How’s the local real estate market?

Covid-19 affecting the market? Is this a good time to sell or buy?

These are the questions everyone is asking in these unusual times and no one has a crystal ball with the answers. Truth is, it’s too early to know what the impact will be or how long this crisis will last as it could take weeks or even months before we’re out of the woods. As a service to anyone who is interested during this time, I will be providing a weekly update along with our monthly report. This weekly report will deal directly with new developments in sales and listing activity and what they can tell us in our local real estate market.

Please reach out to our Team to discuss what this data means, and how it affects your real estate goals.

I want to start with what we do know, which is the local statistics during the first 3 weeks in March for each of the communities we service across Grey County.  That being The Blue Mountains, Chatsworth, Grey Highlands, Meaford and West Grey. This week the two metrics we are going look at are the number of new residential listings and the number of sales to date in the month of March.  I always say numbers tell the story and that way you can form your own opinion instead of listening to everyone else’s opinion who may not know the facts and figures.

  The Blue
Mountains
Chatsworth Grey Highlands Meaford West Grey
NUMBER OF NEW LISTINGS

March 1-7

15

0

2

10

6

March 8-14

16

1

6

5

3

March 15-21

10

4

4

3

2

Total for March 1-21 2020

41

5

12

18

11

Total for March 2019

38

10

17

23

23

NUMBER OF SALES

March 1-7

10

1

5

3

2

March 8-14

8

4

7

5

3

March 15-21

1

5

3

5

3

Total for March 1-21 2020

19

10

15

13

8

Total 2019

18

6

7

9

8

When you look at the number of new residential listings and the number of sales for this month so far in March of 2020 and compare it to those of March 2019 there has been no drastic change. In fact there was an increase in the number of sales in four of the communities and one that remains the same in this time period over last year. I should also mention that I think most of these statistics cover dealings that were already in the works of coming on the market for sale or were in the process of the sale that has now finalized. As I mentioned earlier, it is too early to know the impact of Covid-19 on the local real estate market, but what I do know is that people are still moving, people still want to buy and sell so the market will continue.

Next week I will look at the metrics of the average residential home price in our local communities and the months of inventory for the entire month of March and what that can tell us about the market.

I would now like to discuss another historical major event in the 21st century and see if it can provide us some insight.  In 2003 there was the SARS virus which had a greater impact on Toronto and surrounding area than our local community here in Grey County. Things we learned from the Toronto real estate market during 2003, during the height of the outbreak and isolation period, the real estate market was slower. By the end of 2003 the average house price had increased from 2002 as did the number of home sales. Some key differences to point out when looking at the SARS virus of 2003 is that today we have a  lower supply of homes for sale with record lows. Interest rates are also lower today compared to 2003. Factors that could affect the market that are still unknown is if the number of cases of Covid-19 will keep increasing, what the length of the crisis will be and if the number of people that are unemployed will increase.

Stay tuned for next week’s update on our local real estate market during these unusual times. If you would like to be kept up-to-date with the real estate market as it pertains to the coronavirus, sign up below.

Written by Karen Cox, Broker of Record Sea & Ski Realty

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