Mortgage rule changes announced by the federal government in the fall of 2016 didn’t do much, if anything, to cool the red hot real estate market.
Over the last few months the Norfolk County real estate market appeared unstoppable. Average home price sales soared 23% in February, 13% in March and 32% in April compared to the same month only a year prior. In May of this year, the average sale price in Norfolk County climbed 35.23% compared to May of 2016.
However, for the second month in a row the number of Norfolk County home sales have dropped when measured against the same month only one year ago.
In April, sales numbers slipped by 11%. In May of this year, the number of sales dipped 6.2%.
While the supply of properties available for sale has been to blame for the dwindling sales numbers, in May of 2017 the exact same number of new listings were offered for sale on the local Multiple Listing Service (MLS®) during the same month only one year ago.
What could be the cause of sliding sales numbers in Norfolk?
Is it as a result of the provincial government’s Fair Housing Plan announced in April? Are buyers waiting to “hold off and see how things go”, following the Ontario government’s policy announcement? Is this a sign of a rebalancing of the hot market the province was hoping for?
Or, are buyers waiting for new listings to enter the market when they typically peak during May and June?
Could it be that skyrocketing home prices are making home ownership tougher to achieve in Norfolk County?
While market-watchers may not agree on what’s happening in the local real estate market, one thing is for certain.
It’s never been more important to work with a full-time, experienced REALTOR® to help you navigate the complexities and challenges of a real estate market that is constantly changing.
If you’re in search of solid advice and market data or any other real estate matters, feel free to “leave a comment” below and we’ll get in touch. Of course you can always call us at 519.586.7922, 519.426.2072 or using “Ask Us Anything” at EriesEdge.com.