August 31st, 2008 Market Position
The number of residential properties sold during the first eight months of this year has shown a decline of about 16% from the same period in 2007. The long hard winter and unsettled spring months have certainly contributed to these results, notwithstanding the fact that the spring of 2007 was a "Record Setting Period" and to meet or surpass those results would be a challenge at the best of times. While unit volume is down, Residential prices have continued to increase, albeit at a moderate rate of about 2.7 % (year over year) to a current value of approximately $265,000. There certainly are indications that the previous steam in the housing industry has abated, and we are in a period of coasting to the next destination, rather than travelling at breakneck speed!
As a result of the lower unit sales volume, inventory levels are above normal, and selection in most price points is favourable. The average time on the market from list to sell, has decreased to 52 days versus the prior year at 55. Approximately 57% of the total sales volume in the market occurred in the range from $200,000 to $300,000, with the balance spread over price points on either side of this range.
My Forward Predictions for the Barrie Area Market
As we move into the balance of 2008, the continuing short supply of serviced land, plus increases in labour, building materials and municipal development charges will continue to put upward price pressure on new home construction. This will in turn, assist in maintaining current price levels in the re-sale market, in spite of the reduced demand. Properties which are priced reasonably and present themselves well, will sell better than those which are simply relying on low prices to attract a buyer. Recreational and Specialty Properties will continue to be in demand, since they have a limited supply. The introduction of the GO Service to Barrie, the general affordability of the Barrie area, and the imposition of a double land transfer tax system in the Greater Toronto Market will fuel unit growth in the longer term. Prices will continue to escalate at a rate of about three to five Percent over the next twelve months, and mortgage rates will most likely continue at their historically low rates throughout the balance of the year and into 2009.
The City of Barrie has been designated by the Province of Ontario as a Growth Centre, and Buyers coming to the area can still expect to find a wide range of housing options at affordable prices With average prices at least $175,000 below comparable metropolitan Toronto values, buyers from the greater metro area will find a refreshing negotiating environment where reasonable offers are entertained by Sellers, multiple offers are the exception, and local REALTORS® work "around the clock" to bring the Agreement together.
The availability of rental housing has improved, but with mortgage interest rates at record low levels, and 100% financing available, the option to buy makes economic sense for everyone.
For further detailed information, contact Gary Grant, Sales Representative, CENTURY 21 B.J. Roth Realty Ltd., Brokerage (705) 721-9111 or email at ggrant@garygrant.ca.
Characteristics:
Through the late '90's and early 2000's, Barrie was ranked as the fastest growing City in Canada... surpassed recently by the retirement community of Kelowna, B.C. While growing at a slower rate than previously, the momentum has continued and the skyline of the City continues to change with development of new Residential, Commercial, and Industrial areas... supplemented by the planned reconfiguration of the Downtown Core into a vibrant waterfront experience. Barrie and the adjoining municipalities of Innisfil and Oro-Medonte continue to offer the sparkling clear waters of Lake Simcoe and local world class ski hills for recreational purposes. With today's emphasis on environmental conservation, these assets will continue to offer safe and convenient swimming, sand beach lounging, skiing, snow boarding, and tubing for all members of the family. Come and see for yourself... we're "Just Slightly Above Toronto"!
Gary Grant Personal Information:
Gary approaches each day with enthusiasm and a positive attitude. Hard work, sharing, and caring are ideals that he embraces and these ingredients have led to a proven success record in his real estate activities.
Experience, and Lots of it ... Gary has nineteen years of experience in the Real Estate Industry, and a prior career in the financial, information technologies, general management, and marketing areas with major international corporations. His daughter, Candi, joined him in his practice over two years ago, and they now work as a partnership with one of the largest and most successful Real Estate firms in the area.
A Successful REALTOR® in the Barrie area, Gary's client base has continued to expand based in no small measure on his attention to detail, and respect for the personal and unique requirements of both buyers and sellers. His clients have continued to return for their ongoing real estate needs, and they have also recommended that friends and family members do likewise.
On the Leading Edge... Gary always keeps pace with the many changes in technology, law, and business practices occurring within the Real Estate Industry. As a result, Gary ensures his clients are getting the absolute best service and representation available. Attendance and participation at provincial and national real estate conferences and seminars have allowed him to capitalize on emerging trends and practices; to the advantage of all of his clients. The tracking of market trends and statistics play a key role in Gary's approach to providing advice, and his extensive data base allows him to ensure that his clients are being well served with the information they need to make informed decisions.
Gary has chaired or been a Committee Member of the regional MLS® and Computer Systems and Professional Standards Committees during most of the past fifteen years and he has been interviewed and published on several occasions by provincial and national real estate publications. He is a past Director of the Barrie & District Association of REALTORS®, and participates in ongoing Task Force Committees and Mentor Programs.
For further detailed information, contact Gary Grant, Sales Representative, CENTURY 21 B.J. Roth Realty Ltd., Brokerage (705) 721-9111 or email him at ggrant@garygrant.ca
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