I’m sitting here tapping my pen on my head trying to figure out the November statistics for the real estate markets in Collingwood, Clearview, Wasaga Beach, Blue Mountains, Grey Highlands and Meaford. We’re seeing some interesting facts and contradictions:
- Year-to-date sales are down 13% due in large part to a shortage of inventory and climbing prices, sales in November were down 22.6% compared to last year; ahead of the curve
- The sales to listing ratio dropped for the first time but yet it is still significantly higher than most months this year and still in Seller’s market territory
- The monthly dollar volume of those sales is the lowest point it has been at since January, 2017 but is still up from 2016 year-to-date
- The average sale prices are up in all of the communities in the region with the average sale price up more than 20% in the last year
Are sales down due to fewer available listings? Are higher prices knocking some Buyers out of the market? Or are we just following a seasonal trend given that the year to date sales to listing ratio has remained stable?
It’s hard to sort this one out with so much conflicting data. We do know the market is still strong, it is still in Seller’s market territory and prices are not dropping. Every time I turn around, properties have competing offers in some areas yet in others, they languish.
In my opinion, the frenzy we saw in 2016 and early this year was driven by speculative investors that came into our marketplace from the GTA. That has now moderated and we are seeing more mainstream Buyers looking for personal purchases. Buyers are very focussed. If a property comes up for sale that meets their expectations, they act quickly and don’t let price be a barrier. If a property doesn’t fit perfectly though, they are not jumping on the bandwagon the way they were last year.