Buyers back in the driver’s seat

Despite reports of a balanced market, buyers are now firmly in control

THE NUMBER OF homes sold in the London region is down 25 per cent from historic norms. The average price in June was $676,000, remaining relatively steady over the last three months.

Today, we’ll find out if interest rates climb again in what many perceive as a last-ditch effort to use monetary policy to tackle stubborn inflation. It would seem a rate increase is already baked into the market, with little signs of enthusiasm from either buyers or sellers.

New construction sales orders have for the most part ceased to exist in this market, in this region. Many builders with firm orders in hand are seeing those buyers evaporate, as they’re forced to walk away from deposits and risk future litigation. Speculative buyers have left the market. It’s a scary time for builders with unsold inventory of new houses and lots with little prospect of selling. That market will likely not return well into 2024.

As a buyer, you’re in the driver’s seat. Despite a “balanced market” by the numbers, buyers continue to hold the power. Sellers only have patience as a strategy, as they wait out this inflation fighting cycle in hopes the residential market improves in the future. Even though inventory is low, houses are staying on the market for long enough for buyers to be calling the shots.

Now is a good time to land your dream property ― provided you take a measured approach, confide and trust in your real estate professional and ensure your existing property is sold before proceeding.

Market analysis provided by Marcus Plowright, Sales Representative, A Team London. Marcus can be reached at 519-872-8326 or marcus@ateamlondon.ca.

High- and low-priced real estate listings around town this week

London East

Low

Address: 210-1176 Hamilton Road
MLS number: 40445382
List price: $179,000
Days on market: 13
Size: 1 bedroom, 1 bathroom, 505 square feet
Listing agent: Sagheer Chattha, Broker, Re/Max Centre City Realty Inc.

High

Address: 151 Travelled Road
MLS number: 40384231
List price: $2,190,000
Days on market: 127
Size: 6 bedrooms, 5 bathrooms, 4,120 square feet
Listing agent: Geoff Mitchell, Sales Representative, Re/Max Centre City Realty Inc.

London North

Low

Address: 103-511 Gainsborough Road
MLS number: 40432682
List price: $319,900
Days on market: 35
Size: 2 bedroom, 2 bathroom, 1,024 square feet
Listing agent: Dimitra Papastamos, Sales Representative, Sutton Group – Select Realty Inc.

High

Address: 99 Fitzwilliam Boulevard
MLS number: 40408069
List price: $2,950,000
Days on market: 57
Size: 4 bedrooms, 6 bathrooms, 6,377 square feet
Listing agent: Justin Konikow, Sales Representative, Prime Real Estate

London South & West

Low

Address: 1405-1105 Jalna Boulevard
MLS number: 40421512
List price: $245,000
Days on market: 29
Size: 1 bedroom, 1 bathroom, 589 square feet
Listing agent: Colin Abbot, Broker, Oak and Key Real Estate Brokerage

High

Address: 75 Woods Edge Close
MLS number: 40445791
List price: $2,989,000
Days on market: 13
Size: 5 bedrooms, 7 bathrooms, 8,308 square feet
Listing agent: Owen Price, Sales Representative, Keller William Lifestyle Realty

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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.