Marketing Coordinator
Hello, Niagara!
Shawn DeLaat here with the Davids & DeLaat Real Estate Team with your January 2024 Market Update.
Reflecting on the past, 2023 was a challenging year, recording the lowest sales since 2002, coincidentally the year I began my career in real estate. As we welcome the new year, there’s a palpable sense of optimism, thanks partly to promising developments in interest rates and market activities.
INTEREST RATES AND MARKET SENTIMENT
The Bank of Canada’s recent announcement to hold interest rates steady, with a potential decrease later in the year, has injected a dose of positivity into the market. This decision is critical as it sets the tone for economic activities, including real estate transactions, and influences buyer and seller confidence.
WHERE ARE WE NOW? JANUARY 2024 MARKET STATISTICS
MARKET DYNAMICS AND TRENDS
The ripple effect of market recovery is beginning from Toronto and making its way to Niagara, indicating a gradual pick up in out-of-town markets. This trend is encouraging for the region as it signifies a broader recovery. January’s sales, while still below the ten-year average, show significant improvement and the increase in average sale price from December indicates a positive direction.
INVENTORY AND COMPETITION
Despite the optimistic outlook, Niagara’s market still has a high inventory, with nearly 1,900 listings. This high inventory level suggests that while we may not see the extreme bidding wars of the past, competition among buyers could intensify as the market continues to recover and attract out-of-town buyers.
OPPORTUNITIES FOR BUYERS AND SELLERS
The current market conditions present unique opportunities for both buyers and sellers. Buyers have a window of opportunity to make purchases before the anticipated increase in demand and potential interest rate drops. Sellers, facing a more favourable market than last year, are advised to prepare for the spring market, as demand is expected to strengthen, potentially leading to price increases.
OUTLOOK
After a challenging year, the Niagara real estate market shows signs of recovery and growth. With strategic planning and timing, buyers and sellers can successfully navigate this evolving market. At Davids and DeLaat, we’re committed to guiding our clients through these changes and helping them achieve their real estate goals. As we move forward, the outlook for 2024 is bright, and we’re here to help you capitalize on the opportunities ahead.
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.
