Home sales strong in August but local inventory slipping
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Home sales in the Quinte region took a slight dip in August compared to the same month in 2020, but year-to-date sales still remain strong.
A total 403 units sold last month, a decrease of 6.1 per cent from a year ago, but sales were still 16.9 per cent above the five-year average and 25.9 per cent above the 10-year average for the month of August.
On a year-to-date basis, a record 3,442 units sold over the first eight months of the year, a jump of 41.9 per cent from the same period in 2020.
“As expected, sales were down when compared to last August. However, unlike many other areas of Ontario, MLS home sales in our region continued at a significantly higher pace than the historical averages for August,” said Don McColl, president of the Quinte & District Association of REALTORS® Inc. “The number of newly listed properties was also above average for this time of year. However, due to the sustained strength in demand overall inventory continued to fall, maintaining the tight market conditions that have become commonplace over this past year.”
The MLS Home Price Index (HPI) tracks price trends far more accurately than is possible using average or median price measures. The overall MLS HPI composite benchmark price was $495,700 in August 2021, a substantial increase of 34.5 per cent compared to August 2020.
The benchmark price for single-family homes was $497,900, a jump of 34.7 per cent on a year-over-year basis in August. By comparison, the benchmark price for townhouse/row units was $472,800, increasing by 28.7 per cent compared to a year earlier.
The average price of homes sold in August 2021 was $597,828 an increase of 29.8 per cent from August 2020.
The more comprehensive year-to-date average price was $608,124, an advance of 43 per cent from the first eight months of 2020.
The dollar value of all home sales in August 2021 was $240.9 million, up by 21.9 per cent from the same month in 2020. This was also a new record for the month of August.
The number of new listings saw a minor increase of 1 per cent (five listings) from August 2020. There were 499 new residential listings last month.
New listings were 9.1 per cent above the five-year average and 8.6 per cent above the 10-year average for the month of August.
Active residential listings numbered 439 units on the market at the end of August, a big decline of 35.7 per cent from the end of August 2020. Active listings haven’t been this low in the month of August in more than three decades.
Active listings were 45.5 per cent below the five-year average and 67.8 per cent below the 10-year average for the month of August.
Months of inventory numbered 1.1 at the end of August 2021, down from the 1.6 months recorded at the end of August 2020 and below the long-run average of 4.6 months for this time of year. The number of months of inventory is the number of months it would take to sell current inventories at the current rate of sales activity.
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