Guelph & Tri-City Housing Market – 2023 Year in Review
This video and report provides the Guelph & Tri-City Housing Market Stats year in review for 2023. Sales were down, prices were down, and affordability was still a challenge for many. The market has “corrected” and yet we still classify 2023 as a Seller’s market. Let’s take a look at the key metrics relative to 2022.
Guelph Stats:
- Median Sale Price was $770,000 – ↓ 6.2%
- Average Sale Price per Sq.ft. was $516 – ↓ 5.1%
- Total Number of Listings was 2,740 – ↓ 16.1%
- Total Number of Sales was 1,654 – ↓ 14.8%
Tri-City Stats:
- Kitchener: Median Sale Price was $721,000 – ↓ 7.0%
- Waterloo: Median Sale Price was $751,000 – ↓ 2.5%
- Cambridge: Median Sale Price was $737,250 – ↓ 4.9%
CLICK HERE to view the full market report.
The market as a whole was one in which the number of available homes did not keep up with the overall growth of the market. Interest rates have taken some buyers out of the market and helped reduce prices somewhat. However, the number of people wanting into the market has grown and offset much of the downward pressure.
The market last year showed signs of returning to the long term averages. The sales to new listings ratio illustrates a growing, albeit slowly, level of inventory as home sales were at 59% of the new listing inventory. This means there is a growing pool of available homes for buyers to choose from. For the year, we remained in a seller’s market. Although, the last two months of the year turned into a balanced market and is currently trending toward a Buyer’s market. While sales activity was well off the pace from previous years for many reasons, sales prices have remained relatively high as overall market supply has dropped.
As we turn our attention toward 2024, I feel that there are two main things to keep an eye on. The first is interest rates. If interest rates begin to drop this year, I expect the market to pick up and prices to rise again. And the second is inventory levels. If inventory levels drop in conjunction with a rate drop, it really could heat up the market. Conversely, if inventory levels increase and rates remain constant, the market may remain slow and stable for the foreseeable future. Bank of Canada just held rates again on January 24, and the next announcement will be on March 6.
The general feel I have based on my daily interactions, is that the year will be one with increased listing and sales activity. I feel that after a little lull in 2023, people are thinking and talking about moving more and more.
If you are considering buying, selling, or moving in 2024, please reach out to me. I would be happy to help you with your real estate journey. Thanks for joining me, and have a great day!