpassing the 1,390 properties sold same period last year. MLS® Sales volume of $430,145,706 (Sept. 2010 YTD) represents a solid 20.3% increase over $357,509,894 (Sept. 2009 YTD). As noted in the chart above, most price categories have seen an increase in number of sales Sept. 2010 vs. Sept. 2009. The exception is the under $250,000 price range: 808 vs. 855, or a 5.5% decrease; $250,000 to $499,999: 565 vs. 448, or 26.1% increase; $500,000 to $999,999: 120 vs. 75 or a 60% increase and in the over $1 Million category: 23 sales vs. 12 sales, or an increase of 91.7%. The above statistics only reflect market activity as reported by the MLS® system of the Georgian Triangle Real Estate Board and do not include additional sales by private sellers or new home sales made by developers and others.
The current Georgian Triangle MLS® sales-to-listing ratio reflects market conditions where approximately one in three houses listed for sale sell. The balanced market conditions of last quarter have tipped slightly in favour of a buyer’s market. Now is the time to enlist the help of your local REALTOR® for professional advice on pricing and marketing your home to best attract buyers. For buyers, your local REALTOR® can provide comparable sales data to help you make informed decisions when offering on your dream home, your first home, a commercial property and everything in between.
For more in depth analysis of a specific municipality, contact your Local REALTOR® of the Georgian Triangle Real Estate Board.
Information provided by the Georgian Triangle Real Estate Board, copyright 2010. E&OE.