House Prices in Oshawa, Ontario, for February 2015 - Detached Homes
Real estate market data for Oshawa, Ontario, for February, 2015 provided by Brian Wiseman LL.B., CIPS of Keller Williams Energy Real Estate Brokerage
Oshawa House Prices – Detached Homes
(See explanation of 5 different house types)
Some points of Interest for February 2015:
ü The average price, for Detached Homes in Oshawa in February 2015, increased from $343,335 in February 2014 to $362,958 in February 2015 – a significant increase of $19,623 = 5.72%
ü The lowest average price for a month during the year was $325,828 in May 2014; the highest average price was $362,958 in February 2015.
ü The median price, for Detached Houses in Oshawa in February 2015, increased from $326,000 in February 2014 to $347,000 in February 2015 – a significant increase of $21,000 = 6.44%
ü 128 Detached Homes were sold in Oshawa in February 2015; this is 16 more than the 112 sold in February 2014
ü There were 196 new listings for the month; 1 less than February 2014
ü There were 155 active listings at the end of the month; 19 less than February 2014
ü Average sold price was 100.25% of listed price; in February 2014 it was 99.04%
ü Average days on market was 13.2; in February 2014 it was 19.6
Buyers’ Market, Sellers’ Market or Balanced Market?
FOR DETACHED HOMES IN OSHAWA IN FEBRUARY 2015:
· Ratio of Sales to New Listings:
Sales = 128; New Listings = 196
Ratio is 128/196 = 0.65 = 65%
As this is over 60%, it indicates a Seller’ Market
· Absorption Rate – Ratio of Sales to Active Listings:
Sales = 128; Active Listings = 155
Ratio is 128/155 = 0.83 = 83%
As this is over 20%, it indicates a strong Seller’ Market
· Number of Months of Inventory:
Sales = 128; Active Listings = 155
155/128 = 1.21 months
As this is less than 4 months, it indicates a strong Seller’ Market
· Days on Market:
The average number of days that Detached Homes were on the market in February 2015 was 13.2 days
As this is less than 120 days, it indicates a strong Seller’ Market
· Ratio of Sold Price to Listed Price:
The average ratio of Sale Price to Listed Price was 100.25%
This is consistent with the other indicators and confirms a strong Sellers’ Market
The above are clear indications that the existing Sellers’ Market, for Detached Homes in Oshawa, was continuing and that, in February 2015, there was little opportunity for buyers to negotiate on price.
In commenting on real estate statistics for Toronto Real Estate Board (TREB), the Board’s President Paul Etherington said:
“Large annual increases in transactions were noted for most major home types, in the City of Toronto and surrounding GTA regions.
Even with the record low temperatures last month, we still saw an increase in the number of people purchasing homes in the GTA. This speaks to the importance households place on home ownership and the fact that buyers continue to view ownership housing as a quality long-term investment in which they can live.
The overall supply of homes for sale, as measured by the count of active listings at the end of February 2015…. means that market conditions became tighter, leading to more competition between buyers.”
Jason Mercer, Director of Market Analysis for TREB said:
" The strong year-over-year price growth we experienced in February points to the robust demand for ownership housing in the GTA, coupled with a constrained supply of homes for sale in some market segments, especially where low-rise home types like singles, semis and townhouses are concerned.”
See 5 Essentials for a Buyer in a Sellers’ Market
Do you know that, as a potential buyer, in almost every case, you can have an 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.
See 5 Reasons Why a Buyer SHOULD NOT Talk to a Listing Agent
Monthly Average Price and Number of Homes Sold
Oshawa Detached Houses
February 2014 to February 2015
You will see, from the above graph, that:
· the monthly average sold price for a detached house in Oshawa has ranged from a low of $325,828 (May 2014) to a high of $362,958 in February 2015
· the number of Detached Homes sold in Oshawa in one month has ranged from 250 (May 2014) to 93 (December 2014), finishing at 128 in February 2015
Average prices can be misleading, especially when the number of sales is relatively low.
High quality homes, selling for above average prices can skew the average sold price up for the particular month.
Similarly, lower quality homes, selling for below average prices can skew the average sold price down for a particular month.
When there is a significant increase, or decrease, in average sold price, it is worth comparing the average sold price with the median price for the same period.
The average sold price in February 2015 was $362,958 whereas the median price in that month was $347,000 – a difference of $15,958.
It is likely that this difference between the average sold price and the median price, in February 2015, was due to a significant number of high priced sales in that month which skewed the average sold price up compared to the median price for the same period.
That this is the probable cause is confirmed by the fact that, at the time of writing this report, there are 57 homes currently listed for sale above $500,000; 4 of those are above $1million & 1 of those is just under $3million.
Average Ratio of Sold Price to Listed Price
Oshawa Detached Homes
February 2014 to February 2015
The average ratio of sold price to price asked (listed price) is an indication of demand for houses related to the listed price.
If a home is listed for $350,000 and it sells for $346,500, the sold price to ask price ratio is 99%.
You will see, from the above graph, that over the period, the ratio of monthly average sold price to listed price for Detached Homes in Oshawa ranged from a low of 98.56% in the quiet month of December 2014 to a high of 100.25% (February 2015).
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, 99%.
This is a clear indication that there was competition among Buyers during the month and little opportunity for Buyers to negotiate on price.
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
Oshawa Detached Houses
February 2014 to February 2015
The average number of days that homes are on the market is an indication of:
· the period from when a home is listed for sale until it is Sold Firm (unconditional);
· the level of competition between potential buyers
You will notice, from the above graph that, in February 2014, the average days on market was 19.6 days. For most of the year it remained below 23 days except for a spike to 31.9 days in the usually quiet month of December 2014. At the end of February 2015 it was back down to a very low 13.2 days, continuing the indication of a strong Sellers’ Market.
Homes that are well priced for the current market tend to sell quickly and close to, or above, asking price.
Oshawa Home Prices – Detached Homes
February 2015
Summary:
Although the number of sales of detached houses in Oshawa in February 2015 were low compared to the summer months, there are clear indications that the strong Sellers’ Market conditions were continuing.
See 5 Essentials for a Buyer in a Sellers’ Market
Find Homes for Sale in Oshawa, 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 Oshawa
For photos and details of detached homes currently for sale in Oshawa:
You can also arrange to be notified when 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 Oshawa & Whitby, Ontario, Canada.
In his past lives, Brian was a Partner in Legal Practices, specializing in Real Estate and Business 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.
Comments(0)