“Balanced” real estate market in CK
Home sales rebounded somewhat in July in Chatham-Kent, but remain significantly down from the same period a year ago.
A total of 116 units changed hands in July, down more than 32% from July 2021. However, only 101 units were sold in June, down almost 46% from the same month there. a year ago.
Amber Pinsonneault, president of the Chatham-Kent Association of Realtors (CKAR), said the market is “rebalancing” itself, and higher interest rates and market uncertainty have had their impact.
She added that buyers no longer have to operate at a frantic pace, which has been the case in recent years, as a home comes on the market and is snapped up within days, often with a bidding war, and often at more than asking for a price.
This has changed.
“It really provides more opportunities for homebuyers, especially first-time buyers,” Pinsonneault said. “And sellers are still getting great value for their homes. However, they don’t get the astronomical prices they saw earlier.
She said the climax was back in February and things have slowed or at least stagnated price-wise since then.
“By July, we were back up to just under $500,000 for our (housing price) average. That’s a 20% increase from last July,” she said.
More importantly, the local market is not experiencing a sharp drop in prices that has affected much of the rest of the province.
“Chatham-Kent doesn’t see these crazy price drops like some places do,” she said. “Going below $500,000 here really gives more people the opportunity to enter the market.”
Moreover, they can enter on their terms. With bidding wars, people often took the first house that came into their price range.
“We see offers with conditions. I think it builds buyer confidence,” Pinsonneault said. “You want someone to like the house they’re buying. This (marketplace) allows people to secure their financing, get their home inspected, and be happy with what they buy.
While prices and the number of homes sold may be down, it is inventory that is going up. Slower sales and greater market confidence have resulted in more homes being added to the market. And they may stay in the market longer now that the buying frenzy has died down.
Figures from CKAR indicate that 271 new residential listings were added in July. This was the highest number of new registrations for a month of July in CK history.
Pinsonneault said that in the past, with sales booming, people may have wanted to sell but were worried about finding a new home.
“The big question last year was, ‘If I sell, where do I go?’ Now there is an opportunity to find another home,” she said.
Overall, Pinsonneault said the market pendulum has reached neutral rather than swinging in favor of the buyer, and that’s good for everyone.
“It’s not a buyer’s market. It is a balanced market. It just gives people a chance to come in and visit a few houses,” she said.
And while the influx of money from out of town has slowed to some extent, it has not dried up.
“Chatham-Kent remains an affordable place to buy. I don’t see that changing anytime soon,” Pinsonneault said. “People love what Chatham-Kent has to offer. »