If you are thinking of buying or selling a home in London, Ontario, you might be wondering how the local housing market is performing amid the ongoing pandemic and rising interest rates. In this blog post, we will look at some of the latest statistics and trends for London and St. Thomas real estate market, based on data from the London and St. Thomas Association of REALTORS® (LSTAR) and WOWA.
- The average home price in London and St. Thomas was $664,149 in April 2023, down 13.6% from April 2022 but up 4.9% from March 2023.
- The composite MLS® Home Price Index (HPI) Benchmark Price, which measures the change in value of typical homes over time, was $607,200 in April 2023, down 17.1% from April 2022 but up 2.5% from March 2023.
- The sales-to-new listings ratio, which indicates the balance between supply and demand, was 75% in April 2023, up from 63.5% in March 2023 and 54.8% in April 2022.
- The inventory, which measures how long it would take to sell all the homes on the market at the current sales pace, was 1.8 months in April 2023, down from 2 months in March 2023 and 4 months in April 2022.
The London and St. Thomas housing market has been experiencing a slowdown in sales and prices since the peak of February 2022, when the average home price reached $795,871 and the composite MLS® HPI Benchmark Price reached $732,600. Since then, higher mortgage rates and tighter lending rules have dampened the demand for homes, while more sellers have entered the market to take advantage of the high prices.
However, the market has shown some signs of recovery in April 2023, as sales and prices increased month-over-month and the supply-demand balance improved. According to LSTAR President Adam Miller, “Since the beginning of 2023 we’ve been noticing steady month-over-month increases in the number of home sales and prices, which indicate that the property demand and the housing supply issue are still there.”
Compared to other major urban housing markets in Ontario, London has seen one of the largest annual decreases in average home prices in April 2023, at 14%, according to WOWA. Only Hamilton had a bigger drop, at 15%. However, London still remains one of the most affordable markets in the province, with an average home price of $664,149, well below the provincial average of $911,078.
The most popular type of property in London and St. Thomas was single-family homes, which accounted for 519 sales out of a total of 723 sales in April 2023. The average sold price of a single-family home was $654,100, down 20% from April 2022 but up 5% from March 2023.
The second most popular type of property was condo townhouses, which had 100 sales in April 2023. The average sold price of a condo townhouse was $509,172, down 26% from April 2022 but up 4% from March 2023.
The least popular type of property was apartments, which had only 61 sales in April 2023. The average sold price of an apartment was $388,297, down 23% from April 2022 but up 6% from March 2023.
The London and St. Thomas housing market has been facing some challenges due to the pandemic and the rising interest rates, but it has also shown some resilience and potential for growth. If you are interested in buying or selling a home in this area, you should consult Rob and his team who can help you navigate the market conditions and find the best opportunities for your needs.
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