Great news for home sellers in Woodstock-Ingersoll area
By
Mark Schadenberg
If
you’ve read my reports on WIDREB sales numbers since last winter, you will
think this contribution to the world of writing is a broken record, well to
tell you the truth it is a broken record.
In
11 months of 2016, total sales in the Woodstock-Ingersoll district board area
were 1,460, while the best ever year was 1,473 in 2005, which was the year
Toyota announced it was building a manufacturing facility in Woodstock to
accompany its successful plant in nearby Cambridge.
You
can see from the year-end numbers posted below that 2016 has been a remarkable year
as I calculate a total of 1,533 transactions as of now with another 73
compiled so far in December. Records were made to be broken, and in an odd year
of low listings and low ‘days on market’ stats, our board has still managed to
set a new standard.
It’s
been a great year for sellers with the average price of a residential home of
any style in the WIDREB zone selling for about $285,000. This converts into the
fact that the average detached home in Woodstock itself now includes a market
value of about $320,000. That average is not verified, but calculated when I
look at a large sample of sales from the past months as a rise in prices of
approximately 15% equates into the fact I can not (and will not) use comparable
homes in deciphering an estimated market value for a home (including yours) which
sold as recently as April or May. In other words, a house which sold for
$250,000 in December of 2015 is now worth perhaps 288,000.
There
is no reason to think that these new values will not sustain themselves, but
any amateur statistician – once figuring in the tightening of mortgage rules –
will safely announce that a much more modest increase in sales prices is on the
horizon for the next 12 – 18 months.
The
increase in home values is great news for sellers, but obviously not first-time
buyers or someone selling a modest residence and hoping to move up to their
dream home.
In November, for example, transactions totalled 121 and that was the highest in any year looking back to the 2005 benchmark calendar, especially when you consider November of 2008 saw only 55 sales.
In November, for example, transactions totalled 121 and that was the highest in any year looking back to the 2005 benchmark calendar, especially when you consider November of 2008 saw only 55 sales.
If
2008 was a frustrating time to be a Realtor because sales were infrequent, let
me be the first to tell you 2016 has been head-scratching as clients with good
offers on homes are losing out in multiple offer settings to signed offers
higher than full asking price, and often the asking price appears on the
surface to already be inflated (in my opinion).
MORE
HISTORY NUMBERS
Our market is still currently extremely low on active listings as
you will note from my previous blog entries, and the fact WIDREB stats point
out in ink that the total number of listings in the first 11 months of 2016 is
1,880. Compare that to 2014 (1,943), 2011 (2,118), 2008 (2,631), and 2007 (2,365).
I haven’t included every year, but the trend is prevalent.
Here’s another important trend: In 2016, there has been only 300
expired listings in the first 11 months, versus 487 in 2015 and 605 in 2014.
Get this: In 2009 there were 1,035 expired listings in the first 11 months of
the calendar. As you can see, a listing can not expire if it sells.
Total sales in the first 11 months of 2016 are 1,460 versus 1,342
last year and only 1,122 in 2014.
Here are the November-only WIDREB totals:
2016: 121
2015: 110
2014: 64 2013:
74 2012:
70 2011:
94
2010: 84 2009:
87 2008:
55 (Correct) 2007: 103
2006: 104 2005:
92
November of 2016 tips the scales very much in favour of those
selling homes as record numbers are reported in transactions despite the low
inventory of available listings for a buyer to consider.
By looking at the totals, keep in mind 2015 was considered a good
year.
Year-By-Year
Numbers (Totals in WIDREB)
2015: 1424
2014: 1180
2013: 1252 2012:
1066 2011: 1158
2010: 1216 2009: 1080 2008: 1176 2007:
1359
2006: 1278 2005:
1473 (Correct)
Average for past 10 years: 1242
An on-going positive factor in residential sales is extremely
attractive low interest rates. Tighter mortgage rules which force buyers to
always qualify based on a 5-year fixed rate has seemingly had little effect immediately
on the Woodstock-area market. Buyers continue to stream to Oxford from
Kitchener-Waterloo and Cambridge markets. Those areas have become difficult to
buy in as their average sales numbers and prices leap as consumers re-locate
from the Greater Toronto Area.
LINKS:
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Mark Schadenberg, Sales
Representative
Senior Real Estate Specialist
(SRES designation)
Royal LePage Triland Realty
Independently Owned & Operated, Brokerage
757 Dundas St, Woodstock
(519) 537-1553, cell or text
Email: mschadenberg@rogers.com
Twitter: markroyallepage
Facebook: Mark Schadenberg, Royal LePage Triland
Discussion . . . Direction . . . Determination . . .
Destination
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