Signs of market stabilization, plus a sampling of high- and low-priced real estate listings in London this week
PRELIMINARY MARCH STATISTICS for the London region suggested two big market developments. For one, the relentless price increases we’ve experienced since August have come to an end. Secondly, the number of active listings grew considerably, especially after March break came to an end.
That doesn’t mean the fundamental imbalance of demand exceeding supply has not been solved suddenly, but it is possible buyers are taking a pause at the same time as sellers are rushing to market to catch the tail end of this fever.
There is a perfect storm of rising interest rates, new taxes on foreign buyers, Russian aggression causing destabilization, stubborn ongoing inflation on all fronts ― all creating uncertainty, as it should. These are uncertain times.
There are some fundamentals to keep in mind. It will take years to increase the building pace and supply of housing to accommodate the demand imbalance we have due to unprecedented immigration over the last five years. The value of real estate has grown so dramatically in the first 90 days of the 2022 (about 20 per cent) that it may take months or years to digest those gains.
The market desperately needs to stabilize to avoid a catastrophic correction, as the recent pace is obviously unsustainable. No one can predict how the market will move in the future, but I’d like to point out that even a theoretical 10 per cent correction would only take us back to values achieved 70 days ago.
I’m not a doomsayer ― far from it. Our beautiful city is attracting newcomers. Our economy is solid and growing. Our financial institutions and lending systems are safe, stable and have built in guiderails.
As always, get good advice. Listen to the professionals. Make sound decisions. Don’t overextend. Be patient when warranted, but decisive when necessary.
Address: 308-1170 Hamilton Road
MLS number: 40228505
List price: $189,900
Days on market: 14
Size: 1 bedroom, 1 bathroom, 505 square feet
Listing agent: Scott Vannoord, Sales Representative, Sutton Group-Select Realty Inc., Brokerage
Address: 1745 Kilally Road
MLS number: 40223277
List price: $3,500,000
Days on market: 24
Size: 3 bedrooms, 4 bathrooms, 4,000 square feet
Listing agent: James Hudson Smith, Sales Representative, Sutton Group -Select Realty Inc., Brokerage
Address: 216-511 Gainsborough Road
MLS number: 40221540
List price: $289,900
Days on market: 26
Size: 2 bedroom, 1 bathroom, 885 square feet
Listing agent: Michelle Henderson, Broker, Re/Max Advantage Realty Ltd., Brokerage
Address: 306 Waterstone Place
MLS number: 40214978
List price: $2,790,000
Days on market: 36
Size: 3 bedrooms, 4 bathrooms, 2,331 square feet
Listing agent: Kelley McIntyre, Salesperson, Royal LePage Triland Realty, Brokerage
London South & West
Address: 107-1103 Jalna Boulevard
MLS number: 40226606
List price: $249,900
Days on market: 7
Size: 0 bedroom (bachelor), 1 bathroom, 410 square feet
Listing agent: Veronika Jovicic, Salesperson, Sutton Group-Select Realty Inc.
Address: 2133 Wharncliffe Road South
MLS number: 40229995
List price: $2,499,900
Days on market: 12
Size: 4 bedrooms, 2 bathrooms, 3,700 square feet
Listing agent: Marcia Beaton, Broker, EXP Realty, Brokerage
Disclaimer: London Inc. does not guarantee the accuracy of the statistical data on this page. The data does not represent the listings of any one agent or agency but represents the activity of the real estate community in the area. Any real estate agent’s ad appearing is separate from the statistical data provided, which is in no way a part of their advertisement.