SEPT 24, 2021.
People have migrated to Real Estate over the past year, but the market looks to be leveling out after a crazy Spring. Still, we are well above PRE-Covid levels.
The new pardigm of workers (only some) able to work from home is not going to completely dissappear, even after we get past this pandemic. This means the home office is being re-priorized as a must have for many buyers.
Note the "pre-covid" line at 100 below. Sales, went through the roof in the spring of 2021, then came down to 20% above pre-pandemic levels more recently. Lack of inventory is an issue right now. Definately a sellers market.
With current poor inventory levels, we are likely to see pent up demand continue to push up prices, although not likely at the crazy levels seen earlier this year.
Housing starts is a good indicator that builders/developers are trying to respond to the lack of inventory, but this is going to take time (12-24 months) to impact the market and is usually only a small percentage of total unit sales (re-sale vs new-construction).
Federal goverment polices promised by the Liberals during the fall federal election to increase supply are also welcome, but will again take some time to filter into the supply of affordable homes on the market.
Please call if you have any questions about the market.