The Christmas Issue | Issue 185 Guelph Weekly Sales Report
THE CHRISTMAS ISSUE
2019 is winding down much like it started. Quiet and flying under the radar. With 28 properties reported sold this past week, a number on par with last year’s 26 sales and the previous 2 years. Very normal and consistent market conditions.
Quiet waters on the surface will often hide the underlying currents, and it’s those currents that may surface in 2020 that could cause some issues in the Guelph real estate market. More on that in a minute.
THIS WEEK IN THE GUELPH REAL ESTATE MARKET
26 Homes sold, 7 or 25% sold at or above list price compared to 27% that sold at or above list in 2018.
Median home sold was a 3 bed, 2 bath, 1,430 square foot home, compared to the 1,116 square foot home that sold in 2018
Median Sales Price: $515,000 or $388.67/sqft (2019) vs. $446,000 or $361.10/sqft (2018)
Days on Market: 30 (2019) vs. 21 (2018)
Sales Price to Original List Price: 98.13% (2019) vs. 98.21% (2018)
As you can see, pretty consistent results for the same time periods. These strong, ongoing conditions that indicate confidence in our local real estate market.
The upcoming challenge that may occur will be a result of falling inventory levels. After a brief jump in the number of homes available for sale mid year, the inventory of available homes for sale in most of the region is hovering around a 30 day supply. Waterloo levels have dropped 40% from the November of 2018, Cambridge is down 35%, Kitchener 33.3%, and Guelph is down 26.7% to 1.1 months of available homes.
Now before we hit the panic button, the months of November through January are historically the low points in our market for both sales and inventory levels. Not many people want to sell or buy during the holidays and winter, although the market is not completely quiet.
I do see a trend developing over the years that sellers are taking more time to bring their homes to the market. Sellers are becoming more strategic and taking the time to properly prepare their homes for the market. I’m not taking credit for this trend, however when a brokerage like Home Group uses staging consultation and professional photography as part of their basic services, sellers are inclined to take more time to properly set the stage for marketing their home.
We will either see inventory levels rebound significantly in late January to satisfy demand for the approaching spring market, or we run the risk of 2017 market conditions again. I am inclined to believe we’ll see conditions improve before the spring hits, which will relieve the pressure building in the market today.
Thank you again for being a subscriber and I hope you get value from these reports. Our aim to provide you with content to allow you to be the best educated home buyers and sellers in the marketplace. We’re looking forward to an incredible 2020 and adding even more valuable content and reports for you.
Enjoy the holiday season!
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