Kingston & Area – 2020 in Review

KAREA_Year End 2020
KAREA-UnitsSoldYearEnd 2020

What a crazy year for real estate. COVID certainly didn’t stop people from buying or selling. In fact we saw an 8% increase in sales over the previous year. I personally feel there were a few converging ideas. Some of them had to do with the trends which I addressed in Real Estate Trends 2020 but I also felt there was a large movement of single family investment properties. With record sale prices (15% over 2019) and with so much uncertainty with tenant rights during COVID, I think these types of investors are thinking its time to cash out while the going is good.

On the other side of the coin we are seeing multi-residential buildings flying off the table including places like Napanee and Gananoque. Toronto investors are swooping in and taking advantage of much lower pricing.

2020 was also the year we had a record number of house sales with multiple offers. My prediction is that 2021 will bring more of the same. Let’s hope I’m wrong!

Kingston & Area Real Estate Stats – Sept. 2020

As this year progresses, the real estate market remains unpredictable and crazy. As the COVID cases rise we may see a downward shift in sales activity this winter. I am personally seeing a bit of what I call “OFFER FATIGUE” from buyers. Some feeling a bit of hopelessness. Who would have thought it would be so hard to purchase a home.

But with so much economic turmoil, the question remains as to the effect this will have on the housing market in the coming months. There seems to be consensus that next year we will see a softening of the market. I’m not so certain this will happen in Kingston and Area as we continue to have a greater demand for single family homes, as well as a increasing portion of out-of-town cash buyers .

The impact of COVID-19 on the housing market is complex, and we believe it will lead to diverging price trends among regions and housing categories. The pandemic is affecting demand and supply of various market segments quite differently. It is cooling demand for and boosting supply of rentals in large urban areas. This, in turn, is reducing investor interest in condos. The pandemic is also altering the housing needs of many current owners who look for more spacious properties in less crowded settings. This is simultaneously shifting demand from condo apartments to single-detached homes and other low-rise categories, and increasing the supply of smaller condos in core urban areas. Work-from-home arrangements and the lesser appeal of big-city living (with reduced cultural and socializing opportunities during these times of social distancing) are increasingly driving buyers further away from downtown locations into suburbs, exurbs and even cottage country. We believe this trend will sustain strong demand in smaller markets, putting intense pressure on their housing stock. The bottom line is we expect condo prices to weaken in larger markets next year, while we see prices for single-detached homes remaining generally resilient—albeit increasing at a slower pace. “ RBC

There continues to be a good percentage of homes which are going for over asking price. More people are now offering greater amounts of money to get a home. Recently a house priced at $259,000, sold for $350,000. It had 17 offers. The question is was this house actually only worth $259k or $350k to begin with?

 

AmtOverAsking

Year to date we have seen a 14% increase over same period last year for the Kingston & Area market. September sales were higher and as you can see the days on market was significantly less for the month of September.

Let’s hope for a slower winter for us all!

MoreCities_Sept
KAREA Sept 2020 Real Estate Stats

Kingston & Area Real Estate Stats – August 2020

Despite being in the middle of a pandemic, Canada housing market shattered records in July.  What the fall brings to the housing market will be anyone’s guess.  There are still many uncertainties.    Questions remain as to how the changes to the federal CERB program, which is due to change in October, and the mortgage deferral program, which is set to end around the same time, will effect Buyers & Sellers.  Approx. 16% of mortgagors have deferred at least one payment.   Has this put homeowners into a financial situation in which they will not recover from?   I personally think there will absolutely be casualties which will result in mortgage defaults.   The extent will not be known till later this year and perhaps into next.

Amongst these Canadians, are workers who have not yet been able to get back to work.  The hybrid model for school reopening will leave parents without options for childcare. Those who can go work may be making difficult choices.    And amongst all this chaos is whether there will be a resurgence of new cases.  Let us not forget that the U.S.A. is in the middle of a presidential election!

As you can see… so many questions… not enough answers.  Is it the right time to buy, sell, or hold?  Will prices continue to go up or down?  Each buyer or seller is unique and I’d be happy to discuss your situation in person or by phone.

If you know of someone thinking about buying or selling I’m always looking for more great people like yourself. Always here to help!

Avg Sold per Type Aug 2020

Kingston & Area Stats – July YTD 2020

Kingston & Area Stats YTD July 2020
Kingston & Area Stats YTD July 2020

Last month I showed that the number of sales over the same period as last year was down by almost 20%. July’s sales were strong and the gap is closing-in with now recording only an 8% drop YTD. Still low based on history in the Kingston & area but it shows that despite COVID, people are still buying homes.

Average SOLD price YTD is slightly up over last month with a +11% change.

Average sold price for Kingston & area is now $435,696 with 45% of buyers this year in the $300 k – $450 k price range.

How much over asking price

We continue to see multiple offers on many properties and there appears to be a slight uptick in more aggressively priced offers over last month. But despite this, almost half of all sales were below or at asking price.

Many buyers have been discouraged but if they work with the right Realtor® that can provide guidance, their success in finding the right home will be greater.

Kingston & Area Statistics – YTD June 2020

Kingston & Area Real Estate Stats June 2020
Kingston & Area Real Estate Stats June 2020

COVID-19 and the subsequent lockdowns have certainly shifted our “spring” market.   June has seen the flood gates open as Kingston and area went into Phase 2 of reopening.  Although sellers have not completely embraced listing their homes at this time, we are seeing buyers out in full competitive force.

Our average SOLD price Year-To-Date 2020 has seen a 10% increase over the same period as last year .   Prices prices have been affected by mainly the lack of inventory & the number of buyers.  Listings are down 16% from the same period last year.  To give you another perspective as well, Kingston and area has seen a sellers market for the last 4 years.  So if we compare with the number of houses listed from 2015 (same period), inventory is down 46% from that time frame.   

Recent CMHC rule changes which came into effect July 1st, in addition to mortgage companies increased scrutiny of the buyers employment records due to COVID, are going to make things tougher for buyers.  We are just not seeing the effects of this in Kingston yet.   

MULTIPLE OFFERS
Buyer are increasing finding themselves in multiple offer situations in today’s market.  This is discouraging to many.  To buyers, it appears ALL houses are in “bidding wars” which in fact only 30% of sales sold over asking.   How much over asking is another good question.  This table shows 2019 vs 2020 $$ over ask price.  As you can see the bulk of those which did sell over asking (the 30%), were distributed between $1 – $20,000 .  

% over asking

Without perspective, it would appear that there is lots to get discouraged over.   I strongly encourage you to work with a Realtor® who has their pulse on what is going on in the market and to provide you with advise which will prepare you for what you need to do to BUY or SELL your home.    Additional stress is not what we need right now and certainly not during your house hunting.  This is suppose to be a time of joy.  

I’m always here to answer your questions.  Give me a call!

 

Kingston and Area home sales pop up in August

Aug2015StatsHome sales recorded through the MLS® System of the Kingston and Area Real Estate Association posted a double digit year-over-year increase in August 2015.

Residential property sales numbered 297 units in August, up 13.4 per cent from the same month a year earlier. On a year-to-date basis home sales are currently running almost seven per cent ahead of the first eight months of 2014.

“August was an above average month for home sales in the Kingston area, not record breaking but an improvement from earlier this year,” said Jack Green, President of the Kingston and Area Real Estate Association. “Meanwhile, the average sales price this year is running more than three per cent ahead of 2014.”

The average price for homes sold through the Association’s MLS® System in August 2015 was $280,234, up 6.4 per cent from August 2014. The less volatile year-to-date average sale price was $294,338, an increase of 3.1 per cent from the first eight months of 2014.

There were 725 new residential listings on the Association’s MLS® System in August 2015, down 9.9 per cent on a year-over-year basis.

Active residential listings on the Association’s MLS® System numbered 2,204 units at the end of August, down 6.8 per cent from the end of August 2014.

There were 7.4 months of inventory at the end of August 2015, down from nine months at the end of August 2014 and on par with 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 value of all home sales was $83.2 million in August 2015, an increase of 20.6 per cent from a year earlier. This was the highest August on record.

Sales of all types of properties numbered 335 units in August, climbing 12.4 per cent on a year-over-year basis. The total value of all property sales jumped 25.6 per cent from a year earlier to $95 million in August.


Kingston and Area home sales, new listings rise in October

Home sales recorded through the MLS® System of the Kingston and Area Real Estate Association were up on a year-over-year basis in October 2014.

Residential property sales numbered 250 units in October, rising 16.3 per cent from the same month last year.

“The 250 homes that changed hands in October 2014 made for the strongest October sales figure for Kingston and surrounding areas in seven years,” said Liza Tallen, President of the Kingston and Area Real Estate Association. “At the same time, the amount of product on the market has risen sharply since the spring, and that appears to have put a lid on price increases for now.”

The average price for homes sold through the Association’s MLS® System in October 2014 was $270,161, down 4.4 per cent from October 2013. The less volatile year-to-date average price was $283,029, up 1.6 per cent from the first 10 months of 2013.

There were 585 new residential listings on the Association’s MLS® System in October 2014, an increase of 10.4 per cent on a year-over-year basis. This was a record for new supply in the month of October.

Overall supply has risen sharply in recent months following a dip at the start of the year. Active residential listings on the Association’s MLS® System numbered 2,122 units at the end of October, up 27.3 per cent from the same month in 2013. This was the highest level for this time of the year in more than 15 years.

There were 8.5 months of inventory at the end of October 2014, up from 7.8 months at the end of October 2013 and above 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 value of all home sales was $67.5 million in October 2014, an increase of 11.1 per cent from a year earlier. This was a record for the month of October.

Sales of all types of properties numbered 286 units in October, up 18.2 per cent on a year-over-year basis. The total value of all property sales rose 16.0 per cent from a year earlier to $75.6 million in October.

 


The information contained in this report has been prepared by
The Canadian Real Estate Association, in co-operation with the Kingston and Area Real Estate Association.
The information has been drawn from sources deemed to be reliable, but the accuracy and completeness of the information is not guaranteed.
In providing this information, neither The Canadian Real Estate Association nor
the Kingston and Area Real Estate Association assumes any responsibility or liability.
Copyright © 2014 The Canadian Real Estate Association. All rights reserved. Reproduction in whole or in part is prohibited without written permission.

Kingston and Area home sales edge up year-over-year in September





Home sales recorded through the MLS® System of the Kingston and Area Real Estate Association was little changed on a year-over-year basis in September 2014.

Residential property sales numbered 251 units in September, edging p 1.6 per cent from the same month last year.

“September turned in another solid performance, with home sales running roughly in line with both the five and 10-year averages for the month,” said Liza Tallen, President of the Kingston and Area Real Estate Association. “The same cannot be said of supply, which has risen sharply just over the past five months. This has given buyers more of an advantage in negotiations and may be starting to put the brakes on price increases.”

The average price for homes sold through the Association’s MLS® System in September 2014 was $274,387, little changed (-$216) from September 2013. The year-to-date average price was $284,357, up 2.2 per cent from the first three quarters of 2013.

There were 719 new residential listings on the Association’s MLS® System in September 2014, jumping 26 per cent on a year-over-year basis. This was a record for new supply in the month of September.

Overall supply has risen sharply in recent months following a dip at the start of the year. Active residential listings on the Association’s MLS® System numbered 2,328 units at the end of September, up 29 per cent from the same month in 2013. It was also the highest level for this time of the year since 1997.

There were 9.3 months of inventory at the end of September 2014, up from 7.3 months at the end of September 2013 and above 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 value of all home sales was $68.9 million in September 2014, an increase of 1.5 per cent from a year earlier.

Sales of all types of properties numbered 290 units in September, up 3.6 per cent on a year-over-year basis. The total value of all property sales rose 6.4 per cent from a year earlier to $78.3 million in September.

 


The information contained in this report has been prepared by
The Canadian Real Estate Association, in co-operation with the Kingston and Area Real Estate Association.
The information has been drawn from sources deemed to be reliable, but the accuracy and completeness of the information is not guaranteed.
In providing this information, neither The Canadian Real Estate Association nor
the Kingston and Area Real Estate Association assumes any responsibility or liability.
Copyright © 2014 The Canadian Real Estate Association. All rights reserved. Reproduction in whole or in part is prohibited without written permission.

Kingston and Area home sales remain solid in July

Home sales recorded through the MLS® System of the Kingston and Area Real Estate Association numbered 334 units in July, down five per cent from a year earlier.

“Home sales in July were down slightly from strong levels in the same month last year, but came in above the five-year average for the month and right in line with the 10-year average,” said Liza Tallen, President of the Kingston and Area Real Estate Association. “The real story though is that following a pretty quiet start to the year the buyers were back in June and that trend continued in July.”

The average price for homes sold through the Association’s MLS® System in July 2014 was $284,282, an increase of four per cent from July 2013.

There were 768 new residential listings on the Association’s MLS® System in July 2014, rising 12 per cent on a year-over-year basis. This was a record for new supply in the month of July.

Overall supply has risen sharply in recent months. Active residential listings on the Association’s MLS® System numbered 2,312 units at the end of July, up 17 per cent from the same month in 2013.

There were 6.9 months of inventory at the end of July 2014, up from 5.6 months at the end of July 2013 and above 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 value of all home sales was $95 million in July 2014, edging down one per cent from a year earlier.

Sales of all types of properties numbered 373 units in July, down three per cent on a year-over-year basis. The total value of all property sales increased two per cent from a year earlier to $104.6 million in July.

 


The information contained in this report has been prepared by
The Canadian Real Estate Association, in co-operation with the Kingston and Area Real Estate Association.
The information has been drawn from sources deemed to be reliable, but the accuracy and completeness of the information is not guaranteed.
In providing this information, neither The Canadian Real Estate Association nor
the Kingston and Area Real Estate Association assumes any responsibility or liability.
Copyright © 2014 The Canadian Real Estate Association. All rights reserved. Reproduction in whole or in part is prohibited without written permission.

 

Kingston and Area home sales up in June

Kingston June Residential Sales Activity

Home sales recorded through the MLS® System of the Kingston and Area Real Estate Association numbered 385 units in June, up 18 per cent from a year earlier.

“Following a quiet April and May, home sales picked up noticeably in June,” said Liza Tallen, President of the Kingston and Area Real Estate Association. “Meanwhile, new listings posted a second straight double-digit year-over-year increase, giving prospective buyers more options compared to just a few months ago.”

The average price for homes sold through the Association’s MLS® System in June 2014 was $287,738, an increase of 1.7 per cent from June 2013.

There were 832 new residential listings on the Association’s MLS® System in June 2014, rising 17 per cent on a year-over-year basis. This was a record for new supply in the month of June.

Overall supply has risen sharply in recent months. Active residential listings on the Association’s MLS® System numbered 2,344 units at the end of June, up 15 per cent from the same month in 2013 and a 16-year high for active supply at this time of the year.

There were 6.1 months of inventory at the end of June 2014, little changed from 6.3 months at the end of June 2013 and slightly 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 value of all home sales was $110.8 million in June 2014, up 20 per cent from a year earlier.

Sales of all types of properties numbered 415 units in June, up 12 per cent on a year-over-year basis. The total value of all property sales increased 15 per cent from a year earlier to $117.1 million in June.


The information contained in this report has been prepared by
The Canadian Real Estate Association, in co-operation with the Kingston and Area Real Estate Association.
The information has been drawn from sources deemed to be reliable, but the accuracy and completeness of the information is not guaranteed.
In providing this information, neither The Canadian Real Estate Association nor
the Kingston and Area Real Estate Association assumes any responsibility or liability.
Copyright © 2014 The Canadian Real Estate Association. All rights reserved. Reproduction in whole or in part is prohibited without written permission.