Is the Real Estate Market cooling in Grey Bruce Owen Sound?
By Tim Matthews, Broker with Century 21 In Studio Realty.
Is the market starting to slow down again in Grey Bruce Owen Sound (GBOS)? The stats would say yes, but it’s hard to say if this is just a seasonal/cyclical summer slow down that will once again pick up in the fall. Let’s look at some stats.
Why Month of Inventory is the Best Stat to look at
My favourite stat to look at is Month of Inventory (MOI), what does this mean you ask? Well, how long would it take for everything to sell if no new listings came on the market. Back in January the GBOS real estate market hit an all time low of one month of inventory with a total of 254 homes for sale. For the month of July we are now at 1.9 months of inventory with a total of 505 homes for sale. To put this into perspective, let’s compare it with July of 2014. We were sitting at 15 months of inventory with 2540 active listings. That is a strong buyers market. Since 2014 the supply of homes has been trending down, and once COVID hit we saw massive price acceleration. We are still in a strong sellers market based on Month of Inventory of 1.9.
Check out this graph showing month of inventory in Grey Bruce Owen Sound since 2009.
What about prices & sale volume in the month of July?
The median sale price in GBOS in July was $535,000, up 26.6% year over year. However if you look back at the month of June the median sale price was $558,000 so prices have dipped slightly. What about Volume of sales? This area really cooled off. In the month of June BGOS saw 340 home sales. That was down to 260 in July. The graphs below show volume of sales and sale prices.
It’s a good time to sell and buy right now
It’s obvious the market has cooled, but it certainly has not crashed. Prices are still high and inventory is low. Anyone looking for a substantial market crash will likely be left waiting for a long time. If you’re considering a sale, prices are still up 26.6 % since last year, and homes still got 100% of their asking price in July. If you’re thinking about buying, August brings a great opportunity: Lower sale prices, motivated sellers & less buyer competition.
Tim Matthews is a Real Estate Broker with Century 21 serving the Grey & Bruce Owen Sound area. Want to connect with Tim about buying or selling a property? You can contact him here.
Or you can call or text Tim any time at 519.375.7153