Fall is here and three quarters of the year are in the books. Looking back this has been one of the most active years for the Orangeville real estate market and there continue to be many active buyers looking to purchase homes in the Orangeville area.
The Month of September
In September there was reduced activity in new listings as compared to the last couple of years and this was the main factor in both the reduced sales activity and continued low inventory as we move into the final quarter of the year.
In Orangeville there were 62 homes listed for sale in September this is a 36.73% decrease from the 98 homes listed last year and a reduction from prior year's figures with 89 and 83 homes listed for sale in 2019, and 2018 respectively.
In the month of September 2021 there were 47 sales, this is down 41.98% from the 81 sales in September last year, however, it is more in line with the sales activity from 2019, 46 sales, and 2018, 53 sales.
The Sales to New Listings Ratio for the month of September 2021, was 75.81%, which continues to indicate that demand is ahead of supply in our market and we continue to experience a seller’s market in Orangeville.
The Average Sales Price in September 2021, was $756,479 an increase of 15.40% from the same period in 2020 where the average price was $655,510. This average has seen some fairly large swings month to month over the summer and into September mainly due to the low number of sales that we have seen in Orangeville.
The Average Sales Price to List Price Ratio was 103% which is down slightly from earlier this year indicating that while there is still competition for homes the home buying frenzy that we experienced earlier this year has subsided in some segments of our market.
The Average Days on Market for the month of September was 10 which remains very low and is another indication of the strong seller’s market we continue to experience.
At the end of September, there were 32 active listings, this is down 39.62% from the 53 listings available for sale at the end of September last year and is substantially reduced from the 99 active listings at the end of September 2019 and the 115 listings available at the end of September 2018.
With 47 sales in the month and 32 active listings at the end of the month, this indicates that there is currently 0.7 months of inventory. While this is higher than this figure has been since the start of 2021 it is extremely low and concerning as we head into the end of the year.
Year-to-Date – September 2021
We are three quarters through this incredible year in real estate and continue to face the same issues that were apparent at the start of 2021, there simply are not enough homes for sale to satisfy the demand of home buyers.
Through the first three quarters of 2021, there have been 717 homes listed for sale this is a 16.97% increase from the 613 homes listed for sale in the same period of 2020 and in line with the number of listings from the same period in 2019 and 2018 where there were 725 and 680 respectively.
In the nine months so far in 2021, there have been 591 sales, this is a 22.61% increase from the 482 sales in the first three quarters of 2020 and is a significant increase in sales activity over the two previous years where there were 465 sales in 2019 and 420 sales in 2019 over the same period.
The Sales to New Listings Ratio through the end of September 2021 is 82.43% this shows that demand has outpaced supply all year so far and that there is not enough new listings coming available to satisfy the demand for homes in Orangeville.
The Average Sales Price in the first nine months of 2021 was $786,698 an increase of 23.96% compared to the average of $634,653 in the same period in 2020.
Year-to-Date the Sales Price to List Price Ratio is 106%, and the Average Days on Market was 10 both of these statistics are indicators of the high demand for homes in Orangeville.
What Does All This Mean?
Over the last quarter, we have seen reduced listing activity over the summer and continued strong demand for homes in the Orangeville area. This is concerning as we are in the Fall market with very low inventory levels. With so few homes available for sale, it will be difficult to satisfy the demand from home buyers that has remained strong throughout 2021.
If you are looking to buy a home there is still competition for listings very few homes for you to choose from, making it difficult to find the right home. The best advice I can give home buyers in this market is to be ready and be patient. Being ready by having your finances in order, get preapproved by your lender, if you are buying before you sell have your existing home ready to go on the market, and be ready to go and see homes as they become available as they may not last on the market. Be patient because this is a process and you might not get the first home you want due to the competition.
If you are thinking of selling your home it is still a great time to be a seller in this market, you can take advantage of the price increases over the last year and move to your next home. The two largest issues facing buyer right now is securing the right home to buy and resisting the urge to overprice your home with the idea that buyers will pay any price in this market.
If you would like to discuss how this information affects your personal situation in more detail I am always happy to connect.
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