Orangeville Real Estate Market Stats – February 2023

The Orangeville real estate market continues to have slow activity with below-average new listings, sales, and active listings, causing some of the statistics to have some irregular movements due to the reduced data points. Comparisons to last year's data are being compared to the peak of real estate activity in February 2022. While there is a significant decline in the average sales price, it is important to remember that the run-up in prices in early 2022 was unsustainable and current price levels in the Orangeville market are comparable to the levels through most of 2021.

The Month of February 2023

In February there were 48 homes listed for sale, a decrease of 36.84% from the 76 homes listed for sale in February 2022. This is also below the 10-year average number of new listings for the month of February of 69 new listings.

26 homes sold in Orangeville in February a 52.73% decline from the 55 homes that sold in February last year. February 2023 is the 5^th month in a row with less than 30 transactions. With higher borrowing costs I would expect the number of sales to continue to be below average for most of 2023.

With 26 homes sold and 48 new listings, the Sales to New Listings Ratio for February was 54.16% which indicates we are in a balanced market, due to the combination of low sales volumes and the low number of new listings.

The Average Sales Price in February 2023 was $812,808 a decrease of 22.57% from the average of $1,049,670 at the peak in February 2022. The average sales price continues to have some larger changes month to month due to the low number of sales and the change in the mix of properties being sold each month.

The Average Sales Price to List Price Ratio in February was 99%, which is an increase from the last several months, this is an indication of the buyer’s expectations of the price being close to the list price for the properties that sold in the month.

The Average Days on Market in February was 23 days which is the lowest that has been seen in Orangeville since July 2022. This is an indication that when an attractive listing hits the market buyers are acting quickly.

At the end of February, there were 48 active listings in Orangeville an increase of 100.00% from the 24 active listings at the end of February last year. Despite the large increase year-over-year the number of listings at the end of the month is low when compared to pre-pandemic numbers.

With 48 active listings at the end of the month and 26 sales during the month of February, this indicates there are currently 1.8 months of inventory available in Orangeville. When there are less than 4 months of inventory it is statistically considered a seller's market. I would still say that the Orangeville real estate market is behaving much more like a balanced market than a seller’s market at this point in time.

Year-to-Date - February 2023

Through the first two months of 2023 there have been 84 homes listed for sale in Orangeville, a decrease of 30.58% from the 121 new listings in the same period of 2022.

There were 47 homes sold during the first two months of 2023, down 50.00% from the 94 homes sold in the first two months of 2022.

The year-to-date average sales price at the end of February 2023 is $820,747 down 20.98% from the $1,038,695 which was the peak of pricing in 2022.

Year-to-date the Average Sales Price to List Price Ratio has been 97% in the first two months of 2023 and the Average Days on Market have been 30 days. These are both big changes from the higher sales price to list price ratio (118%) and lower average days on market (10) that were experienced during the hot market of early 2022.

What Does All This Mean?

In the first two months of 2023, the Orangeville real estate market has seen both low sales volumes and low numbers of new listings. This combination has served to stabilize prices for homes in our market near the level of home prices that were experienced for most of 2021. With 20-year highs in borrowing rates, home prices have seen a large fall from the peak prices that were experienced in the first quarter of 2022 but have, for the time being, been range bound at current levels due to low inventory.

If you are looking to buy a home in today’s market, even with lower sales volumes there has been more competition for highly desirable listings where the price and condition are in line and offer a home buyer value in their purchase. The biggest factor when looking to get into the housing market right now is understanding your finances and setting a budget for your home purchase that makes sense for your situation and where you can be comfortable in your home even if interest rates remain at current levels or even move higher in the future.

As for the state of the Orangeville real estate market, I would expect that the number of new listings will increase as we transition into the spring and there may be more opportunities to purchase a home over the next couple of months. An increase in the number of listings will be an opportunity to see how strong buyer demand is in Orangeville and will show if there is an increase in the number of sales or if the amount of inventory simply increases and there is a little more downward pressure on home prices.

If you are looking to sell your home, understand that the homes that are selling are the homes that are priced right according to their condition and offer the buyer value when compared to what else is available on the market at that price point. Many homes are coming onto the market overpriced and are sitting and becoming stale listings and sellers need to “chase the market” with price reductions. To get your home sold quickly and for the best terms, you need to choose to work with a real estate professional that will invest in your listing and have a solid plan to market your home to potential buyers and get you the terms that you want in the transaction.

If you would like to talk about the Orangeville real estate market, learn how I can help you with buying or selling your home, or just discuss how what is going on in the real estate market impacts your situation feel free to reach out anytime or book a call using the link below.

https://calendly.com/brianrooneyrealestate