Surprised at house prices? Here’s why…
Durham Region Association of REALTORS® (DRAR) President Roger Bouma reported 528 residential transactions in December 2016, a 4 per cent decrease from the same time last year. “Real estate transactions tend to slow down around the holidays,” stated Bouma. There were 411 new listings in December 2016 compared to 512 in December 2015.
The average selling price in Durham reached $570,957 last month. In comparison, the average selling price was $451,671 during the same period last year; a 26 per cent increase. “Our current housing market forecasts effects of financial conditions and changes in the economy,” added Bouma. Homes have continued to sell quickly in an average of 14 days compared to 21 days last year.
“We’ve seen substantial growth of the average selling price in Durham Region,” said Bouma. “In December 2016, Durham Region led the Greater Toronto Area (GTA) with a 26 per cent year-over-year percentage change on the MLS home price index.” Comparably, during the same time last year, Durham Region’s year-over-year percentage change was midpoint in the GTA.
The 2016 year-to-date value of all home sales in Durham Region totalled over $6.7 billion in dollar volume, a 29 per cent increase from 2015. “This is a direct reflection of the overall health of Durham Region’s economy,” said Bouma. “Rising house prices are an optimistic demonstration of consumer confidence.”
Uxbridge had the highest increase in year-to-date average selling price growth with a 31 per cent increase from 2015. The second highest increase was Oshawa at 27 per cent, and third highest was Brock and Clarington at 21 per cent. Durham Region is also selling the quickest in the GTA with a year-to-date average of 12 days-on-market, 3 days quicker than Peel Region and 4 days quicker than York Region. Ajax, Oshawa, and Whitby sold the quickest in Durham Region with an average of 10 days-on-market.
“The housing market is an economic driver that strengthens our economy,” said Bouma. “Ultimately, the rise in house prices is creating an increase in wealth for homeowners.”