Aug 2024 Market Watch

LSTAR’S NEWS RELEASE FOR AUGUST 2024

Mixed Results in August

The real estate market in the London and St. Thomas area showed mixed results in August. Sales activity declined, with 577 homes sold, marking a 6.0% drop from the same month last year. The average sale price also decreased by 4% to $629,500. However, active listings saw a 19% increase compared to August 2023.

LSTAR Chair Kathy Amess noted, “Despite the fluctuations in sales activity, average price and dollar volume, the increase in new and active listings indicates a more balanced market, providing more opportunities for buyers and sellers alike.
There are lots of opportunities for buyers in this market, which in turn benefits our sellers. Additionally, with the Bank of Canada lowering its key interest rate to 4.25% today, we anticipate a potential boost in market activity as borrowing costs decrease.”

The table below displays August average prices and MLS® HPI Benchmark Prices in LSTAR’s main regions supplied by the Canadian Real Estate Association (CREA).

The HPI benchmark price reflects the value of a “typical home” as assigned by buyers in a certain area based on various housing attributes, while the average sales price is calculated by adding all the sale prices for homes sold and dividing that total by the number of homes sold. The HPI benchmark price is helpful to gauge trends over time since averages may fluctuate by changes in the mix of sales activity from one month to the next.

The following table displays August benchmark prices for all housing types within LSTAR’s jurisdiction and shows how they compare with those recorded in the previous month and three months ago.

CONTINUE READING