London and St. Thomas Housing Market - August 2018
August home sales in the London & St. Thomas area reached almost record territory last month, with 923 homes sold in London and St. Thomas, but dropped just short of the all-time high.
This figure represents the second-best August since the London and St. Thomas Association of Realtors (LSTAR) started tracking sales in 1978. This is a 2.2 percent jump from August 2017.
London is continuing to see a very strong sellers’ market.
The record for August was set back in 2016 when 999 homes were sold. Currently the demand continues to outpace the supply of houses, driving prices up because of multiple-bid situations, with homes tending to stay on the market for a relatively short period of time.
These high numbers in August are just a driver of the unbalanced market in the London and St. Thomas area. Now there does not appear to be any signs of the market changing. It is a great time for sellers in the market or anyone that may be thinking about selling their home soon.
Out-of-towners from the GTA and Kitchener-Waterloo are still a large portion of the buyers coming into our market. The hitch is that, when they come to London, they don’t create a corresponding supply because the homes they are moving out of are far removed from the area.
“Someone locally buys, they usually sell something,” Nethercott said. “It just hasn’t corrected itself.” Hence the imbalanced market that favours sellers. “We continue to see a lack of supply or a lack of inventory.” Inventory is at a 10-year-low, the association said in a news release. “In August, there were 1,535 active listings, this was down 12.6 percent from this time last year and down 57.6 percent from August 2013,” the association added.
Home sales last month in St. Thomas jumped 11.9 per cent compared to August 2017, with 66 homes changing hands.