Au­gust home sales down 28.1% from a year ago, but prices re­main at all-time highs

The Peterborough Examiner - - OPINION - EX­AM­INER STAFF

The av­er­age real es­tate sale price in Peterborough city and county for the year to date at the end of Au­gust was more than $400,000, the Peterborough and the Kawarthas As­so­ci­a­tion of Re­al­tors re­ported this week.

The all-time high av­er­age price is also about $75,000 more than in 2016 when lo­cal real es­tate sales started to soar.

Lo­cal sales have slowed in the past few months, re­flect­ing the trend in the Toronto area af­ter the pro­vin­cial gov­ern­ment in­tro­duced mea­sures to cool down the over­heated mar­ket, and they are well down com­pared to a year ago.

Res­i­den­tial sales num­bered 223 units in Au­gust 2017, a de­crease of 28.1 per cent from Au­gust 2016, the as­so­ci­a­tion re­ported.

On a year-to-date ba­sis, home sales to­talled 2,038 units over the first eight months of the year, down 9.7 per cent from the same pe­riod in 2016.

“Au­gust home sales con­tin­ued a trend of mod­er­at­ing sales ac­tiv­ity which mir­rors what is hap­pen­ing across the Greater Golden Horse­shoe re­gion,” stated Dianne Tully, the as­so­ci­a­tion’s pres­i­dent.

“New list­ings have pulled back in line with sales over the last three months, sug­gest­ing both buy­ers and sell­ers in Peterborough County are mov­ing to the side­lines for now to see what kind of im­pact re­cent changes to On­tario hous­ing pol­icy will have on the mar­ket.”

New res­i­den­tial list­ings on the as­so­ci­a­tion’s MLS sys­tem num­bered 304 units in Au­gust 2017, down 17.6 per cent from Au­gust 2016 and a 20-year low for new sup­ply in the month of Au­gust, the as­so­ci­a­tion re­ported.

Over­all sup­ply re­mains low. There were just 541 ac­tive res­i­den­tial list­ings on the as­so­ci­a­tion’s MLS sys­tem at the end of Au­gust, down 9.2 per cent from Au­gust 2016.

The as­so­ci­a­tion says that’s an all-time record low for the end of Au­gust. The long-term av­er­age for this time of the year is more than 1,300 lo­cal list­ings.

Res­i­den­tial months of in­ven­tory num­bered just 2.4 at the end of Au­gust 2017. This was up slightly from 1.9 months at the end of Au­gust 2016 but was still well be­low the long-term av­er­age for this time of year, the as­so­ci­a­tion re­ported. The num­ber of months of in­ven­tory is the num­ber of months it would take to sell cur­rent in­ven­to­ries at the cur­rent rate of sales ac­tiv­ity.

Mean­while the Ter­anet and Na­tional Bank of Canada House Price In­dex, re­leased Wed­nes­day and based on rolling av­er­ages, found Peterborough home prices rose 0.17 per cent in Au­gust and are up 17.82 per cent year to date and 22.41 per cent from a year ago.

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