Tillsonburg home sales slower in May as demand exceeds supply
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Residential sales activity recorded through the MLS System of the Tillsonburg District Real Estate Board numbered 54 units in May 2016. This was a decrease of 6.9 per cent from May 2015.
On a year-to-date basis, home sales totalled 274 over the first five months of 2016. This was 45 per cent more than the number of transactions in the first five months of 2015 and marked a record for the period.
“Following the breakneck pace of sales in March and April, activity came in at a more average level in May,” said Frank Catry, president of the Tillsonburg District Real Estate Board. “Given how few listings are out there on the market right now, it’s possible that May’s slowdown in sales was more of a supply story than a demand story. The ongoing supply shortage is certainly having an impact on prices in the region. The average price so far this year is up almost 12 per cent over 2015.”
The average price of homes sold in May was $230,574, up seven per cent from May 2015. The year-to-date average price was $244,926, up 11.8 per cent from the first five months of 2015.
The dollar value of home sales in May 2016 was $12.5 million, edging down 0.4 per cent from year-ago levels.
New residential listings numbered 93 units in May 2016, up 9.4 per cent from the same month in 2015.
Overall supply is running at the lowest levels on record. Active residential listings onthe Board’s MLS System numbered 174 units at the end of May, down 39.2 per cent from the same month in 2015.
There were 3.2 months of inventory at the end of May 2016. This was down from 4.9 months at the end of May 2015 and stood well below the long-run average for this time of the year. The number of months of inventory is the number of months it would take to sell current inventories at the current rate of sales activity.
The Tillsonburg District Real Estate Board members provide professional real estate services to buyers and sellers of all types of property. Its members are part of the Ontario Real Estate Association and the Canadian Real Estate Association, and as such subscribe to a high standard of professional service and a strict Code of Ethics. Tillsonburg District Real Estate Board listings can be found on www.realtor.ca.