The statistics have just arrived from WECAR (The Windsor Essex County Association of Realtors) and i’m here to break them down for you!
The average sale price for May 2021 is $563,409 which is a 43.32% increase compared to May 2020. (*Median price is $507,000 which is a 42.82% increase over last year). There were 1,027 new listings in May 2020 which is an increase of 51.70% from last year and there were 687 sales which is a 49.67% increase from the same period last year.
* Median Sales Price is when you take all of the sales prices listed in numerical order and pick the price in the exact middle of the list, if there is an even number of sales, it is the average of the two middle prices
The most popular home styles and average sale prices were:
(Ranking/Style/# SOLD/Avg Sale Price)
- Bungalow (156) $439,588
- 2 Storey (100) $720,522
- 1.5 Storey (92) $492,545
- Ranch (84) $718,302
- Raised Ranch (79) $629,070
If you’re wondering what listings & sales were like in your area…
(area/listings/sales)
- Windsor, Tecumseh, LaSalle 673/455
- Amherstburg 74/42
- Colchester, Harrow 26/17
- Kingsville 50/39
- Leamington 70/40
- Wheatley 9/7
- Essex 28/22
- Lakeshore West 53/37
- Lakeshore East 12/7
- Tilbury area 15/13
Here’s a breakdown of the number of sales by price segment …
- 0-$159,999 (11)
- $160,000 – $299,999 (63)
- $300,000 – $449,999 (227)
- $450,000 – $599,999 (198)
- $600,000 – 749,999 (130)
- $750,000 – $899,999 (60)
- $900,000 – $1.2M (37)
- $1.2M – $1.4M (13)
- $1.4M+ (9)
If we are to compare May 2021 to April 2021 average sale price has dropped from $571,943 to $563,409. Listings increased from 943 in April 2021 to 1,027 in May 2021. Sales decreased from 697 in April 2021 to 687 in May 2021. So what does that tell us? well month over month listings were up and sales were down slightly. We had 1.5 months’ worth of inventory in May 2021 which is up from where we were at the beginning of the year but still quite low historically. So inventory is increasing although slowly. Competition can still be fierce on the Buying side and Sellers are still in the driver’s seat during this continued Seller’s Market.
What’s new? Well effective today mortgage rules have changed which will see both insured and uninsured mortgages qualify at a higher rate than yesterday. This will translate to less purchasing power for Buyers. Perhaps in the range of 4-5% less purchasing power. If you are a Buyer with an existing pre-approval out searching for homes, we recommend getting in touch with your mortgage professional and revisiting that pre-approval. You may have to come to terms with either coming up with additional down payment money or looking at a lower purchase price than you did yesterday.
Will this help to cool the market? Possibly, however this is just one factor in what may dictate future prices and supply. As we move from a higher inventory spring market to our summer market, will inventory drop? Will increased vaccination numbers and decreased lockdown restrictions get people enjoying a long (long, long, long) awaited freedom to socialize and travel? Time will tell.
New construction remains hot – lack of buildable land, sewage capacity restrictions, material and labour costs remain still at record highs. This has caused new construction prices to increase significantly yet sales of new builds continue to be strong. Especially in the luxury end of the market in the $1 million + range. The demand for quality new homes is certainly strong.
The long and the short of it is that it’s still a supply and demand situation and we’ll see what kind of inventory we end up with for the remainder of 2021.
If you’re thinking of Selling or Buying and need help navigating this market, you can always reach out to me for a free, no obligation consultation and find out if NOW is the right time to make your move!
Call me anytime, i’m always happy to help! Steve Blais, Sales Rep. 226-347-6945 – steve@steveblais.com
