Starting the second half of 2021 the Orangeville real estate market has slowed down a little this summer with l sales activity and it appears that prices have leveled off despite continued low inventory of active listings.
The Month of July
The month of July finally gave us a break in the real estate market after the last 12 months with very high activity there was a bit of a slow down in July. I would expect this trend to continue through August as we prepare for the Fall market.
There were 60 homes listed for sale in July, down 31.03% from the 87 homes listed in July 2020. This number also shows a slow down when compared to July of 2019, 80 new listings, and July 2018, 82 new listings.
In the month of July 2021 there were 53 sales this is a decrease of 27.40% from the 73 homes sold in July 2020. The number of sales compares favourably to historical numbers from 2019, 47 sales and 2018, 58 sales.
The Sales to New Listings Ratio for the month of July 2021, was 88.33%, this is a trend that has been present for much of the year where the number of sales in a given month has remained close to the number of new listings, which has continued to keep the inventory of homes available for sale low.
The Average Sales Price for the month of July was $754,975 which is a 13.13% increase over July 2020 where there was an average sales price was $667,375. I expect that in the second half of the year we will see prices stay fairly stable around this level.
The Average Sales Price to List Price Ratio in July was 104% which indicates that there is still competition for homes in our market and that the demand remains high.
The Average Days on Market in July was 11, this measure continues to be very low and is another indication of the strong demand for housing in Orangeville.
At the end of the month, there were 31 Active Listings in Orangeville, this is 32.61% lower than the 46 homes available at the end of July 2020 and continues to be historically low for the Orangeville real estate market.
With 53 sales in the month of July and 31 listings available at the end of the month, this represents 0.6 months of inventory of homes available for sale. While this number has increased it is still very low and more evidence of the seller's market we continue to be in.
Year-to-Date - July 2021
The first half of 2021 was very active in the Orangeville real estate market, as we transition into the second half of the year we continue to be in a sellers market but it looks like we have passed the peak of the market and are into a bit of a slow down when it comes to prices.
In the first seven months of 2021, there have been 597 homes listed in Orangeville, a 36.30% increase from the same period last year with 438 homes listed for sale. The number of homes listed so far in 2021 compares to the homes listed for sale in both 2019, 566 homes listed for sale, and 2018, 513 homes listed for sale.
As of the end of July, there have been 488 homes sold in Orangeville, an increase of 46.55% when compared to the same period of 2020 when there were 333 homes sold. This has been a very active year for sales volumes despite a slower month in July.
The Sales to New Listings Ratio through July 2021 is 81.74% which indicates that demand for homes in Orangeville remains high and that there are just enough homes coming available for sale to satisfy demand.
Year-to-Date the Average Sales price of homes in Orangeville is $784,084 a 25.16% increase over the same period last year.
The Sales Price to List Price Ratio for the first seven months of 2021 is 107%, and The Average Days on Market as of the end of July is 9. Both of these statistics continue to point to high demand for homes in Orangeville.
What Does All This Mean?
After the pace set during the first six months of the year the slow down in activity in July was inevitable. As we stand in the early August it looks like this period of slower activity will stay around for the summer as we move into the next stages of reopening in the province and as kids head back to school this fall. I still expect to see an increase in listing activity coming as Ontario continues to move closer to reopening and as vaccination rates increase. While there has not been any indication that demand for homes will slow down, this will inevitably happen, it is just a matter of when.
If you are thinking of selling your home this is still a great time to take advantage of the great selling prices in our area and to unlock the profits you have made in your home. Demand remains to be strong and the inventory of homes continues to be very low which should help keep prices strong.
If you have been looking to buy a home 2021 has been a difficult year and competition has been fierce. It looks like the price increases that happened earlier this year have slowed and that house sales have found a bit of a plateau at the current levels. The competition for homes has slowed and buyers have an opportunity right now to get the home they want with a little less competition.
If you would like to discuss what is happening in the Orangeville real estate market or how these statistics relate to your specific situation please feel free to reach out any time I always love to chat about what is going on in our market.
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