The MYLIE Group Real Estate Team shares the latest real estate sales news. Follow along to learn more about real estate sales in London, Ontario in April 2023!
Happy April Everyone!
Welcome to the April 2023 edition of The MYLIE Group’s Real Estate newsletter. Make sure to check out our Featured Listings below, which just might contain your dream home. If you don’t see it there, we would love the chance to help you find that next (or first) perfect home!!
With the warmer weather this past week, it feels like spring has finally arrived, making it the perfect time to prepare your home for the upcoming warmer months with an inaugural spring cleaning. This month we’ve featured two informative articles. The first discusses how Canadian Real Estate Boards are reporting an increase in competition between buyers that is heating up in many areas. While the second offers some helpful tips on how you can revitalize your hibernating home this Spring.
Additionally, we provide an overview of the latest trends, notable sales, and upcoming developments in London-St. Thomas area’s dynamic real estate scene below.
Lowest Home Sales in March Since 2014
In March 2023, only 1,079 new residential listings were posted on the MLS® System of the London and St. Thomas Association of REALTORS® (LSTAR). This makes last month the March with the third lowest number of new listings in the last decade.
The number of residential transactions for the month stood at 685, thus marking the lowest number of home sales seen by LSTAR in March since 2014. The overall sales-to-new listings ratio for the entire jurisdiction of LSTAR jumped to 63.5%, and the inventory fell from 3 months in February to only 2 in March.
Prices Down According to LSTAR Stats!
“The market downturn caused by the rising borrowing costs has created a window of opportunity for buyers to enter the market at a potentially lower price point, but the lack of inventory remains a concern. The coming months will be crucial in determining if the current trend continues, or if there will be a rebound in the market,” said 2023 LSTAR President Adam Miller.
“Despite the ongoing economic uncertainty, the figures recorded by LSTAR in March indicate a tightening of the local real estate market, which is also reflected in the average and HPI benchmark prices observed across the region,” Miller added.
In March 2023, the average home price and composite MLS® Home Price Index (HPI) Benchmark Price in the jurisdiction of LSTAR were significantly lower compared to the same month in the previous year, by 20.6% and 23.4% respectively. However, these figures were notably higher than those recorded in 2020 and earlier years. In addition, both metrics saw modest month-over-month gains. The average home price for LSTAR in March 2023 was $653,611, while the composite MLS® HPI Benchmark Price was $592,600.
To further understand the market, the following table illustrates February’s average home prices in LSTAR’s main regions compared to the benchmark prices for those same areas.
Last month, the most popular type of housing in LSTAR’s jurisdiction remained the single-family home, with 497 units sold, followed by the condo townhouse with 98 units changing hands. The apartment came in third place, with only 57 units sold.
“While the average price of single-family homes experienced a year-over-year decline, they still fared better than other house types, with a decrease of only 19.5% compared to March 2022. Moreover, their average price remains 48% higher than that of the third month of 2020. Additionally, the MLS® HPI benchmark price for single-family homes is 46.5% higher than three years ago,” noted Miller.
Providing a comprehensive overview of the benchmark prices for all housing types in LSTAR jurisdiction, the following table presents the figures for March 2023. This data allows for a direct comparison with the benchmark prices from the preceding years of 2022 and 2020.
As always, if you are thinking of building, selling, or buying a home or an investment property, please give us a call. There are important details to know about the moving process in this time of interest rate and inventory number changes and we would be happy to delve into some of the variables with you. Let’s discuss how we can help you take advantage of the current market opportunities.
Contact us via text or phone at 519.694.2426.
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