18 Sep

Residential Real Estate Statistics for Barrie, Ont. August 2017

General

Posted by: Anne Martin

“The housing market is becoming more balanced in comparision with earlier this year.  In this changing market, it’s important you use your local, professional REALTOR® for your real estate needs.”  -says Rob Alexander, 2017 President, Barrie & District Association of REALTORS® Inc. (BDAR)

*The Barrie and District Association of Realtors changed to a new data systems, therefore, statistics may be approximate.

City of Barrie

In the City of Barrie detached homes in August 2017 sold for an average selling price of $515,922 which is an increase of 14% over August 2016.  With townhouses, link and semi-detached homes selling for an average of $380,862, meaning an average increase of 11% over August 2016.

Surprisingly, condo sales averaged a 5% increase over August 2016 with an average price of $330,942.  This is a contrast to Toronto who reported a a 21% decrease in sales in the second quarter of 2017 of condo townhouses from 2016, and a 8.3% decrease in sales of condo apartments for the same time period.  Please see http://creastats.crea.ca/treb/mls02_category.html

Essa Township

Detached residential properties sold for an average of $457,470 in August 2017, a decrease of 10% over August 2016.

Innisfil

The Innisfil real estate market showed detached residential properties in decreased by 3% to $529,229.

Oro-Medonte Township

The average selling price for detached homes in Oro-Medonte was $717,906, an increase of 14% over August 2016.

Springwater 

This township showed a whopping increase of 30% to $774,716.

It appears that multiple offer situations and crazy bidding wars have come to a close, for the most part!  This may be due to the new mortgage rules implemented by the federal and provincial governments in the Spring of this year.  Most notably is the decrease in pricing and sales in Toronto most likely due to the new foreign buyer tax implemented by the provincial government.  Oro and Springwater showed a nice increase over last year but will they slow down and become more balanced like the Barrie real estate market shortly?

The Federal government is currently in consultations with mortgage industry professionals to discuss how to best implement new proposed changes to mortgage rules.  How will the effect Barrie and area real estate is important to see in the future.

These proposed changes could slow the market even more and make it difficult for not only home purchasers but also home owners who want to refinance their existing mortgages.  It will be important to see how this plays out!

Information available at https://www.bdar.ca/public/Stats/August2017StatsMediaRelease.pdf

 

 

16 Aug

Canadian Housing Market Weakens in July 2017

General

Posted by: Anne Martin

The release by the Canadian Real Estate Association for the month of July confirms that important housing markets in Canada continued to slow down especially the Golden Horseshoe area that surronds Toronto.  The slowdown started in April in this area starting mostly with the announcement of the 15 % foreign buyers tax credit and the 16 point program announced provincially to enhance home affordability.

Then the Bank of Canada announced a rate hike in July, the first in seven years which had further effects on the economy, causing mortgage rates to increase along with the value of the Canadian dollar.  The posted mortgage rate which is often used as the mortgage qualifying rate for insured mortgage loans increased by 20 basis points which affected mortgage applicants ability to income qualify for their mortgages, taking some out of the mortgage and home buying market.  There is a proposal to extend this qualification to uninsured mortgage borrowers as well, meaning those who have more than 20% down payment or equity in their homes.

CREA saw the number of home sold in July decrease by 2.1% for the fourth consecutive month.  Sales activity is down by 15.3% from the activity of March this year.  Year over year, sales is down 11.9% for July.

The number of new listings went downward by 1.8% in July, led by the GTA.  In July is was seen that the national sales to new listings ratio balanced out to 53.5%.  Above 60% is considered a sellers market and below 40% is considered a buyers market.  More than 60% of all local markets are now in a more manageable buyers market.

Prices continue to decline.

Home prices continued to fall in July, extending the decline that began in April.  The Aggregate Composite MLS House Price Index rose by 12.9% year-over-year in July, a further deceleration from the pace earlier this year. The decline in price growth from June to July was the result of softening prices in the GGH.  Price gains reduced in all categories of homes including townhouses, detached family home and bungalows.

With exerts from Dr. Sherry Cooper, economist for Dominion Lending Centres.    http://ow.ly/FQa830esxA9

In the city of Barrie, smaller price increases are being seen with the housing market leveling out.

“We are now seeing the housing market level out with smaller price increases in some areas and decreases in some of our smaller areas compared  with.  With things evening out, your local Realtor will help you get the most value for your real estate transaction.”                                                                                                                                                    ‐ Rob Alexander, 2017 President, Barrie & District  Association of REALTORS® Inc. (BDAR)

The city of Barrie saw an increase in detached residential prices of 18% in the month of July 2017 over the average price in the same month 2016.

Townhouses increased by 14% in the same period and Condos had a whopping 37% increase in July 2017 over July 2016.

For more info on the residential statistics for Barrie and District please follow this link.  http://ow.ly/wiTt30esxpG

20 Jun

Barrie and area real estate price update for May 2017

General

Posted by: Anne Martin

Tipping the scales towards your home ownership

As someone who is directly involved with the Barrie mortgage and Barrie and area real estate industry, it is important that I consistently check in with where the industry is at both as a whole and regarding the Barrie region.

According to the Barrie & District Association of REALTORS Inc.’s prices in Barrie and district have been slightly slowing down as compared to the fast market of the last few months.

As per Rob Alexander, 2017 President, Barrie & District Association of REALTORS® Inc. (BDAR)“While prices continue to increase on a year‐by‐year level, there seems to be slight slowing to the fast and hot market we were seeing earlier this year. Your local Realtor can help you understand the changes in the market as you look to do your real estate transactions.”


A break down of how the prices fared in Barrie and area real estate in May 2017 according is as follows –

City of Barrie
Within the City of Barrie, detached residential properties posted an average selling price for the month of May 2017 of $566,077 an increase of 25% over May 2016.

Residential townhouse, link, and semi‐detached homes in the City of Barrie posted an average selling price of $408,622 in May 2017, a 28% increase over May 2016.

Condominium sales average for the City of Barrie for the month of May 2017 was $336,771, a 33% increase compared to May 2016.


Essa Township
In Essa Township, detached residential properties posted an average selling price of $532,155 in May 2017, an increase of 2% over May 2016.


Town of Innisfil
Detached residential properties in the Town of Innisfil posted an average selling price of $588,404 in May 2017, an increase of 19% over the month of May 2016.


Oro‐Medonte Township
The average selling price for detached residential properties in Oro‐Medonte in May 2017 was $767,560 an increase of 26% over May 2016.


Springwater Township
Detached residential homes in Springwater Township posted an average selling price in May 2017 of $772,596 an increase of 33% over May 2016.

Interest rates are still at an all-time low making it still a great time to invest in a home in the Barrie area as prices are anticipated to continue to rise. Although there has been a bit of a slow down resulting in more properties on the market at any given time, you may still need to be prepared to act quickly. With the migration from high priced cities like Toronto and the GTA and demand outpacing supply, Barrie and area is still experiencing some multiple offer situations making it even more imperative that you contact a mortgage agent or mortgage broker before locating your next home or investment property.

The Barrie real estate market is one that is crowded and extremely competitive. If you’re looking at purchasing or selling a home in the region, it is highly recommended that you seek a mortgage agent in Barrie in order to help you navigate the process. Anne Martin is a mortgage agent in Barrie and has been helping her clients find their way through the Barrie mortgage and real estate markets for years with great success. If you’re looking for a mortgage in the Barrie area, get in touch with Anne today!

Source: https://www.bdar.ca/public/Stats/May2017StatsMediaRelease.pdf

17 Jun

GTA Sales Down Sharply as New Listings Surge In May

General

Posted by: Anne Martin

On June 15, 2017 the Canadian Real Estate Association released it’s May data which showed a marked slow down in activity in the GTA region since the government made its announcement in April of a sixteen point program to bring affordability back to the real estate market.  See the announcement here.

Crea’s national data shows that the number of homes sold on the Canadian MLS system fell 6.2% in May 2017 compared to April 2017.  The largest month over month decline since August 2012. Most of this drop was reflective of a 25.3% drop in the GTA.  Activity was also down considerably in other Ontario regions including Oakville-Milton, Hamilton-Burlington and Barrie.

Year over year, sales were down in May by 1.6%, not seasonally adjusted, with gains in 60% of all housing markets contrasting a drop in the GTA of 20.8%.  “Recent changes to housing policy in Ontario have quickly caused sales and listings to become more balanced in the GTA,” said CREA President Andrew Peck.

Nationally, new listings in May went up .3% following 10% in April.  National sales to new listings ratios are back into a balanced market for the first time since 2015, leaving the wild sellers market of the last several months behind.

Prices in the GTA fell on a month over month basis and year over year were still positive but down from the peak levels posted in March.

For further info check out Dr. Sherry Cooper’s blog  http://ow.ly/qW4w30cD3iM

Crea Stats http://creastats.crea.ca/natl/index.html

So all in all, it appears that the housing market is cooling a little but not the drastic “burst of the bubble” that we feared.


Federal government may be eyeing interest rate increases.

Of course, another factor that might affect the housing market is a potential increase in interest rates.  Rate increases may cause a rethink of home purchase plans for many buyers, slowing the number of homes sold at any given time.  Although many of us have seen what a sharp drop in home purchases may have caused in the past, I feel reassured that there is control of where our interest rates are going and we should expect a managed landing.

According to Stephen Poloz from the Bank of Canada said “It’s isn’t time to throw a party, but it does suggest that the interest rate cuts we did two years ago have done their job, and that’s important to us,” Poloz said Tuesday.  http://ow.ly/185j30cDlaC

*Important signals in the economy that prove that there is widespread improvement include –

  • An upward trend in growth worldwide including positive growth in the US in investment, construction, consolidation of retail stores, low unemployment and more
  • The Canadian economy shows strength in overall job growth, exports are trending higher, Alberta has begun to recover from the oil slowdown and the wild fires
  • Canada is now leading the G7 in population growth mostly due to immigration
  • There has been a surge in business investment in Canada and BC has enjoyed the highest increases in GDP in Canada
    *With excerpts from Dr. Sherry Cooper presentation at NDLC conference June 8, 2017.  See the presentation.

There is a feeling that the current interest rates have bottomed out considering how low they have been kept and now that there is considerable improvement, even with some factors looming like the renegotiation of NAFTA, home ownership and the effects of housing on our economy may cause a positive trend towards an increase in the rates by the Bank of Canada.

21 Apr

Barrie and district home sales have set a new all time record in March 2017

Housing Statistics

Posted by: Anne Martin

Barrie and district home sales have set a new all time record in March 2017.  Unbelievable and no wonder many home buyers are experiencing bidding wars with most homes selling significantly above the asking price.  This proves most problematic for First Time Buyers who are the most vulnerable to issues of affordability and inexperience in dealing with the home buying experience.

According the Barrie and District Real Estate Association 705 residential units were sold in the month of March 2017 showing an increase of 27.5% year over year.

Year to date, there have been 1420 units sold in the first 3 months of the year up 26% from the same period in 2016, another record.

Within the confines of the City of Barrie sales increase by 21.3% on a year over year basis with 388 residential units selling in the month of March.  The surrounding areas carried an increase in sales of 39.7% totalling 338 units sold.

Together in March 2017 more than 700 units sold for the first time in history.  Rob Alexander who is the president of the Barrie and District Real Estate Association said that this is not surprising given the record level demand we have been experiencing.  Provided there are enough listings, the next 3 months may show even higher levels of home sales in the region.

Year to date the average price was $547,847, up 36.9% from 2016.  Within Barrie the average price was $520,624, an increase of 37.3%.  The surrounding areas average price was $578,122, an increase of 34.3%.

Overall, the  supply is currently trending to be at its lowest levels on record.  Active residential listings are down 37.8% from a year ago.

There was also a record low of .8 months of inventory at the end of March 2017, down from 1.7 months a year earlier and the first month to ever dip below one month of inventory.

Sales of all property types in Barrie was 752 units in March, rising 31.2% compared to March 2016 with the total value of all homes sold up 88.3% on a year over year basis.

Are these crazy increases a result of the real estate crisis in Toronto?  We shall see if the new measures introduced on April 20 by the Liberal government will have any affect on slowing down this crazy market.

With exerts from http://creastats.crea.ca/barr/