We are halfway through 2021 and the Orangeville real estate market has been very strong. The demand for homes in our area continues to be strong despite being down from where it was at the beginning of the year. Despite having strong listing activity the sales continue to keep the inventory levels very low.
The Month of June
When looking at these statistics keep in mind that June 2020 numbers were still impacted by the first wave of covid, and is where we saw the market get ready for the busy summer season we saw last year.
There were 89 homes listed for sale in June a 20.27% increase from the 74 homes listed in June 2020. The number for this year compares favourably to the listing activity in 2019 and 2018 where there were 84 and 91 homes listed respectively.
In June 2021 there were 75 sales, a 15.38% increase from the same month last year where there were 65 homes sold. The sales volumes continue to be stronger than in previous years.
The Sales the New Listings Ratio for the month of June 2021 was 84.3% this is due to the stronger number of sales in the month. The new listings continue to sell at a rapid pace keeping the inventory levels low.
The Average Sales Price in June 2021 was $798,023 which is an increase of 23.84% from the average of $644,421 in June 2020. This also represents an increase in the Average Sales Price from the levels in April and May 2021. This is primarily due to the mix of properties sold, but also the continued competition for homes in our marketplace.
The Average Sales Price to List Price Ratio for the month of June was 104%, indicating that we are still seeing competition for homes in the Orangeville market and that demand is strong.
The Average Days on Market in the month of June 2021 was 10 this is a decrease from the 16 days that we saw in June 2020 and continues to be extremely low and also an indication of the high demand for homes in Orangeville.
At the end of June, there were 41 homes available for sale in our local MLS this is a 10.87% decrease from the 46 homes available at the end of June 2020 and is significantly lower than the active listings at the end of June 2019 and 2018 when there were 93 and 104 active listings respectively.
With 75 sales in the month of June and 41 homes available for sale at the end of the month this represents 0.5 months of inventory. The low inventory levels continue to be the driving factor with what we are seeing in the Orangeville real estate market.
Year-to-Date – June 2021
We're halfway through 2021 and the Orangeville real estate market has been very active both from the number of homes being listed and the number of sales. The average sales price increase year over year remains just under 30% but I would expect that to come down a little in the second half as the prices in the second half of 2020 were higher than the first half.
There have been 536 homes listed for sale in Orangeville through the first half of 2021, this is a 53.14% increase over the same period in 2020 when there were 350 homes listed for sale. This also represents an increase from 2019 and 2018 where there were 488 and 431 homes listed for sale respectively.
The number of sales continues to keep pace with the new listings, there were 435 sales in the first six months of 2021, a 67.31% increase from the 260 sales in the first half of 2020. Again, the sales activity in 2021 has outpaced the sales in both 2019 (313) and 2018, (265).
The year-to-date Sales to New Listings Ratio is at 81.16% which continues to indicate that the demand for houses in Orangeville is high and there is not enough listings coming on the market to satisfy the buyers.
The Average Sales Price for the first half of 2021 was $787,631 an increase of 28.07% from the $615,006 average at the end of June 2020.
Sales Price to List Price Ratio remains high with the average homes selling for 107% of the list price, and the Average Days on Market remains very low with the average home selling after only 9 days.
What Does All This Mean?
The Orangeville real estate market continues to be very active and this is a strong seller's market however, over the last couple of months there has been evidence that we are no longer in the “red hot” market that we experienced earlier this year. There is still competition for homes in Orangeville but the number of showings and offers for properties has decreased. Demand for homes at certain price points and in certain neighbourhoods has begun to shift.
If you are thinking about selling your home, this remains a great opportunity to earn profits and unlock the equity in your home. There simply isn’t enough inventory of homes to keep up with the demand. I would anticipate as the province continues to work through the stages of reopening that more homes will come on the market and this will test the demand for homes in our area. This makes now a good opportunity to sell your home.
For home buyers, it has been a frustrating year to buy a home, with high competition in the market, it has been a difficult experience for many home buyers. This is beginning to change, many homes are selling with less competition, and while this is still a seller's market there are opportunities for buyers to get the home they want.
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