Real Estate in Northumberland and Peterborough
Northumberland Real Estate Market Report - July 2022
Last updated: Aug 5, 2022
The real estate market in Northumberland became much more friendly to buyers in July with a sharp downturn in selling prices and large increase in active listings.
Take a look at the following chart, which shows detached home prices for the entire Northumberland district - including these places:
Cobourg, Port Hope and Brighton Real Estate Sale Prices for Detached Houses
Selling prices had jumped in March to a new all-time high, but have since declined to levels not seen since last August.
Northumberland prices have fluctuated since last summer, with relatively low sales volume.
The following chart shows sale prices for all residential property types:
Sales volume for the Northumberland region has eased off since the spring peak in May. It is still well below levels seen this time last year, which may be attributable to rising interest rates, and the reduced budgets of buyers.
Another common benchmark is called SPLP or Selling Price to List Price. It measures what properties are selling for in relation to their listed price.
As you can see in the following chart, properties have gone from about 105% of list price at this time last year to about 123% in February, then has dropped to below list price in July. This figure shows how competitive buyers are while offering on listings. With more inventory to choose from, buyers are focusing their offers on properties that they are really interested in, as opposed to whatever is available in their price range. Also, more listings are selling without holding offers, sometimes due to being re-listed after not getting results on a offer holdback date. More are being listed at expected sale prices too.
The Northumberland market has been in a strong seller's market for some time, meaning that market conditions favour sellers over buyers.
The following chart shows months of inventory (MOI), which is the amount of time it would take for listings to sell out if no new listings were added.
A seller's market is indicated when MOI is below 5. A balanced market is between 5 and 7, and a buyer's market is over 7 MOI.
The highest point in the past year was in July when this figure was about 1.2 for the region. It hit a low in January - close to the 0.6 mark and now jumped up to 3. It is still a seller's market, though there has been considerable softening.
Here's a look at active listings, or the number of properties for sale in Northumberland:
This chart shows inventory levels over the past year. July levels (around 300) have now risen to well above where they were this time last year. Consider that in August 2014, the number of active listings was 1112 and in August 2011 the number was 1326. Those numbers show how very constrained the market has been recently, though it is shifting.
If you are considering selling your property, it is a still a very good time, as most people are buying in similar market conditions.
Should you be looking to buy, it can be competitive. Multiple offer situations are still common, so it pays to be well prepared. Speak with your lender to get a pre-approval, and work with an experienced Realtor to research listings and review recent sales of similar properties.
If you are interested in information on a specific area, please reach out to me anytime!
John Owen, Broker
RE/MAX Impact Realty, Brokerage