Prices for Attached Row Townhouses in Pickering, Ontario, for November 2014
(See Explanation of 5 different House Types)
Real estate market data for Pickering, Ontario, for November, 2014 provided by Brian Wiseman LL.B., CIPS of Keller Williams Energy Real Estate Brokerage
Pickering Home Prices for Attached Row Townhouses
Some points of Interest:
ü The average price, for attached row townhouses in Pickering in November 2014, increased from $337,562 in November 2013 to $439,375 in November 2014 – a massive increase of $101,813 = a almost unbelievable 30.16%
ü The median price, for attached row townhouses in Pickering in November 2014, increased from $330,000 in November 2013 to $405,250 in November 2014 – also a massive increase of $75,250 = a huge 22.80%
ü There were 12 sales of attached row townhouses in Pickering in November 2014
ü There were 8 new listings during November 2014 but only 6 active listings remained at the end of the month
Buyers’ Market, Sellers’ Market or Balanced Market?
An accepted method of determining whether a specific area is in one of these markets is to calculate the ratio between Sales and Active Listings.
The ratio, expressed as a percentage, is an indication of the following:
55% or more = Sellers’ Market
36% to 54% = Balanced Market
35% or less = Buyer’s Market
For November 2014, the ratio of sales to active listings was 12/6
= 200%.
This is an indication that, for attached row townhouses in Pickering, in November 2014 it was still a VERY STRONG Sellers’ Market.
The fact that it is still a very strong Sellers’ Market is confirmed by two other statistics:
(1) The average number of days that attached row townhouses in Pickering were on the market in November 2014 was a low 21.8 days; and
(2) The average ratio of Selling Price to Listing Price for attached row townhouses in Pickering in November 2014 was a very high 100.48%.
This is a clear indication that there was strong competition among Buyers during the month and very little opportunity for Buyers to negotiate on price.
Jason Mercer, Director of Market Analysis for Toronto Real Estate Board says:
“The robust average price growth experienced throughout 2014 has been fundamentally sound, with demand high relative to supply. Strong competition between buyers has exerted upward pressure on selling prices. Barring a substantial shift in the relationship between sales and listings in the GTA (Greater Toronto Area), price growth is expected to continue through 2015.”
In a seller’s market, buyers have to:
· make quick decisions
· have, already, done adequate research
· know exactly what they are looking for
· know how much they can afford to pay by having arranged pre-approval of finance
· have a real estate agent working for them who:
ü knows and understands the market
ü through listing alerts, will bring the buyer’s attention homes that meet the buyer’s criteria immediately they are listed for sale (in a Sellers’ Market, it is important for Buyers, who are ready to buy, to know immediately a home, that meets their criteria, comes on to the market)
ü can show the buyer the prices that are generally being paid, compared to listing prices, in the current market
Do you know that, as a potential buyer, in almost every case, you can have a real estate agent working for you, without you having to pay for their service & advice.
This is because the buyer’s agent is usually paid by the seller’s agent.
It is advisable for buyers to use an agent who is totally independent from the seller’s (listing) agent. This avoids any conflict of interest during negotiations for a purchase.
Monthly Average Price and Number of Homes Sold
Pickering Attached Row Townhouses
November 2013 to November 2014
You will see that, over the last 12 months:
· the monthly average selling price for an attached row townhouse in Pickering has ranged from a low of $337,562 (November 2013) to a high of $439,375 (November 2014)
· the average price was steady in the $350,000 to $380,000 range except for high spikes in December 2013 and November 2014
· the number of attached row townhouses sold in Pickering in one month has ranged from 3 (December 2013) to 20 (July 2014), finishing at 12 in November 2014
Average prices can be misleading, especially when the number of sales is relatively low.
If there are not many sales, a few high quality homes, selling for above average prices can skew the average figure up for the particular month.
Similarly, a few lower quality homes, selling for below average prices can skew the average figure down for a particular month.
When there is a significant increase, or decrease, in average selling price, it is worth comparing the average price with the median price for the same period.
For the month of November 2014, the difference between the average selling price ($439,375) and average median price ($405,750) was $34,125.
It is likely that this difference, between the average selling price and the average median price, was due to some high priced sales in that month which skewed the average selling price up.
Average Ratio of Sold Price to Listing Price
Pickering Attached Row Townhouses
November 2013 to November 2014
The average ratio of price sold to price asked (list price) is an indication of demand for homes related to the listing price.
If a home is listed for $370,000 and it sells for $366,300, the sold price to ask price ratio is 99%.
You will see, from the above graph, that over the past 12 months, the monthly average selling price to market price ratio for attached row townhouses in Pickering ranged from a low of 98.84% (February 2014) to a high of 102.76% (May 2014), finishing at 100.48% in November 2014.
You will note that, because of the scale of the graph, the range appears to be much wider than this. In fact, in most months, the ratio was above, or just fractionally below, 100%.
This information is helpful when you are intending to make an offer on a home as it gives a general guideline on the price you may have to end up paying compared to the listing price.
However, it is a guideline only as the figures can vary significantly for individual properties.
Homes that are well priced for the current market tend to sell quickly and close to, or above, asking price.
Average Days on Market
Pickering Attached Row Townhouses
November 2013 to November 2014
The average number of days that homes are on the market is an indication of:
· the average number of days from the time a home is listed for sale until it is Sold Firm (unconditional);
· the relationship between supply (sellers) and demand (buyers) – the number of potential buyers compared to the number of homes listed for sale
You will notice, from the above graph, that, in November 2013, the average days on market was a very low 12.1 days. It spiked up in the quiet months of December and January but, then, remained consistently low until the end of November 2014 when it was, still, a low 21.8 days. This also supports the continuing indication of a strong Sellers’ Market.
An average of 30 days or less is a clear indication that demand (buyers) is significantly higher than supply (the number of homes for sale).
Homes that are well priced for the current market tend to sell quickly and close to, or above, asking price.
Pickering Home Prices – Attached Row Townhouses
November 2014
Summary:
In November 2014:
· 12 attached row townhouses were sold in Pickering; this is 4 more than the 8 that sold in November 2013
· Average price was $439,375; this is $101,813 above November 2013
· Median price was $405,250; this is $75,250 above November 2013
· There were 8 new listings for the month; 5 less than November 2013
· There were 6 active listings at the end of the month; 3 below November 2013
· Average selling price was 100.48% of listing price; in November 2013 it was 99.68%
· Average days on market was 21.8 compared to 12.1 in November 2013
Find Homes for Sale in Pickering, Ontario
YOU ARE INVITED to visit my website, at any time and as often as you like, to find pictures & details of homes for sale in Pickering
For photos and details of:
· semi-detached homes
· attached row townhouses
· condo townhouses
· condo apartments
currently for sale in Pickering:
You can also arrange to be notified when Pickering homes, that meet your criteria, come onto the market.
These services are available to you without obligation.
If you are thinking of selling, you can also:
ü Search on my website for homes, similar to yours, that would be competition for your home, if you list it for sale
ü Obtain an indication of the market value of your home
For answers to your questions, email me; or call 905-723-5944.
About the Author:
BRIAN WISEMAN, LL.B., CIPS, is a Sales Representative with Keller Williams Energy Real Estate Brokerage in Pickering & Pickering, Ontario, Canada.
In his past lives, Brian was a Partner in Legal Practices, specializing in Real Estate and Business Law (not in Family Law!) in Australia and a Principal of a successful Financial Planning Practice in Australia.
After the sale of his business interests in Australia, Brian started a new adventure by relocating to Canada with his Canadian wife.
He is particularly interested in:
· homes in South Durham Region – Pickering, Ajax, Whitby, Oshawa & Clarington
· relationships in real estate:
ü when 2 or more are purchasing a property;
ü when a relationship has ended and the home is to be sold – see The Future Focus Method
Brian has been licensed as a real estate agent in New South Wales, Australia and is currently licensed as a real estate sales representative in Ontario, Canada.
Brian has completed a basic intensive training course in Dr. William Glasser’s Choice Theory Psychology, upon which The Future Focus Method is based.
Brian is not authorized to give legal advice or financial planning services in Canada.
He is not authorized to provide marriage counselling.
He IS AUTHORIZED to provide real estate advice in Ontario.
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