London Stats show Solid home Sales in August
Typically, the summer months in London’s real estate market tend to slow down, but over the last few summers, we have experienced unusually busy months.
London and St Thomas Association of REALTORS® (LSTAR) announced 923 homes were sold in August, up 2.2% over the same time last year. August 2018 marked the second best August for home resales since the Association began tracking sales data in 1978. Typically, the summer months in London’s real estate market tend to slow down, but over the last few summers, we have experienced unusually busy months.
Prices are still rising, with an average sale price of $378,511 This is up by 18% over the same time last year.
Here are the latest sold stats in London, Ontario, broken down by area:
Area Average Sale Price Change from Last Year
London North $466,654 +11.9%
London South $381,636 +17.8%
London East $287,162 +16.5%
With a list-to-sales ratio of 85.1%, we are solidly in a Sellers’ Market. A balanced market has a list-to-sales ratio of 40-60%. London has become a popular destination for Buyers, mostly due to its location and low house prices. Compared to the medium and large cities across the Canada, London still boasts one of the best values when purchasing a home.
London and St Thomas Association of REALTORS® (LSTAR) announced 923 homes* were sold in August, up 2.2% over the same time last year. August 2018 marked the second best August for home resale’s. August 2016 holds the record, with 999 home resales.
Residential Sales Activity
Resale activity has performed high above the 10-year average, despite low inventory, which the marketplace has experienced all year. The average sales price continues to rise: it was $378,511, up 18.0% from August 2017. When you go back five years, that’s up 54.2% compared to August 2013."
Average home sales price may be up across the region, but we continue to experience a 10-year historical low in inventory. In August, there were 1,535 active listings, down 12.6% from this time last year and down 57.6% from August 2013. The sales-to-new listings ratio was 85.1%, which the Canadian Real Estate Association (CREA) says represents conditions in the marketplace that favour sellers, (a ratio between 40% and 60% is generally consistent with a balanced market).
Residential New Listings London and St Thomas
St. Thomas saw a total of 66 homes sold in August, up 11.9% from the same period last year. For inventory, there were 98 active listings, down 10.9% from last August and down 59.8% from August 2013. The average home sales price in St. Thomas was $295,262 up 17.2% from August 2017 and up 46.9% from August 2013.
Residential Average Price
Boost to Local Economy
According to a research report, one job is created for every three real estate transactions and approximately $53,000 in ancillary spending is generated each time a home changes hands in Ontario.
The home resale activity has given a huge boost to the economy of southwestern Ontario, generating potentially more than $48 million in August. The 923 home resale’s in August have also helped create approximately 307 jobs, reinforcing the contributions the business of real estate makes for the entire community.
PC275 Realty Brokerage Inc is here to answer your questions and assist in your sales and new home purchases.