End of Q3 and September 2024 review of Wellington County Real Estate
As we close out the third quarter of 2024, the real estate landscape in Wellington County has presented some interesting trends that both buyers and sellers should be aware of. While we’ve seen certain areas of the market shift, strong buyer activity persists. Let’s dive into the top takeaways from this quarter and what they mean for you as you plan your next steps in the local real estate market.
1. Sales Volume on the Rise
One of the most notable highlights from the third quarter is the impressive 20.22% increase in total sales volume. September alone saw $193.6 million in sales, significantly up from the $161 million reported the same time last year. This surge indicates that while some aspects of the market have cooled, buyer interest remains strong, fuelling transaction volumes across the region.
2. Unit Sales Experience a Boost
Along with higher sales volume, the number of homes sold has also increased. September 2024 recorded 228 units sold, marking a 23.24% jump from the 185 homes sold in September 2023. This growing momentum in unit sales reinforces that buyers are still actively participating in the market, despite shifts in pricing.
3. A Buyer’s Market Emerges
While activity is up, prices have softened slightly, making it an opportune time for buyers. The average sale price in September 2024 was $822,949, down 0.21% from last year, and the median sale price dropped 1.56% to $775,250. These price adjustments could give buyers more bargaining power as inventory levels remain healthy. The average year to date sales prices in Wellington county (at end of September) for each type are:
- Freehold Homes:$931,286
- Condominium homes: $615,117
- Vacant land sales: $941,250
4. More Expired Listings, Less New Listings
A noteworthy development is the 41.82% rise in expired listings, signalling that homes are taking longer to sell or that some sellers are holding off until market conditions improve. Meanwhile, new listings have slightly dipped, down 1.37% compared to September 2023. With fewer new properties entering the market, competition among buyers for available listings may increase.
5. The Days on Market Have Lengthened
The average number of days a property remains on the market has also extended, now sitting at 33.1 days, which is 5.55 days longer than this time last year. This trend highlights the evolving dynamics between buyers and sellers, where homes are taking a bit longer to move.
6. Higher Sales-to-Listings Ratio
Despite the slower turnover in some areas, the sales-to-listings ratio saw a healthy boost of 7.92%, climbing to 39.65% in September 2024. This means that a larger proportion of the homes listed are getting sold, a sign of increasing buyer engagement.
7. Year-to-Date Trends Reveal Slight Cooling
Looking at the year-to-date data, we see a slight cooling compared to last year. The total sales volume for the year so far is $1.85 billion, down by 1.22% compared to the same period in 2023. Additionally, the total number of homes sold YTD has fallen marginally by 0.4%, with 2,241 units sold compared to 2,250 units in 2023.
8. Mid-Range Homes are the Hot Sellers
In terms of price brackets, homes in the $550,000 to $749,000 range saw the most significant growth, with a 10.24% increase in sales this year. This indicates strong demand for mid-range properties, as buyers target homes within a more affordable range relative to other segments of the market.
9. Slight Drop in Luxury Sales
At the other end of the spectrum, the luxury market (homes priced over $2M) has slowed. Year-to-date sales in this segment are down 12.12%, with only 29 homes sold so far this year. This could reflect more cautious spending in the high-end market amid economic uncertainties.
10. Market Stability Ahead
While certain trends indicate a slight cooling, the Wellington County market remains competitive and active. The gradual easing of prices alongside rising sales activity points to a stable market where buyers can find opportunities, especially in the mid-range price segments, while sellers may need to adjust their strategies based on current market conditions.
What Does This Mean for You?
For sellers, the key to success in this evolving market is to price your home competitively and be prepared for slightly longer listing times. Understanding the market’s new dynamics, especially the increased number of expired listings, will help you set realistic expectations.
For buyers, this is a great time to enter the market as price declines offer more favourable conditions. With more choices available and homes staying on the market longer, you may find yourself in a stronger negotiating position.
Inflation has now gone down below the target rate of 2%, and with inflation in line, it is forecast that there will be further cuts later this week with the upcoming announcement. 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 we move into fourth quarter of 2024.
Whether you’re looking to buy or sell, navigating the market with the help of an experienced realtor is more important than ever. I am here to help you navigate the changing real estate landscape. If you have any questions about navigating this market, 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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