Pandemic and real estate

By Lindsay Smith/Columnist

Every day I’m asked questions about our local real estate market. Some would require a “crystal ball,” however mine is in the shop for repairs, so I rely on what the local trends tell us about the market.

Our stay at home experience started in mid-March, and March reacted in dramatic ways. The first two weeks we saw homes selling quickly and prices rising; the latter weeks saw homes sales slow, waiting for buyers. This slow down lasted into April and we saw a sizeable drop in average prices. Since the first of May the buyers returned and there have been multiple offers in many price ranges.

History shows us that demand may slow or even stop during a crisis; however, the buyers are still hungry for homes and they have been buying more and more as the weeks move along.

Three things I have tracked for years to help me understand the Oshawa market are sales and new listings:

• In the past week we have had 72 new listings, the week before we had 69.
• In the past week we have had 55 homes sell firm, up 32 from the previous week.
• In the past week we have had 45 homes sell conditionally, down one from the previous week.

The other metric that is valuable is comparing the same week, month over month. By doing this we can see how things have changed from month to month during the pandemic.

• Last week over the same week last month: showings are up 146 per cent, new listings are up 46 per cent, and sales up are 72 per cent.

These numbers show us that sales are up last week and the number of homes for sale is almost unchanged. What is really exciting is that month over month the increases are dramatic. Confidence is like a snowball rolling down a hill. Once it starts it gains speed and power. This is the direction our real estate market is heading.

Buyers and sellers are getting used to the “new normal” of showing and selling processes and more and more are entering the market. We are still down if you compare year over year, but the immediate future looks rosy.

If you have any questions about this information or if you have other questions I can be reached at lindsay@buyselllove.ca

Lindsay Smith Broker

Buy Sell Love Durham

Keller Williams Energy Real Estate Brokerage