End of August 2024 review of Wellington County Real Estate
Welcome to the Wellington County real estate market update for the end of August 2024. This month, we’ve again observed several significant key trends that reflect the dynamic nature of our local housing market. The market remains balanced despite a decrease in median sale prices, and unit sales, while offering more choices for buyers and heightening competition among sellers.
Here are 10 trends from the August 2024 Wellington County real estate market which tell the tale of what’s happening:
- Increased Sales Volume: The total sales volume for August 2024 reached $186.94 million, a 15.02% increase from the previous year’s $162.53 million.
- Rising Unit Sales: The number of units sold in August 2024 was 228, marking an 11.22% increase from 205 units in August 2023
- Average Sale Price Growth: The average sale price increased slightly by 0.09% year-over-year, reaching $819,678 in August 2024. The average year to date sales prices in Wellington county (at end of August) for each type are:
- Freehold Homes: $927,030
- Condominium homes: $614,428
- Vacant land sales: $843,500
- Median Sale Price Decrease: Despite the slight rise in average prices, the median sale price dropped by 2.06%, down to $767,625
- Increase in Expired Listings: Expired listings saw a sharp incline of 157.14%, from 35 in August 2023 to 90 in August 2024
- Higher Unit Sales/Listings Ratio: The unit sales to listings ratio increased by 4.26%, reaching 56.16% in August 2024 compared to 51.90% in 2023
- Growth in New Listings: New listings rose by 2.78% in August 2024 compared to the same month in 2023, with 406 new listings
- Year-to-Date Sales Volume Drop: The year-to-date sales volume in 2024 dropped further this month, and was $1.655 billion, down by 3.24% from $1.71 billion in 2023.
- Longer Time on Market: Properties are taking longer to sell, with the average days on market increasing by 18.89%, from 27.13 days in 2023 to 32.25 days in 2024 .
- Diverging Price Segments: Sales in the $550K-$749K price range increased by 8.02%, while sales in the $750K-$999K range dropped by 8.74% and further drops across all higher price ranges.
These trends show a dynamic market with mixed signals, such as rising unit sales for the month, but overall longer days on the market and a drop in certain price ranges over last year.
Earlier this month, The Bank of Canada reduced the key policy rate a third time this summer by .25% again, down to 4.25%. And it was forecast that there will be further cuts later this in October and December. This seems to have kept some buyers on the sidelines waiting to see if further cuts were on the horizon. However, August 2024 also showed the lowest inflation rate of 2% since February 2021, so with inflation in line it is in question whether the BOC will in fact continue with further cuts since they have hit their 2% target rate for this piece.
What This Means for Buyers and Sellers
For buyers, the current market offers increased opportunities and leverage to find properties with more choices and potentially better pricing. However, buyers should still act diligently, as the market remains balanced and competitive for desirable properties.
For sellers, the current trends highlight that while there is still demand, sellers should be aware of heightened competition and longer sale times, especially in higher price ranges. Sellers also need to be strategic in their approach and patience will be especially key to successfully selling in this more competitive environment.
Stay tuned for next month’s update as we continue to monitor these trends and provide insights into the Wellington County real estate market as the summer season comes to an end. For more detailed insights and personalized advice, contact Frances Snider, Sales Representative at Royal LePage Royal City Realty.
Whether you’re buying or selling, I am here to help you navigate the changing real estate landscape. If you have any questions about navigating this market, whether you’re buying or selling, please reach out. I’m here to help you make the most informed decisions. So let’s chat if you’re thinking of making a move this year, give me a call at 519-824-9050 ext. 235 and let’s turn your real estate dreams into an address!
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