SEPTEMBER 2024 HOUSING MARKET UPDATE
Posted on
October 1, 2024
by
Steven Hill
New listing growth driven by higher-priced homes
Sales Decline in Lower Price Ranges | Despite rising sales in higher price ranges, overall sales in September dropped 17% compared to last year, although they remained 16% higher than typical September levels.
Higher Listings in Upper Price Ranges | There was an increase in new listings, mainly in higher-priced homes. Limited availability in lower-priced homes constrained stronger market sales despite strong demand across price ranges.
Inventory Growth and Market Balance | New listings in September reached a high since 2008, pushing inventory levels to 5,064 units. This helped shift the market towards more balanced conditions, though it still favored sellers.
Price Growth Moderating | Although home prices have cooled in recent months, the benchmark price in September was $596,900, up over 5% from last year. Price gains varied by property type, with apartments showing the largest year-over-year increase of nearly 14%. |
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Detached | The nine per cent growth in sales over $700,000 was not enough to offset the steep pullbacks reported for homes priced below $600,000, causing September sales to total 942 units, a 17 per cent decline over last year. Improved sales for higher-priced homes were possible thanks to rising new listings, as that segment of the market is starting to demonstrate more balanced conditions for homes priced above $700,000.
As of September, the unadjusted detached benchmark price was $757,100, a slight decline over last month, but nearly nine per cent higher than levels reported last year. It is not unusual to see some monthly adjustments in the fall, especially following stronger gains in the spring. With tighter conditions being experienced for lower-priced products, price growth has also ranged within the detached sector. The North East and East districts continue to report the largest year-over-year price gains.
Semi-Detached | September reported 299 new listings and 182 sales, causing the sales-to-new listings ratio to trend up over last month to nearly 61 per cent. Despite the gain over the past several months, the improvements in new listings relative to sales have supported rising inventory levels. However, with less than 400 units available, inventory levels remain nearly 33 per cent below long-term trends for September.
Like the other property types, recent gains in new listings are causing the months of supply to improve over last year's levels. However, with just over two months of supply in September, conditions continue to favour the seller. Following strong gains in the spring, in September, the unadjusted benchmark price eased slightly over last month, but at a price of $678,400, levels are over nine per cent higher than last year at this time.
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View the CREB® | New listing growth driven by higher-priced homes
Data is supplied by Pillar 9™ MLS® System. Pillar 9™ is the owner of the copyright in its MLS®System. Data is deemed reliable but is not guaranteed accurate by Pillar 9™.
The trademarks MLS®, Multiple Listing Service® and the associated logos are owned by The Canadian Real Estate Association (CREA) and identify the quality of services provided by real estate professionals who are members of CREA. Used under license.
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