House Prices in Ajax, Ontario, for February 2015 - Detached Homes
Real estate market data for Ajax, Ontario, for February 2015, provided by Brian Wiseman LL.B., CIPS of Keller Williams Energy Real Estate Brokerage
Ajax 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 Ajax in February 2015, increased from $443,117 in February 2014 to $520,479 in February 2015 – a massive increase of $77,362 = 17.46%
ü The lowest average price for a month during the year was $443,117 in February 2014; the highest average price was $568,626 in January 2015
ü The median price, for Detached Houses in Ajax in February 2015, increased from $415,000 in February 2014 to $520,000 in February 2015 – a massive increase of $105,000 = 25.30%
ü 88 Detached Homes were sold in Ajax in February 2015; this is 26 more than the 62 sold in February 2014
ü There were 133 new listings for the month; 21 more than February 2014
ü There were 86 active listings at the end of the month, 9 less than February 2014
ü Average sold price was a high 101.05% of listed price; in February 2014 it was 99.56%
ü Average days on market was a very low 14.2 days; in February 2014 it was 14 days
Buyers’ Market, Sellers’ Market or Balanced Market?
FOR DETACHED HOMES IN OSHAWA IN FEBRUARY 2015:
· Ratio of Sales to New Listings:
Sales = 88; New Listings = 133
Ratio is 88/133 = 0.66 = 66%
As this is above 60%, it indicates a Seller’ Market
· Absorption Rate – Ratio of Sales to Active Listings:
Sales = 88; Active Listings = 86
Ratio is 88/86 = 1.02 = 102%
As this is over 20%, it indicates a strong Seller’ Market
· Number of Months of Inventory:
Sales = 88; Active Listings = 86
86/88 = 0.98 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 a very low 14.2 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 Sold Price to Listed Price was a very high 101.05%
This is consistent with a strong Sellers’ Market
The above are clear indications that the existing strong Sellers’ Market, for Detached Homes in Ajax, was continuing.
In February 2015 there was strong competition among Buyers and 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
Ajax Detached Houses
February 2014 to February 2015
You will see, from the above graph, that:
· the monthly average sold price for detached houses in Ajax has ranged from a low of $443,117 (February 2014) to a high of $568,626 (January 2015), finishing at $520,479 in February 2015
· the monthly average sold price steadily increased from February 2014 until a significant spike upwards in January 2015 and, then, dropping back to the trend line in February 2015
· the number of Detached Homes sold in Ajax in one month has ranged from 185 (May 2014) to 48 (December 2014), finishing at 88 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.
The average sold price, for Detached Houses in Ajax in February 2015, was $520,479 which is congruent with the median price in that month of $520,000.
Average Ratio of Sold Price to Listed Price
Ajax 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 $500,000 and it sells for $495,000, 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 Ajax ranged from a low of 98.09% (January 2015) to a high of 101.05% in 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 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
Ajax 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 a very low 14 days. For the rest of the year it was less than 22 days, finishing at a very low 14.2 days in February 2015.
This record of average days on market throughout the period of less than 22 days is confirmation of the continuation of the strong Sellers’ Market.
Homes that are well priced for the current market tend to sell quickly and close to, or above, asking price.
Ajax Home Prices – Detached Homes
February 2015
Summary:
All of the indicators, for Detached Houses in Ajax in February 2015, point to the conclusion that the existing strong Sellers’ Market conditions were continuing.
It is clear that, in February 2015, there was still strong competition among Buyers and there was little opportunity for Buyers to negotiate on price.
See 5 Essentials for a Buyer in a Sellers’ Market
Find Homes for Sale in Ajax, 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 Ajax
For photos and details of detached homes currently for sale in Ajax:
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.
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