Below you will find a Guelph Market Update for October 2018 report which will provide you with information on the local real estate market and recent sales activity in specific Guelph neighbourhoods. 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 October 2018

Market Update

The numbers are in and here is what happened in October for the Guelph real estate market.

Sales:

There were 172 sales this month, which is down 5% from the number of sales that we had last October. However, it is slightly up from last month.

Inventory:

There are currently 391 active listings on the market which is up 23% from last October and also up from last month.

There were 270 new listings on the market this October which is up 8% from last year.

Average Sale Price:

The average sale price in Guelph was $490,749 which is down 4% from last year and 5% from last month. This is common to see as we approach the winter as fewer families are out looking for larger homes. Most of the purchases are being done by first time buyers or investors. This causes a larger percentage of smaller homes to sell which pulls down the average sale price.

Let’s dive into more detail –

Detached Houses – remained flat from last October.

Attached Houses – also are flat year over year

Apartment style condos are up 8% from last October.

List-To Sell Ratio:

Houses are selling on average for 98.8% of the list price. Which means that we are experiencing some negotiations when selling right now. Of the houses that are selling, 27% went to multiple offers and sold over asking. This is up substantially from September when only 18% sold over asking. 85% of the houses that sold over asking in October were listed under $600,000.

Months of Inventory:

If we look at months of inventory, which is our supply and demand, we have 2.27 months of inventory. Meaning we are still in a seller’s market.

Right now, under $600,000, we are in a seller’s market with 2 months of inventory on the market. Then between $600,000-$1,000,000, there are just under 4 months of inventory. This is still considered a seller’s market but very close to balanced. In the $1,000,000+ market, there are currently 29 months of inventory which is in a buyer’s market. There was only 1 sale in Guelph over $1,000,000 in the month of October.

Summary:

Overall when we look at how we did this October, the market wasn’t as strong as it was in 2017. But there’s a little bit of a caveat to that because, in October of 2017, they announced that they were going to be implementing the new stress test rules starting January 1st, 2018. That caused a temporary spike in the market. We saw an increase in both average sale price and the number of sales in the month of October. Which then balanced out in November. It will be interesting to see what our November over November numbers are for this year. I’m expecting we’re going to see the number of sales continue to drop as we approach December, which is normal.

If you’re someone who’s looking to buy, you’re probably going to get a better price on a home in either November or December, as there’s still some motivated sellers out there, and there’s less competition from buyers.

From a seller’s perspective, if you’re selling an investment property, condo or townhouse, November or December are still good months to do that. You’ve got less competition from sellers, and you still have lots of first-time buyers & investors out looking.

If you’re thinking of selling a larger, family home, you may want to wait until after the holidays, as you don’t get as many families purchasing at this time. Now is an excellent time for to have your realtor to come out and talk to you about pricing, timing the market, and what you can do to get your house ready so that you can sell it for the maximum price. That way, when the market does pick up in the beginning of 2019, you’ll be ready to act and get your house on the market.