SITUATION NORMAL(ISH)

There’s a lot of negative noise in the real estate atmosphere these past few days and weeks.  

The Bank of Canada has bumped up the bank rate by 50 basis points. No surprise there, that move was well telegraphed. In case you haven’t heard, the BoC is telegraphing they expect to be at the upper end of the 2-3% as the prevailing rate by late Fall.  And yet, the talking heads jump all over this news as if it’s a total surprise. It’s either too little too late, or it’s overkill and God help us now.

Yet when you look at the numbers we’ve compiled for the month of May, it’s essentially a balanced market.  

Yes, the number of sales are down.  In the City of Guelph, for all property types, the number of sales is down by 32.5%, the number of listings is up by 10.2%, and the median sales price is still up by just over 15% from May of 2021.

Not the end of the world by any stretch of the imagination. 

We’ve spent a lot of time talking about the significant role that lack of inventory has played in driving prices higher.  Coupled with record low interest rates, it was the perfect storm to push prices through the roof.  What we’re seeing today is a return to more normal conditions, where houses don’t sell in a nanosecond and you don’t have to go into gladiator mode to buy a home, and yes, prices are not jumping up by 5% every week!

Anytime there is a change in market conditions – and I don’t care whether it's soybeans, gas or houses – we see an outpouring of response and emotion. In our current day, media just amplifies it.  Spend 5 minutes on Twitter and you’ll see what I mean. 

We talked about this last week.  There are opportunities in every market. The proactive buyers in today’s market are seeing more homes available, sellers eager to entertain offers, and no crowds to fight over a home.

The reactive buyers and fence-sitters will wait indefinitely on the sidelines waiting for that perfect shot. Wait and pay more interest, or wait and hope prices go down enough to cover the cost of rising payments?  Or, you can look at what you can afford today and take risk off the table and move on with your life.

If you’re anything like me, I’m tired of the unknown risks and want to focus on happier and healthier decisions.

 

CHECK IT OUT! WE’VE JUST RELEASED OUR

MAY 2022 MARKET REPORT

THIS REPORT CONTAINS

  • Sales stats for all Guelph home types

  • Township comparisons: Puslinch, Guelph/Eramosa, and Centre Wellington

  • Full home type breakdowns for Kitchener, Waterloo & Cambridge

 

THE PAST WEEK IN THE GUELPH REAL ESTATE MARKET

Take a look at the full key week comparison:

 

THIS WEEKEND’S OPEN HOUSES

18 New Street, Guelph

2 storey detached / 2 bed / 1 bath / 985 sqft

Saturday, June 4 from 2:00–4:00

35 Mountford Drive #57, Guelph

2 storey stacked town / 3 bed / 1.5 bath / 1,195 sqft

Sunday, June 5 from 1:00–3:00

 

302 College Avenue West #94, Guelph

2 storey townhome / 3 bed / 1.5 bath / 1,292 sqft

Sunday, June 5 from 2:30–4:30

933 Gzowski Street, Fergus

Detached bungalow / 3 bed / 2.5 bath / 1,489 sqft

Sunday, June 5 from 1:00–3:00

 

49 Halifax Drive, Kitchener

2 storey detached / 3 bed / 2.5 bath / 1,656 sqft

Saturday, June 4 from 2:00–4:00

Sunday, June 5 from 2:00–4:00

218 Queenston Road, Cambridge

2 storey detached / 3 bed / 1.5 bath / 1,914 sqft

Saturday, June 4 from 1:00–4:00

 

158 Woolwich Street S, Breslau

Detached bungalow / 4+3 bed / 4.5 bath / 2,126 sqft

Saturday, June 4 from 1:00–3:00

46 Atwater Crescent, Hamilton

Detached bungalow / 2+1 bed / 2 bath / 1,036 sqft

Sunday, June 5 from 2:00–4:00

 

Are you curious what homes in Guelph are really selling for?

View today’s sales prices, plus photos, maps & property details – imagine realtor.ca, but for sold properties!

 

Learn more about the Home Group Realty Journey

 

KEEP READING