Your daily real estate news!
Your daily real estate news!
Weekly Wrap Up...Will June's Momentum Shift Into July?
Welcome back to another episode of Selling the Rock! David Kurt here on the mic today reflecting on the week and amazing Canada Day spent with the family at the lake; and the thing at the top of my mind is… it is sooo hot. I’m never one to hate on the heat, and I’ll never ask for colder weather, especially after long winters we have in the North, but its times like this that I prefer to be hanging by a pool or the lake over going into work, and I had the realization that a lot of buyers may be feeling the same way.With the craziest June the Sudbury real estate market place has ever seen coming to an end, it's interesting to see if the momentum will continue and shift into July, and our Summer season.
The # of sales this week are down pretty significantly over the last week, which is a very interesting stat to watch. Now I’m not sure if that's real or with the holidays and heatwave over the last week, maybe the buyers have temporarily pushed pause on things for the last week. Despite sales being down, there were still more sales than new listings, the number one stat I try to keep an eye on week to week; which means that as of today a buyer has fewer homes to choose from on the market then they did last week. In a marketplace that buyers are starving for listings, that's clearly not a good sign.
The number of new listings was down over last week, in fact, we are at the lowest number of new listings for the last 6 weeks. Maybe the spring rush of sellers waiting on the sidelines, or for COVID to normalize has come and gone, or perhaps the buyers who were shopping with the thought of selling their home are realizing the difficulty of buying a home in this marketplace (especially when they have a house to sell), and are opting to hold off for the time being. With sales slowing down that’s one part of the equation to shifting out of the craziness of the current marketplace, but we need to have more listings then we are currently seeing to replenish the selection in the market.
There was a beautiful home that hit the market today on Maki for 1.6M; and I started to think about the prices we’ve seen in Sudbury over the past year. I did a quick search and there are currently 16 homes over 1M in the Sudbury marketplace alone (Manitoulin and the French River would add a bunch more to this as well if I included these in the stats). Next, I pulled up the sales and there are 5 sales in the last year for homes over 1M. The biggest shocker is that only 3/5 of them are waterfront; 2 of them are just nice homes in the Southend. On one hand, it feels crazy that there were 21 total homes over a million bucks in Sudbury; on another hand only 5 sales in the last year makes me think that even though there are a lot of homes asking prices over 1M the number of buyers in Sudbury that match the listings just may not be there at least in our current marketplace.
It may be an abnormal week with the heat-spell we’ve been under in Sudbury and the mid-week Canada Day kinda-holiday. I feel like my phone hasn’t been as busy this week with clients reaching out to inquire or see new places; and that was definitely reflected in the stats. This may be an off week so reflecting back on it we may have to put an asterisk next to the numbers.
I don’t want to be one to point out the obvious, but it is crazy hot in Sudbury right now. The current heatwave we are going thru has brought me to the realization that maybe we don’t need ‘holidays’ and vacations to shift out of the current market place as I’ve highlighted in the last few blog posts. It is very difficult to be ambitious to go to work when all you want to do is be at a beach, pool or lakeside. Perhaps this heat spell will be what's required to shift buyers away from the house lust they have been infatuated with; and that will shift the marketplace into a normal pace. Hope you
Weekly Wrap Up...The Q We've All Been Wondering...When is this Going to Stop?
AND WE'RE BACK! David Kurt here on the mic to give you the Weekly Wrap Up!
I’ve got the Alice Cooper song ‘Schools Out’ being sung over and over in my head. Today is the last day of online school for my kids, and giving me a nice break away from the craziness of trying to be a full-time teacher in addition to parent, business owner, and Realtor®. I got a poll from the Rainbow school board this week and they were asking questions about what I would prefer when it comes to a possible plan for next year, would I like to see alternate days for students or alternate weeks (based on reducing the number of students in a classroom); and it sunk in we are in this for the long haul.
With the ‘new normal’ (I hate that term); continuing in Sudbury; and more businesses opening up as we officially welcome in Summer, things just keep getting hotter and hotter with the local real estate marketplace.
This week we saw 63 sales with an additional 30 conditional/pending deals. Sales + Conditional Sales this week = 93 Deals. It was just a few weeks ago that we were shocked to see this number in the 60s and 70s; and this week we almost hit 100! That alone is pretty insane, but believable when I look back at how busy things have been in the last 7 days. The bigger take away from this number is that there were only 70 new listings replacing the 93 deals. That's the biggest reduction in the available product we’ve seen in months; a sign that things aren’t going to get better for buyers any time soon.
The percentage of multiple offers may have dropped, but it's the value of the sales that are going over list price that is the bigger shocker here. There was one listing that was priced at 210 that sold for over 56k above the asking price, with no conditions! And with every new sale, we establish a new baseline for comparable sales and future listings.
The crazy activity in the marketplace has a lot to do with buyers having FOMO (fear of missing out). Having been outbid on a few offers they become extra aggressive with their next bidding war.
We’ve had chats with our team about listing strategy, and I’ve seen a ton of complaints online that ‘Realtors® are the cause of this mass increase in prices’. When we list a house we do try to price it towards the upper end of what the recent sales show. I have heard on a few occasions that there are Realtors who are pricing homes under value purposely to encourage more activity and bidding wars. This is extremely frustrating for buyers! Homes that they are seeing in their price range are misleading and may sell significantly higher than their list price. A good Realtor and educated buyer should be able to estimate actual selling price (or range) when we see these under-priced listings, but realize that if this trend continues, there will be many frustrated buyers out there.
When is this going to stop? I’ve given a lot of thought about this and chatted about it in past weeks posts as well. Typically we see school end and families start to head to camp, or on vacations; although camp trips will continue, vacations will be on hold for the immediate future. This means that we won’t see the drop in buyers who shift their focus away from buying as they are busy with their summer plans. The number to continue to monitor will be Sales+Pending Sales versus New Listings. When things start to shift to more product and fewer offers, that's when the market will slow down, but I don’t know what will cause that in the near future.
If you're wondering how the market affects your situation as a buyer or seller, Lake City Realty would be happy to have a conversation with you!
Hope you are enjoying the official start to summer. Sudbury Summers are the absolute best, we have the lakes, trails and beautiful outdoors to take advantage of; get outside and enjoy it!
Weekly Wrap Up: May 22 - May 28th
Hey everyone and welcome back to another episode of Selling the Rock, you're Sudbury Real Estate Podcast! David is on the mic to share this week's wrap up!
This week was the week of of 'MORE'! More listings, more sales, more multiple offers...it's been a crazy week to say the least! There was a ton of fear last week that CMHC was pumping into the marketplace. Although, the threat of increasing minimum down payments and all the talk or Canadians on the brink of a ‘debt-cliff’ didn’t seem to have any sort of impact on our local marketplace. This week we saw the biggest increase in the number of sales that we've seen in all of 2020! When we look at firm deals and conditional deals together, we had over 60 deals! Multiple offers also jumped back up to 50% this week from 33% last week.
It seems the delay of the Spring market as well as the beautiful weather has created the perfect storm for chaos when it comes to the Sudbury Real Estate marketplace. Supply was up last week, and this week it's up again. I know buyers are begging for more listings, they are on their realtor.ca apps constantly and most know the number of available listings better than they know their mom's birthday. Last weeks trend of # Sales + # Conditional Deals # New Listings; didn’t hold up this week, and the numbers that we are seeing this week, even with the most new listings we’ve seen in a week in all of 2020, we are continuing to push the market further into Sellers Market territory.
It will be interesting to see if the sales will continue to rise to surpass those new listings in June. As long as the number of sales are greater than the number of new listings, we'll continue to push ourselves into a seller's market.
We appreciate all of our weekly listeners! Let us know what your thoughts are on today's weekly wrap up! And of course, let us know how we're doing; like, comment, share or leave a review! Keep an eye out for next week's episodes of Selling the Rock!
Weekly Wrap Up: May 9th - 15th
Hey everyone and welcome back to another episode of Selling the Rock, your Sudbury real estate podcast! We apologize we've fallen a bit behind, but here is the weekly wrap up for last week!
In any typical spring market, we hit this point where the phone doesn't stop ringing, we have back to back appointments and we're battling showings and multiple offers with other agents. Well, last week brought a lot of the same similarities...just add in hand sanitizer, face masks, gloves and nonstop COVID-19 disclosure forms. Basically, we are in a spring market...just in the middle of a pandemic!
The real estate numbers continue to show a bright picture that the market is fully emerging from the COVID shut down. Last week, May 9th to the 15th, we saw 45 new listings and 33 sales (with an additional 23 pending sales)! That could bring us to a total of 56 sales last week alone! The number of conditional sales is jaw dropping! A month ago, we saw multiple weeks in a row with 0 pending sales! This truly reflects how busy the market is right now! The percentage of multiple offers last week dropped pretty significantly, from 2/3 to closer to just over 50%. However, we are still seeing the trend of holding off offers.
Just a few weeks ago, David Kurt predicted that we were at the slowest point in the pandemic real estate market. Last week's number of listings almost tripled! This has a lot to do with sellers feeling the marketplace as an opportunity, with a build up of buyers and minimal listings. The market has reset back to a sellers market, similar to what we were seeing pre-COVID.
This busy market can still get busier. We've seen the number of new listings triple in size in size in the last few weeks, but they still aren’t keeping pace with the number of sales (and pending sales). As long as; Sales + Conditional Sales > New Listings; we are going to continue pushing the market further into a sellers market. As we continue to ease up on COVID requirements it is likely that more buyers will enter the home search as well, putting more pressure on the market and increasing the number of sales.
We appreciate all of our weekly listeners and hope that Selling the Rock has brought value to your daily lives. If you are looking into buying or selling in this market, we would be happy to grab a zoom coffee and chat about your unique position in the market.
Keep an eye out for this Friday's Weekly Wrap Up episode of Selling the Rock!
Weekly Wrap up: May 2nd - May 8th
Hey Sudbury! We're a bit behind on getting last week's wrap up out for you all in our effort to keep you up to speed with what's going on in the marketplace, especially on a local level. But you know what they say...better late than never!
David kicks off the episode by celebrating the reopening of hardware stores in Sudbury! That's right, no more waiting in line for pickups or calling ahead for orders! This seems to be one of the first signs that things are starting to go back to normal! Looking at the health unit website, we have 59 confirmed cases of COVID-19, with 2 deceased and 50 that are resolved. This is another great sign that our community is doing what we can to practice social distancing and flatten the curve.
The real estate market in Sudbury is fully emerging from the COVID shut down! Last week we saw 43 new listings! This is last week's most impressive number by far! It was only a few weeks ago where we were only seeing 10-15 new listings. May 2nd to May 8th had 21 sales. 66% of the 21 sales were in multiple offers! This is a strong trend week in and week out and we are seeing some very serious buyers. We've even seen the continued trend of listings holding off offers. Last week there was over 11 offers on a house in Garson and it sold for 30,000 over list price! This is crazy for the Sudbury marketplace!
On top of the 21 sales, there were also 7 conditional sales. 6 of which were listed in the last 9 days. Listings are fresh to the market and buyers are jumping on them right away! On our last Lake City Live, Tristan and I chatted about the spring COVID marketplace. We compared April 2020s numbers to April 2019s. There was a 50% reduction in the number of listings available in the marketplace. The hottest take on what this could all be leading to is that the COVID shut down is actually going to increase prices in Sudbury's marketplace, just based on having the supply and demand thrown so far out of whack!
We are seeing the opposite of what people expected! Tune in and don't forget to show your support for Lake City Realty's Selling the Rock Podcast! It's one of the ways that allow us to continue to connect with our local Sudbury community during times like these. Like, share, comment or leave a review!
Weekly Wrap Up - April 28th to May 1st
Hello Sudbury! Spring is definitely in the air today - what a beautiful sunny Friday afternoon! David Kurt is on the mic today to give you the update on what is going on in the Sudbury Real Estate Market! So grab a drink, go sit outside and tune in!
We're just over 40 days since Doug Ford has closed down all nonessential businesses! We've almost hit 60 days since life as we know it has been completely changed and tilted upside down. Our small March break extension has turned into a very long one for a lot of the parents that are home with their kids right now (Huge shoutout to all of you teachers for all that you do)!
A lot of clients have been wondering what is going on with prices and market activity amidst it all. Two weeks ago, David predicted we had hit bottom in terms of transaction activity, with 15 sales and 15 new listings week over week. We were at the point where it seemed like the market could not get any slower. This week proved that point as we are starting to see a come back!
The bounce back started this week, with 17 sales. The biggest shock was the 10 conditional sales in addition to the 17 - which could bring it to potentially 27 sales this week! Just over 40% of the sales were in multiple offers. Again, this trend remains a strong one in this week's activity. There were 37 new listings this week, which is up 15 from last week! This is definitely refreshing to see!
We are entering the most uncertain and interesting Spring market place for real estate Sudbury has ever seen. Dave's biggest takeaway is that we can be "open for business" for those that need us during these times, but we need to shift and adapt to be virtual and safety first. He shares a recent post that moved him, "If you're not in front of your audience showing how virtual solutions can help people make the choices they need to make - you're already being left behind in the industry". This resonates with Lake City Realty as we pride ourselves in being cutting edge and ahead of the curve. We need to be in a position where we're teaching consumers what virtual first real estate looks like.
We hope everyone has an amazing weekend! Don't forget to show your support for Lake City Realty's Selling the Rock Podcast! It's one of the ways that allow us to continue to connect with our local Sudbury community during times like these. Like, share, comment or leave a review! Stay tuned for next week's Wrap Up!
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Wow guys, just stumbled upon this, totally awesome :)
So cool to be able to get an idea of what is happening in the Sudbury Real Estate Market! tristan and david are great together!
Love the local information
Love to get a daily dose of local real estate info from Lake City Team!