New MLS Sales Record Set in May

  Area real estate sales in May continued to outpace the prior year by a wide margin and reflected an increase of 10% over the prior year.  Further, MLS® sales of $78.8 million in May as reported by the Southern Georgian Bay Association of REALTORS® set a new record for monthly MLS® sales in the area, eclipsing the prior record set last June of $78.1 million.

  Unit MLS® sales in May of 240 properties marked a 7% increase over May 2014 when 225 sales were reported. Demand clearly appears to be out-stripping the supply as is evidenced by many area properties selling both quickly and in some cases with multiple offers.  Single family home sales which total 485 properties year-to-date are up 21%, Condominium sales appear to have slowed with year-to-date sales of 171 properties reflecting a modest 6% gain over the same period last year.

  We continue to see a considerable amount of strength in the upper price ranges of our market.  Year-to-date there have been 121 MLS® sales reported over $500,000 an increase of 31% during the same period last year.

 Year-to-date MLS® sales of $295.4 million reflects a 28% increase is dollar sales over the first five months of 2014 while year-to-date MLS® unit sales which total 870 properties reflects a 20% increase from one year ago.

  New MLS® listing activity this year is the polar opposite of what we are seeing from the sales perspective.  The number of new MLS® listings that came to market in May which totalled 553 properties represented a 16% decrease in the number of properties that were listed for sale in May 2014.  New MLS® listings year-to-date which total 2,082 properties reflects a 14% decrease from one year ago.

  The lack of available inventory overall coupled with a strong demand has had a profound impact on shifting conditions to more of a seller's market, a situation that we have not seen since prior to the last recession.  At the end of May last year, less than 30% of the properties listed for sale on MLS® were selling.  At the end of May this year, almost 42% of MLS® listed properties have changing hands.

  Perhaps the greatest threat to the ongoing strength of the current market may well be not the economy, an increase in mortgage rates or an erosion in consumer confidence rather insufficient supply to meet the seemingly insatiable demand for Georgian Triangle properties.

  Should you desire more information specific to your own real estate selling or buying needs, please do not hesitate to Contact Me.