3rd Quarter Market Update For Woodstock 2011

Average Home Price Change:

This report only looks at “Residential” Sales. Condominiums, rental unit, farms, and commercial ventures are not included.

Since January 2011 prices have turned around since June report and have increased marginally by 1.6 % In June prices were off marginally. They should now continue to hold firm. The average house price in Woodstock has reached $218,365 based on a 9 month year-to-date average.

Number of Homes Sold Trends:

Unit sales have rebounded nicely due to slow sales in last half of last year following the in introduction of the HST in Ontario.  At the end of June sales were down 10.1% on a year to date basis. Units sold now sit up 4.3% at 441 homes versus 423 for the same period in 2010.  First time home Buyers continue to enter the market drawn by low interest rates. 

The average List to Sell Ratio is only 53%. What does this mean?  It means that only 53% of the homes listed in Woodstock ever sell during the listing period.

In June the number of homes being offered for sale was on the increase.  At the close of the month of June we had 384 homes for sale with 285 homes sold since January.  This indicates we had moved into a BUYER’S MARKET (when 6 months supply is exceeded).  This put pressure on prices. Since then demand had been on the increase (year over year) with 54 homes selling for example in September compared to 44 last year.  Inventory is now down to 297 homes. This is great news for Sellers. This represents an average of around 6 months supply. The more limiting the choice the better a homeowner does price wise (principle of “Supply and Demand”).

Sellers are getting 97% of the listing asking price on closing.

Summary:

Based on this market information being properly priced is absolutely critical.  There is no doubt that in the event that inventory starts growing that there will be some pressure on pricing.  The press is projecting a 25% adjustment downward in pricing on a National basis.  We have not experienced the double digit increases experienced in Toronto, Alberta and B.C.  If they are right and it ever does correct our adjustment will be much less. 

This secondary market (Fall Market) is still a good time to market and sell your home.