Posted on
October 6, 2022
by
Adam Wigmore
Ladies and Gentlemen! I’m back with another long-awaited blog post!
What a whirlwind of a summer it was. I hope everyone had a fantastic couple of months. I had a great little trip to the motherland (PEI). Played lots of golf, caught up with friends and family, and maybe partook in a beverage or two (that is it though). The beauty of Prince Edward Island is out of this world. Growing up there, I took it for granted. Now that I’m a little older and much wiser, I cannot help myself but take in all the picturesque scenery.
Now that I'm starting to put away my shorts and bringing out my sweaters (lovesweatawetha), I'm finding a shifting Real Estate market. You know I was going to talk about Real Estate at some point, right? When I mean shifted, I mean that we are finding sales down and homes staying on the market longer. Which means more and more price reductions. Also, like I said in an earlier blog, conditions are a thing again. Home inspections, well inspections, septic inspections, you name it!
In August, the average sale price for Halifax-Dartmouth was around $524,887. We have seen it drop in September to $505,664. Halifax-Dartmouth sales in August for both single family and condos were 1,547 and 1,250 in September. Of course, the talk of the town is interest rates. It’s no surprise the Bank of Canada is increasing them. Mortgage specialists are predicting one, if not two more hikes this year. This would be one of the main reasons we are seeing a shift in the market. It comes down to borrowing power. With the high rates, comes higher stress tests. Which means in the end, the amount of money your lender is willing lend you is restricted.
We are currently still in a sellers' market though. If you recall my months of inventory explanation in a previous post (not going to explain it here. So, you must go search for it. Muhaha). The market is showing that in September, we were only sitting on 1.8 months' worth of inventory. Which states that we would need to almost double the amount of inventory to be in a balanced situation. That being said, we are starting to see that number climb as the months pass. At the end of May, Halifax was only sitting on 0.8 months of inventory.
Since the market is showing signs of slowing, I would say there is ample opportunity to start looking to buy. For one, there is less competition. Two, lots of negotiations to get you the price you feel comfortable with. I spent the better part of the day yesterday dealing with negotiations on price. Ultimately, the Buyer and Seller came to a number that worked for them both. I love that part of my job, and so happy that I can do this again.It’s stressful and exhilarating.
So, if you are in the market to buy or sell, and you are reading this world renowned blog. Give me a call. I would love to help you on your move!
