Friday, 9 January 2015

Local real estate board reveals final stats for 2014

WIDREB announces lower final total of sales compared to 2013
Best-year ever was 2005 as historic totals tell their tale

By Mark Schadenberg

Since baseball is a game about stats, I like to use major league baseball as an analogy for 2014 real estate final stats in WIDREB.
Due to the horrendous winter, sales were extremely slow in January, February and March of 2014 and the final totals for the year were never able to fully recover.
The MLB pennant comparison could be that if a team started out with a 7-20 record in April, they would likely have to be about 83-52 over the rest of the schedule to qualify for the playoffs.
In 2014, the first three months included 204 sales in the Woodstock-Ingersoll District board (WIDREB) trading area, which also includes Innerkip, Sweaburg, Norwich, Beachville, Embro, Hickson and all points in-between.
Let’s look back at recent years for the first 90 days of the calendar therefore.
2014: 204
2013: 272
2012: 253
2011: 287
2010: 285
2009: 164 (Auto-driven recession)
2008: 264
2007: 313
2006: 293
2005: 277
Stats are always proven or averaged over a longer length of time, so I always go back at least to 2005 as it was in March and April of that year it quickly became very apparent (poorly kept secret) that Toyota was assembling a massive land purchase to build a new manufacturing facility in  Woodstock. In my opinion, prices went up about 20% over night for residential re-sale and building lots with the announcement, and you can easily see the surge in sales as 2005 started out modestly with 277 sales in the first three months, but ended up with the highest ever number of 1473.
Also, note how low the final total for 2009 was during the recession.
Look at the year-end numbers below:  
2014: 1180
2013: 1252
2012: 1066
2011: 1158
2010: 1216
2009: 1080
2008: 1176
2007: 1359
2006: 1278
2005: 1473
Average for past 10 years: 1224
If we pretend that 2005 was not a safe sample number to include due to the rare significant increase in totals, then you must still use the last 9 years as your divider.
Average for past 9 years: 1196
Any way you spin the numbers, it’s easy to say that 2014 was just below average.
WIDREB board president William Cattle, who is also with Royal LePage Triland, commented as follows in the press release:
“For 2014 overall, the combination of a slow first quarter followed by a relatively healthy remainder of the year put the annual sales figures roughly in line with both its 5-year and 10-year average.”
Cattle added that the average sales price is up – now just over $240,000 or up 4.4% over 2013.
As I have mentioned previously in earlier writings, when you interview a local Realtor be sure to ask them some basic questions about how strong the local market is and when the peak years were.
You should hire a Realtor that fits into all these categories:
- Knowledge of local market
- Knowledge of local community
- Full-time
- Experienced
- Employed with an Oxford office.

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GTA Summary

Canadian Real Estate Wealth is a collection of online news releases – mostly followed by Realtors – which tracks stories from across the country pertaining to the economy in construction, and population growth and all real estate trends (commercial and residential).
Here is an item from Jan. 7 and in this case the story originated from the Toronto Star, so the link is below:
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Toronto sees 46 per cent increase in $1 million condo sales
There was a 46 per cent rise in the number of condos selling for $1 million or more in the 
Greater Toronto Area last year. A new report from Sotheby’s shows that sales of all homes above $1 million increased by 38 per cent to 7,527. The realty firm says that the kind of bidding wars more commonly seen for detached houses are becoming more frequent for luxury condos. Toronto is becoming more popular with foreign investors as prices are still lower than Vancouver, which saw a 25 per cent increase in luxury sales last year, and downsizing baby boomers are also driving GTA sales, the report says.
Elsewhere, Montreal’s higher value home sales increased 21 per cent and Calgary saw a rise of 16 per cent. 

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If you would like the full version of the Toronto Star story, there is a link below:

LINK:

http://woodstockingersolldistrictrealestateboard.com/pages/NewsEventsContent/2014DecemberPressRelease.pdf
http://www.thestar.com/business/real_estate/2015/01/07/1_millionplus_home_sales_surge_38_per_cent_in_gta.html




Mark Schadenberg, sales representative
Royal LePage Triland Realty Brokerage
757 Dundas St, Woodstock
(519) 537-1553
Twitter: markroyallepage
Facebook: Mark Schadenberg, Royal LePage Triland

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