Ontario Market Resurgence on the Horizon, the Numbers Say So

THE CURRENT NUMBERS

January 2024 marks a significant turnaround from the sluggish market conditions witnessed in December. With both the number of transactions and new listings experiencing an upward trend, the real estate landscape is showing signs of renewed activity. In contrast to the standstill witnessed in December, January brings a breath of fresh air as supply and demand pick up pace. The number of new listings in January 2024 has already surpassed the figures from the same period in 2023, with unit sales seemingly following a similar trajectory. Despite this surge in activity, the average selling price has dipped to its lowest point since June 2023, nearly aligning with the prices observed in January 2023.

The current scenario presents an intriguing mix of factors that may be driving buyer enthusiasm in the market. The comparative low average selling price, coupled with ample supply, creates an environment ripe for buyers to capitalize on favourable conditions. Furthermore, the Bank of Canada's decision to maintain steady interest rates for consecutive months adds to the allure of entering the real estate market. This combination of factors likely explains the eagerness observed among buyers to engage in transactions, as they seek to take advantage of the opportunities presented by the current market dynamics.

THE KEY TAKEAWAYS

Sales Boom: Ontario's housing market sizzled in January with a 26.79% increase in total property sales compared to December. This surge signifies a vibrant market and potentially indicates further growth in the coming months.

Listings Surge: The number of available properties skyrocketed by 168.82%, jumping from 9,000 in December to a whopping 25,000 in January. This reflects a significant rise in seller activity, offering more options for prospective buyers.

Steady Demand: Despite the influx of listings, buyer demand remained strong. The final week of January saw 1,240 properties snapped up at an average price of $863,000, demonstrating continued interest in the market.

These trends suggest a vibrant and active Ontario housing market, with both sellers and buyers actively participating and we believe this is most likely to increase in the coming months.

OUR FORECAST

The Ontario housing market has been witnessing a notable resurgence over the past 10 weeks, marked by a significant uptick in sales activity. January 2024 saw an impressive milestone with over 9,000 units sold, reflecting a substantial 27.29% increase compared to previous periods.

Manoj Karatha, broker of record for The Canadian Home, underscores the mounting momentum in the market, particularly as the transition from winter to spring approaches. He asserts that the data unequivocally indicates a resurgence in housing activity. With March around the corner, Karatha advises prospective buyers to seize the opportunity, emphasizing that as the market continues to heat up, home prices are likely to climb further, intensifying competition for desirable properties. He urges those with the means to consider taking action promptly to avoid being priced out in a market that is showing clear signs of heating up.

BUCKLE UP, ONTARIO!

Ontario's housing market is experiencing an upward swing in the coming months, with both sales and listings on the rise. This dynamic shift presents exciting opportunities for both buyers and sellers but also demands careful consideration.

According to Robin Cherian CEO of The Canadian Home "Ontario's housing market is on the rise, offering opportunities for buyers and sellers alike. With more listings, buyers have a chance for better deals, while sellers can benefit from strong demand. Acting swiftly is key as prices are expected to increase especially with spring around the corner which is arguably the busiest season."

Whether you're considering buying or selling, it's crucial to stay informed about the evolving market trends. Consulting a real estate professional like that of The Canadian Home can provide valuable insights and help you navigate the future market.