May 2024 Market Update

Jun 4

Year-to-date Residential Sales

Total residential sales: 5,673 (up 5.2%)
Average sales price: $679,862 (up 1.8%)
Months of inventory: 2.3 compared to 1.9

The increase in months of inventory from 1.9 to 2.3 indicates that while inventory remains relatively low, there are more options available for buyers than there were at this time last year. This slight increase in inventory could provide a bit more breathing room for buyers. However, we have seen a continued decline in the months of inventory from the beginning of the year continuing to highlight that the market is moving.

Year-to-date Single Family Sales

Total sales: 2,951 (up 6.6% over last year)
Average sales price: $830,739 (up 1.5% from this time last year)
Months of inventory: 2.6 compared to last year's 2.1

The single-family home market has seen a notable increase in both sales volume and inventory. The average sales price has risen modestly, indicating steady demand and possibly more balanced market conditions for buyers and sellers.

Year-to-date Townhome Sales

Total sales: 1,843 (up 5.5% over last year)
Average sales price: $550,745 (up 0.1% from this time last year)
Months of inventory: 1.7 compared to last year’s 1.3

Townhomes continue to be a popular choice, with a significant uptick in sales. Although the average sales price has seen a minimal increase, the months of inventory have decreased from the beginning of the year, suggesting that townhomes are in high demand and often sell quickly.

Year-to-date Condo Sales

Total sales: 859 (up 2.1% over last year)
Average sales price: $448,924 (up 4.3% from this time last year)
Months of inventory: 2.8 compared to 2.4 last year

The condo market is showing signs of recovery with increased sales and a continued rise in the average sales price. The months of inventory have decreased from the start of the year, reflecting a shrinking supply which may put upward pressure on prices if demand continues to grow.

What This Means for Buyers

The current market conditions offer a mixed bag of opportunities and challenges for buyers. Here’s what you need to know:

More Options Available: With an increase in months of inventory across all property types, buyers have more choices than they did last year. This depends on various factors including but not limited to location, style of home and price point. While we have seen more inventory compared to last year, month’s of inventory are continuing to decrease from the beginning of the year which buyers should keep in mind.
Price Stability: While prices have generally increased, the rate of growth has slowed compared to previous years. This could be a good sign for buyers looking to enter the market without facing rapid price hikes.
Competition Remains: Despite the increased inventory, the market is still competitive, especially for townhomes, which have seen a reduction in months of inventory from the start of the year. Being prepared to act quickly and having pre-approval for financing can give you an edge.
Market Dynamics Vary: Different property types show varying trends. Condos, for example, have seen a notable increase in average sales price, reflecting a recovering demand. Understanding these nuances can help you tailor your search to areas and property types that might offer better opportunities.

What This Means for Sellers

Sellers are still in a favourable position, but there are key points to consider:

Strong Demand: Sales are up across all property types, indicating strong demand. This trend supports a seller’s market, where you can expect competitive offers, especially if your property is well-priced and in good condition.
Price Appreciation: Although price growth has moderated, values continue to rise. This steady appreciation is a positive indicator for your investment, whether you're considering selling now or in the future.
Strategic Timing: The increase in inventory means buyers have more options, which can influence the time it takes to sell. However, properties are still moving at a healthy pace. Pricing your property right and enhancing its appeal can help ensure a quicker sale.
Tailored Marketing: Different segments of the market are performing differently. For instance, townhomes are highly sought after, while condos are seeing a price rise. Understanding these trends can help you market your property more effectively to attract the right buyers.

Overall, the market is showing signs of growth and stability across different property types. Buyers are seeing more options, although inventory levels are still relatively low, which continues to support a seller's market in many areas.

For more detailed information and personalised real estate advice, feel free to reach out to Charlene Weber, a dedicated realtor with New Purveyors at RE/MAX Hallmark.