Riding the real estate roller coaster

From geopolitical risks to Trump tariffs to domestic squabbling, the interconnectedness of global events with the local real estate market is undeniable

THE FIRST THREE weeks of January in London real estate are telling us a story.  A total of 206 sales so far this month, 745 new listings, 1,826 houses for sale. The average price is bumping up and down week by week. The takeaway? Similar to recent months, new listings are dramatically outpacing sales ― 3.6 times listings versus sales. Inventory is running at about 21 weeks ― a historically high number.

Could uncertainty be affecting real estate?  I have 60 years behind me, and I pay reasonably close attention to current events. I don’t believe there’s been a time since the Cuban Missile Crisis or the fall of the Soviet Empire that world affairs seemed more in flux. Tariff threats, a provincial election, a lame duck Prime Minister, duelling premiers, Gaza, Ukraine, artificial intelligence roller coaster ― I could go on. Uncertainty dominates our politics, our economics and most importantly our confidence and mood.

In light of rapidly changing events, the most difficult prediction one can make right now is the direction of interest rates. Regardless of this morning’s quarter-point cut to the Bank of Canada’s benchmark rate (bringing the key rate down to three per cent and marking its sixth straight decrease), long-term mortgage rates remain impossible to predict in the near term.

The best advice I can offer? Be careful and measured as you approach this real estate market. Get very strong guidance from financial and real estate professionals. Cross your t’s and dot your i’s ― making informed decisions along the way.

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: 1306 Brydges Street
MLS number: X9013498
List price: $357,900
Days on market: 208
Size: 2 bedroom, 2 bathroom
Listing agent: Les Coulter, Sales Representative, Sutton Group Preferred Realty Inc.

High

Address: 1839 Parkhurst Avenue
MLS number: X10429127
List price: $1,699,000
Days on market: 71
Size: 4 bedrooms, 3 bathrooms, 3,500-5,000 square feet
Listing agent: Durga Prasad Aaripaka, Sales Representative, Century 21 first Canadian Corp.

London North

Low

Address: 9 Ardsley Road
MLS number: X10441564
List price: $474,999
Days on market: 67
Size: 4 bedroom, 2 bathroom, 1,100-1,500 square feet
Listing agent: Dean Soufan, Broker, Century 21 First Canadian Corp. Dean Soufan Inc.

High

Address: 864 Clearview Avenue
MLS number: X9298104
List price: $4,295,000
Days on market: 146
Size: 5 bedrooms, 5 bathrooms, 5,000-plus square feet
Listing agent: Michael Reis, Salesperson, Sotheby’s International Realty Canada

London South & West

Low

Address: 53 Ada Street
MLS number: X11901432
List price: $349,999
Days on market: 32
Size: 3 bedroom, 1 bathroom
Listing agent: Trevor Potter, Salesperson, Oak and Key Real Estate Brokerage, Inc.

High

Address: 1011 Cherrygrove Drive
MLS number: X9053822
List price: $3,999,999
Days on market: 188
Size: 4 bedrooms, 4 bathrooms, 5,000-plus square feet
Listing agent: James Smith, Sales Representative, Sutton Group – Select 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.