Slumping sales amid spring listing surge in Windsor-Essex real estate market
New monthly housing statistics reveal real estate market trends may be ready to shift, according to the president of the Windsor-Essex County Association of Realtors.
On Thursday, WECAR released its data for April 2024, which show slumping sales amid the spring surge of listings.
“It looks promising for both buyers and sellers,” said Maggie Chen, the president of WECAR.
New listings shot up by 1,082 last month, representing a 22.54 per cent increase from the same time last year. However, that was paired with what Chen called a “significant” drop in the number of properties sold — falling 7.76 per cent year-over-year.
Not only are there fewer homes being sold, but runaway price increases have also slowed and stabilized.
The average sale price climbed less than half a per cent in April — just 0.47 per cent — to bring the final figure to $581,194.
The average year-to-date price of a home increased 2.4 per cent to $568,421 compared to an average price of $554,326 during the first four months of 2023.
The message from Chen to buyers banking on a real estate crash — don’t hold your breathe.
“Apparently, the market is not crashing; so, buyers should come to the realization that you should not wait for it anymore,” Chen told CTV News. “The average sale price is steadily, slowly climbing up.”
She also has words of caution for sellers following the compilation of the latest data.
Chen said sellers hoping to get the same price the market saw at its height in March 2022 may be chasing a horizon that never comes, which she says has set the stage for buyer-seller standoffs in the market.
“I think the proportion is getting smaller,” said Chen. “The sellers are getting a reality check. After almost two years of a waiting game, they’re starting to realize, ‘Okay, this is the market.’”
Chen said there is 3.22 months worth of inventory, indicating the Windsor-Essex real estate market tips in favour of sellers at the moment.
There were 1,459 available listings in Windsor-Essex at the time of the report.
SHIFTING STRATEGY
The continued pricing strategy in Windsor-Essex that sees homes listed below the expected sale price, albeit a recent phenomenon, is somewhat perplexing to Chen.
She says it is confusing to buyers as sellers aim to generate bidding wars for their properties.
“‘They’re asking for $499,000 and then final sale price is $565,000, what do I do?’” explained Chen. “You have to look at what the value of the property is.”
Chen said with interest rates remaining at elevated levels, prices stabilized, and more posted listings, a return to more familiar real estate bidding may be on the way for Windsor-Essex but, isn’t likely to return until toward the end of the year at the earliest.
“I do not know why it’s still not going toward a traditional selling strategy as of yet,” said Chen. “If we price it traditionally, it’s not selling.”
Unfortunately, the report doesn’t contain much upside for first-time home buyers.
Prices remain elevated and demand strong, keeping many properties unaffordable and out of reach for would-be house shoppers.
CTVNews.ca Top Stories
'The root cause': Canada outlines national action plan to fight auto theft
The federal government is launching what it calls its 'national action plan' to combat auto thefts, which will include stronger penalties for thieves, and increased information sharing between police agencies, government officials and border enforcement.
What is BORG drinking, and why is it a dangerous trend? An expert explains
If you've been to a party lately and haven't seen someone drinking a BORG, you're likely not partying with college students.
The world's best airline is paying staff a bonus of 8 months' salary
Singapore Airlines will reward its employees with a bonus worth nearly eight months of salary, a person familiar with the matter told CNN on Friday.
Prosecution rests in Donald Trump’s hush money case. The defence now gets its turn to call witnesses
Michael Cohen testified Monday that he stole tens of thousands of dollars from his ex-boss Donald Trump’s company, an admission defence lawyers hope to use to undermine Cohen’s credibility.
Red Lobster probes 'endless shrimp' losses after bankruptcy filing
U.S.-based restaurant chain Red Lobster has filed for Chapter 11 bankruptcy protection in a Florida court after securing $100 million in financing commitments from its existing lenders, the company said on Sunday.
'Next man up': Canucks coach, teammates bracing for Game 7 without Brock Boeser
Questions about how the team is going to handle the absence of star winger Brock Boeser from a do-or-die game seven dominated pre-game interviews with the Vancouver Canucks coach and players Monday morning.
Katy Perry sings goodbye to 'American Idol'
Katy Perry said her goodbyes on 'American Idol' after seven seasons. On Sunday night’s live 'idol' season finale, a medley of Perry's hit songs were performed, including 'Teenage Dream,' 'Dark Horse' and 'California Gurls.'
U.S. Supreme Court rejects appeal from former Guantanamo detainee Omar Khadr
The U.S. Supreme Court on Monday rejected an appeal by a Canadian-born former Guantanamo detainee who was seeking to wipe away his war crimes convictions, including for killing a U.S. soldier in Afghanistan.
Woman, 35, in critical condition after her truck collided with a Via Rail train near Montreal
A 35-year-old woman is in critical condition after the pick-up truck she was driving was struck by a Via Rail passenger train Monday morning in Quebec's Monteregie region.