Recent sales data form Real Estate boards around the country indicates that real estate market is changing to favour the buyer. Sales continue to decrease and benchmark prices for residential homes in most areas are moderating, in some areas trending down slightly since March.
"Real estate is cyclical and the numbers show that we've entered a buyer's cycle," explains Kelvin Neufeld, president of the Fraser Valley Real Estate Board. "Where appropriate, REALTORS® are recommending their sellers sharpen their prices, in particular for higher-end properties. On the other hand, there's still a steady appetite for mid-range properties priced competitively. Our average days-to-sell in June for single family homes was only six days more than last year indicating that when buyers see an opportunity, they act."
"We are now approaching a balanced market." said Ann Cosens, RAHB President. "Sellers can expect reasonable offers and homes are generally selling in reasonable time periods. For buyers, prices remain stable and there are a good number of homes to choose from."
"With the market stabilizing, there has never been a better time to be looking for a home," added Cosens. "Consumers have more properties to choose from and less pressure to make a quick decision and the market has a lot to offer all buyers."
In most provinces, sales numbers are slightly lower comparing to the same period of 2007, although it is still higher than those of 2006. It worth mentioning that 2007 was a record breaking year for real estate sales around the country.
On the other hand, some areas in Ontario recorded a remarkable increase in June! Burlington saw a 65 per cent increase in activity, driven by detached home transactions and even more robust attached/row house sales. In Toronto (downtown east) activity was up four per cent due to attached/row house and condominium apartment sales. And Ottawa - Ontario saw a big saw jump in higher-end properties, in particular, for homes priced between $750,000 and $1 million, which is a 52.4 per cent increase in that price category over last June.
Canadian Real Estate is experiencing a soft landing coming off the strongest and longest real estate cycle in our history. For those who don't remember selling a home in a normal competitive market, it's essential to work with a real estate professional who knows how to establish the right price for your property. Everything matters now: your neighbourhood, your property type, your home's appearance and thorough marketing.
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