Hope you are enjoying the nice weather! Below you will find a Guelph Market Update for April 2018 which will provide you with information on the local real estate market and recent sales activity in your specific area. Don’t hesitate to contact us if you have any questions or if you are ready to move forward with the next step!

Guelph Market Update for April 2018

Market Update

Here is what happened in the Guelph Real Estate Market in April!

There were 224 sales this month, which is down 19% from the 277 sales that we had last April. Compared to last month, however, sales are up 24%.

There are currently 341 active listings on the market. This is up 79% from last year and up 10% from last month. We are continuing to see inventory increase, but this is normal over the busy Spring months.

If we look at the total number of new listings, we had 316 in April, which is up 19% from last year. We are starting to see more people put their homes on the market, especially as the weather has been improving.

The average sale price in Guelph is $513,430, which is still down 8% from April of last year when the average sale price was $557,000. Average sold prices are up 1.5% from last month so things are moving in a positive direction. We are still experiencing a higher volume of lower-priced houses sell this year which is pulling down our average sale price.

Let’s dive into more detail – detached houses had an average sale price of $588,000, which is down 8% from last April, but up $4,000 from last month.

Attached houses are down 5% from last April, with an average sale price of $436,000. Apartment style condos had an average sale price of $332,000 which is basically flat from the average of $333,000 last year.

Right now we are comparing our year over year numbers with the peak of our market last year. As we start to compare May and June numbers which is when the market started to correct last year, we will start seeing that gap narrow. We think by the end of the summer that we will be back into positive appreciation.

Houses are selling on average for 99.3% of the list price which is basically full asking price. Of the houses that are selling, 32% went to multiple offers and sold over asking. Of the houses that are selling over asking 90% of them are listed under $600,000. This demonstrates that our market under $600,000 is much more active.

If we look at months of inventory, which is our supply and demand, we have 1.52 months of inventory. The number has consistently been dropping over the last few months which is an indicator that our market is getting stronger. Anything under 5 months of inventory is considered a seller’s market so right now overall we are still in a seller market in Guelph.

That being said, it is very important to look at months of inventory over different price ranges because our market shifts quite dramatically depending on what price you are looking at. Right now, under $600,000, we are in a very strong seller’s market with anywhere from ½ a months inventory to 1.5 months inventory. Then you can see things shift dramatically when you go between $600,000-$800,000, as we have just under 4 months of inventory, which is approaching a balanced market. Interestingly, the $800,000-$900,0000 market is performing really well right now with only 1 month of inventory, but when we look at the $900,000 – $1,000,000 market there are 16 months of inventory, indicating this market is very saturated. Ideally, you do not want to be priced in this range right now. Finally, the $1,000,000+ market is performing pretty well with just under 4 months of inventory.

This is very important information to know when coming up with a list price for your home. For example, if your house is valued right around the $600,000 price point you are much better to go with a list price of $599,900 then $609,900 because that $10,000 puts you in a dramatically slower market. On the flip side, if your house is valued around $800,000 you might be better to list in the low $800,00’s than the $799,900 because the $800,000-900,000 price point is much more active. Having said that, if you are going to push up into a higher price bracket, you must make sure that your house is still offering good value at that list price.

If you look at our market as a whole we are still is a very healthy market. It’s not the same as last year but it is much more stable. I know we said this last month but there is a great opportunity for people looking to sell their house priced under $600,000 and buy at a higher price point where there is more selection. If you are doing the opposite and looking to downsize you will want to sell first.