The Halifax Real Estate Blog Weekly Market Rant, Stats Update and Notable News by Jeremiah Wallace (Every Thursday)
Halifax (HRM) Residential Market Statistic Update For Week of May 22nd - May 29th 2014
(Previous weeks numbers in brackets)
*Last year this week
New Listings: 542 (592, 553, 649, 542) *530
Sold: 172 (133, 143, 147, 157) *176
Sale To Listing Ratio: 32% (22%, 26%, 23%, 29%) *33%
Listings that went conditional/pending: 176 (158, 158, 170, 160)
Expired/Cancelled/Withdrawn: 82 (79, 93, 124, 245) *86
Total Active Halifax/Dartmouth Inventory: 5,563 (5,483, 5,303, 5,187, 5,002) *5,484
Active Single Family Home: 3,761 (3,703, 3,624, 3,551, 3,424) *3,675
Average Single Family Home List Price: $314,449 ($299,131, $323,895, $311,592, $279,885) *304k
Average Single Family Home Selling Price: $303,919 ($289,648, $313,500, $300,759, $271,365) *298k
Average Days On Market Single Family Home: 122 (96, 103, 100, 89) *89
Active Condos: 554 (553, 535, 516, 487) *439
Average Condo Listing Price: $240,353 ($254,175, $266,094, $244,431, $257,451) *242k
Average Condo Selling Price: $243,386 ($243,612, $259,006, $237,388, $251,662) *234k
Average Days On Market Condos: 117 (90, 104, 118, 117) *57Active Vacant Lots: 928
Halifax/Dartmouth Absorption Rate (weeks): 137 (134, 132, 128, 125) *22
Some improvements this week, but not enough to reverse the tide. Inventory gains in all products this week as we approach the peak inflation of the year, and although we had improvement in sales this week, it will take a lot more scaling to climb that mountain. Values still remain high however, which may be causing concern for buyers who have been patiently waiting for a market correction that has yet to come. I was asked by one of my readers to comment on the reason I thought there has not been a price correction over the entire market, and I will take a stab with my opinion.
Working with, and applying for seller's services as often as I do, I am on the front lines if the personal contact, and heartbeat of the situation. As I've stated many times over, sellers nowadays are savvier than ever, in most area's that is. Because of great websites like ViewPoint.ca, buyers and sellers are both fully aware of what is being sold, how much it sold for, and how long it took to sell (amongst many, many more things the site provides). The thing is that numbers are just that, numbers. Cold, exact, truthful, numbers. Buyers want to use the numbers to their advantage to get a deal on the property they are after, and sellers want to ignore the numbers as prices reduce and value depletes. I feel that a key factor is sellers going after that "large profit margin", that all the TV shows tell you about. Established is the fact that if you bought your home here in HRM 3 years ago, did nothing to it, that you would probably be taking a loss (anyone different please contact me) if you sold this year. But many sellers in the market are in that situation and cannot come to terms with that idea, or cannot afford to accommodate the loss. The second part to that is the sellers with equity. Although they have lived in their property for 7+ years and do have some equity built up, looking around at what their neighbours are listed for (not sold for) automatically has would be sellers rubbing their hands together in anticipation of out listing the challenger. The "that home is nice, but mine has a better layout, so I think we should list it at $X more" mentality kicks in.
I do think the human factor is playing a role, but I also think the type of product selling is also a factor. The question is, without a change in the market for the better, where do you, as a seller, draw the line if you have to sell?
A perfect storm on the horizon? With the ship building contract long forgotten as the rally cry of the market, a new market savior may start hitting your social media feeds, and could certainly inject some life into our dead market if it comes to fruition. This article boasts about the investment that China is prepared to do in our province, a $3-billion dollar investment. A Shanghai-based company says it is planning to invest up to $3-billion in Nova Scotia in real estate, technology and tourism over the next decade, hoping to compete with Canada’s West Coast as a tourist centre for Chinese visitors. Think it's enough to get the ball rolling?
Are these guys reading the blog? RBC is reporting, what I have been for a while now with regards to out market. But I guess it's nice to hear it from the big guys sometimes, even though I wish it was a different story. If you like this blog, or think I'm exaggerating things, please read this article.
Few good articles here. These articles have more stats to back up another factor aiding in the demise of our market, the exodus factor. The chart, from the newly released 2014 Halifax Index, shows a sliver of the problem facing many mid-size cities in Canada — the exodus of young and working-age people. The Halifax Index, produced annually for Nova Scotia’s capital, benchmarks the city against five peer cities on a number of important measurements: population growth, education levels, the confidence of the business sector, and more. Check them out!
Bliss is a 5 year old retriever pit bull mix who loves everyone! He especially loves other dogs - he is being fostered at a local doggy day care so he is getting to play all day long with other dogs and he is loving it - so if you are looking for a dog who you want to be able to take to places where there are other dogs or you are looking for a companion for your dog friendly dog - Bliss is your dog! He wants to make up for his last 5 years that he's lived in solitary confinement - he did have a kind neighbour who took him on walks - so he is good on leash and used to getting out and about so he really is a very good dog!
This "Flashy Fella" is available through No Chains All Love Rescue Society, a non profit rescue organization from Halifax, Nova Scotia. More info about him, other adoptable's looking for their furever home, and ways to help or donate can be found by clicking HERE.
Are you familiar with ViewPoint Realty? How about the ViewPoint Realty, real estate map? Its a great tool for all your real estate research needs and when you are ready to buy or sell, its the competitive edge over your competition! Not to mention it's now more rewarding then ever to become a ViewPoint Client, just click HERE to find out more. More savings and more information, sign up today! Or, click HERE to go right to the map and get property shopping!
LET ME HELP YOU OUT
Have a question about the Halifax Real Estate market? Thinking this might be the time to purchase or list your property? I can provide you with a complimentary comparative market analysis or you can Contact me to advise you on your best plan of action for your real estate transaction and get the most advanced real estate system working for you. Feel free to leave a public comment or question below. Follow me on Twitter to keep up to the minute with all things Halifax real estate @HalifaxRealEst and friend me on Facebook and Google+ :) Please note that these opinions and comments are solely mine and mine alone. Thanks for stopping by!
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Jeremiah Wallace, CD
Jeremiah has been involved with many aspects of the Real Estate industry for over fourteen years. This includes construction, residential renovations, interior design, and investing in various income generating property products..
Photo's by Jeremiah