South End Drives Early Spring Market

Imagine putting your home up for sale and after two days on the market you receive eight offers and sell well over asking price. I know that sounds too good to be true but that's exactly what many fortunate sellers in Guelph experienced in February. Following a strong fourth quarter when the Canadian economy grew by 5 per cent, the biggest rebound in nine years, Canadians are feeling more positive about the economy. A recent consumer outlook index showed growing optimism last month, with 62 per cent now saying they expect the economy to improve in the next year.

Consumer optimism was evident locally as buyers willing to out-bid each other hit the streets and bought practically everything in sight. Spring had definitely come early as 33% of MLS sales sold for full price or more. But was this a city wide phenomena or did some areas fair better than others? Actually if your property was located in the south end you had a much better chance of attracting competing offers than anywhere else in the city. In fact 70% of the homes that sold for full price or more were located south of Stone Road.

Many of these purchases were likely made by investors looking for student rental properties with close proximity to U of G but neighbourhoods like Pine Ridge, Westminster Woods and Clairfields were super hot as well. Although the remainder of the city wasn't quite as active as their neighbours in the south, those areas were strong as well and did enjoy some spill over effect where buyers intent on making a purchase in the south end were forced to consider other areas because there just weren't enough homes for sale.

With the average MLS listing selling in 28 days and for 99.1% of asking price you wouldn't think the market could get much hotter but the season is yet to change and nothing would surprise me at this point. As the snow melts and things begin to turn green look for hot spring market conditions to spread throughout the city.  

Congratulations to Canada and Vancouver on a fabulous winter Olympics! My family and I watched with pride as our hosts and athletes showed the world what it means to be Canadian.