Shawn DeLaat here with the Davids & DeLaat Real Estate Team with your August 2023 Market Update.
Let’s begin with a swift journey through the year thus far:
January & February: The influence of interest rates suppressed the market slightly.
March to May: Despite an initial dip in confidence, the market reignited, especially in the spring months. However, inflation remained.
June & July: Interest rates rose, significantly impacting house prices.
To put things into numbers, the average sale price in Niagara reached $715,000 by April, experienced a minor dip in May, then recovered slightly in June to $712,000. As we moved into August, this number decreased to $680,000, a clear indication of how the rising interest rates have weighed on the market.
WHAT DOES THIS MEAN FOR SELLERS?
With interest rates on the rise, this isn’t the moment to stretch your asking price beyond its realistic value. If you’re hoping for a higher valuation, waiting until next year’s spring might be more strategic. That said, for those eager to both sell and purchase, there are abundant opportunities on the horizon.
WHERE ARE WE NOW? AUGUST 2023 MARKET STATISTICS
WHAT DOES THIS MEAN FOR BUYERS?
Here’s some optimistic news! September’s interest rate announcement saw rates being held by the Bank of Canada. This may bring equilibrium to the market in the upcoming months, presenting favourable buying conditions. It’s an excellent time to get pre-approved, securing a competitive rate for your next purchase.
NAVIGATING OUR MARKET
Rather than relying solely on the MLS or neighbourhood chatter, it’s vital to recognize the broader economic and market forces at play. Those who are currently entering the market with realistic pricing are seeing quicker results. In today’s digital age, buyers are informed and discerning. They recognize value and are unlikely to overpay.
Contact us to discuss a selling strategy that’s custom fit for your home. Visit us on Youtube to learn more about these changes or schedule your free home evaluation to find out what your home could sell for in today’s market.