Tuesday, September 23, 2014

Area Real Estate Sales On Pace For a Record Year


Following last winter’s icy grip which resulted in very weak 1st quarter MLS® real estate sales in the area, market activity has roared back and we appear destined to be headed for another record year in terms of dollars sold for MLS® sales of Georgian Triangle properties.

  While we experienced a somewhat cooler summer, MLS® sales activity June through August remained hot with $220 million worth of sales reported in the three month period, an increase of 21% from the same period last year.  MLS® unit sales during the three summer months of 682 properties reflected an 11% increase compared to 2013.  Through the end of August 1,469 properties have been sold through our local MLS® system year-to-date an increase of 2% over 2013.  MLS® dollar sales year-to-date through August on the other hand of $468 million, reflects a 10% increase from the same period last year. We continue to see an increase in the number of higher priced properties being sold which continues to drive our MLS® dollar volume to record levels.

  Single family home sales while robust with 968 properties sold year-to-date are up just 3% from last year.  MLS® condominium sales meanwhile which total 283 sales to the end of August are up 12% year-over-year.  With the exception of Clearview Township, MLS® single family homes sales in other area municipalities are running at rates equal to or greater than last year.  Year-to-date sales by municipality through the end of August are as follows:  Clearview -8%, Collingwood +11%, Grey Highlands no change, Municipality Meaford +18%, Blue Mountain +2%, Wasaga Beach +5%.

  The number of new MLS® listings coming onto the market has continued to diminish through 2014, resulting in more balanced market conditions that do not unduly favour buyers or sellers. Sales in the $350,000 to $500,000 January through August have remained very active with 180 sales year-to-date which represents a 21% increase over 2013.  During the first eight months of the year, sales between $500,000 and $999,999 total 108 properties versus 97 in 2013, an increase of 11% while sales over $1 million now stand at 19 compared to 17 last year.

  With the sharp increase in sales activity we are seeing a greater frequency of multiple offers being submitted sometimes on listed properties that have languished on the market for months.  With another ski/snowboard season fast approaching, the continuation of low interest rates and positive consumer confidence, we anticipate the balance of 2014 will continue to reflect strong demand for area properties as we usher out 2014.  

Please feel free to Contact Me at any time for a no obligation discussion about your real estate buyer and or selling objective.



Friday, July 11, 2014

57% of Ontarians Optimistic About Real Estate

The Ontario Real Estate Association (OREA)  has partnered with market research firm Ipsos Reid to conduct a semi-annual province-wide research study that reflects how residents in Ontario view the current the residential real estate market. 

 For several years, various self proclaimed experts have touted  throughout the media that Canada's real estate market was over-heated, that the bubble was about to burst and Canadian homeowners should prepare themselves to see 15% to 20% or more of their home equity erased.  Such has yet to happen yet with a seemingly constant barrage of negative news about the Canadian real estate market you'd think the mood of consumers would be somber.

  The accompanying infographic (click on to enlarge) is the first release of the new OREA, Ispos Reid study.  Overall, Ontarians appear to feel optimistic about both the market outlook and home ownership.  Study results reflect that 57% feel this way with 34% believing the Ontario market will be even stronger next year.

In central Ontario where we are, 54% feel favourable towards the current market while 40% believe that conditions will be even better next year.  How this translates into the southern Georgina Bay region remains to be seen.  Many buyers in our market do not currently reside here.  Their purchasing motivation is often drive more by their desire to purchase a recreational property or on for retirement purposes.  I am sure that those living locally and employed in the retail or service sector would be far less optimistic that about a real estate purchase that someone from the Greater Toronto Area looking to invest in property in the area.

  This brings up two important issues relative to the future of Collingwood and the surrounding area especially in view of the upcoming municipal election this fall.  The first is economic development/job creation while the second is the question of affordable housing.   I will speak to these two issues in future posts.

Tuesday, July 8, 2014

MLS® Area Real Estate Sales Up 41% in June

 Following a sluggish market January through the end of March, area real estate sales rebounded very strongly in the second quarter ending with a blockbuster month in June, where MLS® dollar volume reached the highest level ever.

  MLS® unit sales in June were 30% higher than June of 2013 with 248 sales reported compared to 191 in June 2014.  MLS® dollar volume in June was $78.1 million, an increase of 41% over the $55.3 million worth of properties sold in June 2013 and the highest month on record for our area. 
 
  MLS® unit sales during the 2nd quarter of 680 properties represented an increase of 11% over the number of properties sold in 2nd quarter 2013.  Meanwhile, 2nd quarter MLS® dollar volume of $213.8 million reflected a 20% increase over the first six months of 2013.  Based on the strong sales performance during the 2nd quarter, we have erased the 6% year-to-date shortfall in sales revenue that existed at the end of March.  Year-to-date sales of $326.9 million, represents a 9% increase from the first six months of 2013 while year-to-date MLS® unit sales for individual properties is up increase of just 1% from one year ago.  The primary weakness in unit sales activity has been in the single family home segment of the market.  With the exception of Grey Highlands up 17% and the Municipality of Meaford which is up 28%, all other area municipalities are showing a reduction in single family home sales year-over-year.  Condominium sales overall have been very strong in 2014 with 196 MLS® condo re-sales reported year-to-date compared to 175 one year ago, an increase of 6%.
 
  During the first half of the year we have seen robust sales activity in the $500,000 to $1 million price range.  Sales between $500,000 and $750,000 are up 26% while sales in the $750,000 to $1 million price range are up 20% over last year.  At the lower end of the pricing scale, sales in the $200,000 to $350,000 price range are reflecting a 10% gain over last year with quality listings in the $300,000 to $350,000 range selling quickly.

  There continues to be an ongoing reduction in available inventory with the number of new listings year-to-date down 2%.  The number of expired listings has dropped 10% from one year ago as sellers either reduce their prices to induce a sale or they are simply taking their properties off the market having failed to attract a buyer.

 My own personal forecast is that we will continue to see strong sales activity through the balance of 2014.  As is often the case, the slowdown in sales activity that we experienced in the first three months of the year which was seemingly weather related, has served to create a pent up demand which explains the very strong sales activity that we experienced in the 2nd quarter.   




Contact Me

Royal LePAGE Locations North (Brokerage)

330 First Street, Collingwood, ON L9Y 1B4



Email:
rickcrouch@propertycollingwood.com



Direct: 705-443-1037



Office: 705-445-5520 ext 230




Website:
www.propertycollingwood.com















My Profile

Rick relocated to Collingwood from Toronto in 1985 through a transfer with Goodyear Canada. In 1987 Rick was recruited by a major client of Goodyear’s, managing their Canadian business based in Barrie before moving to Chicago in 1992 as Vice President of Sales & Marketing. Upon returning to Canada in 1996, Rick ran an industrial products manufacturing company in Stratford, Ontario. In 1998 Rick returned to Collingwood with his two children. Rick is a licensed real estate Broker with Royal LePAGE Locations North in Collingwood and holds his MVA designation (Market Value Appraiser-Residential). He is an active volunteer in the community serving several years on the Board of Directors with the Collingwood Chamber of Commerce as Treasurer, 6 years on the Board of Directors for the Southern Georgian Bay Association of REALTORS® of which he is the Past President (2008) and currently serves on a committee with the Ontario Real Estate Association. Rick is a diverse executive manager with extensive experience in strategic planning, manufacturing, finance, human resources and quality assurance management.