Navigating a hard housing market
It’s no secret that the housing market is going through its fair share of ups and downs. But there are ways for buyers and sellers to plot a course and find confidence
REAL ESTATE IS hard! It’s especially hard on sellers, but buyers also have to navigate this market, often trying to purchase while having to sell their existing home.
Both buyers and sellers face some difficult questions: Are prices moving up or down? Will spring bring demand back? Will Bank of Canada rate reductions affect the housing market? How are immigration decisions by the federal government going to affect the market? If the GTA condo market crashes, how will that affect condos in London? Fixed or variable rate mortgage? Should I price to induce multiple offers? Do I have to sell if I don’t get my price? Should I wait to list ― won’t everyone be waiting, causing a flood of new supply? Is seasonality still an issue in this slow market?
“Almost 4,800 London families that wanted to move couldn’t”
How challenging is real estate right now? By the end of September in London, 9,029 homeowners had attempted to sell their home in 2024 ― 4,224 were successful; 4,795 were unsuccessful. Stop for a moment to consider the implications of that: almost 4,800 London families that wanted to move couldn’t. Just three years ago, virtually every house that listed sold (and for further context, that number of successful sales is 12 per cent less than was achieved ten years ago in 2014).
In this market, having experienced representation matters. Every single transaction is complicated. Multi-layered conditional transactions are the norm. Our team had one home sale that was conditional on the buyer’s home selling, which sold conditionally on another home selling, which sold conditionally on another home selling, which sold conditionally on a home selling that was listed in another province directly by the owner. Keeping deals alive and dreams grounded in such an environment requires skill and experience.
There are about 2,300 real estate agents in the London region. So far this year, the average agent would have been involved in five or six successful transactions. The median number is likely much lower given the 80/20 rule is at play ― 20 per cent of the agents doing 80 per cent of the transactions. Most rare are teams that work together on all transactions in the brokerage for the benefit of their clients. Imagine instead of the experience from a few deals, your team of agents worked together on 100 transactions in 2024. Would the advice be deeper, based on broader experience, and perhaps with more nuance? Would that advice be more valuable to you?
Navigating a purchase and sale can be gut wrenching. There’s supposedly a housing shortage and yet half the homes listed aren’t selling. Interest rates are falling but fixed mortgage rates are not. For every home that sells, two more come to market. Real Estate is hard! Get an expert or group of experts to guide you in this journey. Make a plan ― and be patient. Despite the challenges, with the right guidance, this market can be navigated.
Market analysis provided by Marcus Plowright, Sales Representative, A Team London. Marcus can be reached at 519-872-8326 or [email protected].
High- and low-priced real estate listings around town this week
London East
Low
Address: 852 Princess Avenue
MLS number: X9513857
List price: $299,900
Days on market: 1
Size: 3 bedroom, 1 bathroom, 700-1,100 square feet
Listing agent: Nicole Benedict, Salesperson. EXP Realty Brokerage
High
Address: 129 John Street
MLS number: X9234740
List price: $5,595,000
Days on market: 87
Size: 9 bedrooms, 19 bathrooms, 5,000+ square feet
Listing agent: Trent Forristal, Salesperson, Sutton Group – Select Realty, Brokerage
London North
Low
Address: 19 Empress Avenue
MLS number: X9493483
List price: $469,900
Days on market: 5
Size: 2 bedroom, 1 bathroom
Listing agent: Andrew Stinson, Salesperson, Century 21 First Canadian Corp.
High
Address: 864 Clearview Avenue
MLS number: X9298104
List price: $4,675,000
Days on market: 53
Size: 5 bedrooms, 6 bathrooms, 5,000-plus square feet
Listing agent: Michael Reis, Sales Representative, Sotheby’s International Realty Canada
London South & West
Low
Address: 511 Ferndale Court
MLS number: X9509891
List price: $399,900
Days on market: 5
Size: 2 bedroom, 1 bathroom, 700-1,100 square feet
Listing agent: Craig Van Wees, Sales Representative, Sutton Group Select Realty Realty Inc. Brokerage
High
Address: 1011 Cherrygrove Drive
MLS number: X9053822
List price: $4,250,000
Days on market: 95
Size: 4 bedrooms, 4 bathrooms, 5,000-plus square feet
Listing agent: James Smith, Sales Representative, Sutton Group – Select Realty
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.