According to Phil Moore, REBGV president “With fewer buyers active in today’s market, we’re seeing less upward pressure on home prices across the region. This is most pronounced in the detached home market, but demand in the townhome and apartment markets is also relenting from the more frenetic pace experienced over the last few years.” and that “With increased mortgage rates and stricter lending requirements, buyers and sellers are opting to take a wait-and-see approach for the time being.”
Last month, we still see multiple offers but buyers were more firm on what price they were willing to pay.
The July 2018 residential home sales were
- Down 30.1% from July 2017
- Down 14.6% from June 2018
- Down 29.3% from the 10-year July sales average
- The lowest level for July since 2000
As for sales-to-active ratios, single family homes remain in the BUYER’S MARKET with downward pressure on price (if the ratio remains below 12% for a prolonged period of time.) Townhomes and condos are still in the SELLER’S MARKET (above 20%) but the ratios have been returning to a more balanced market (between 12 to 20%).
As the REBGV president said “With increased mortgage rates and stricter lending requirements, buyers and sellers are opting to take a wait-and-see approach for the time being.”