Friday, December 17, 2021

LSTAR Sees Its Best November for Condo and Apartment Sales


816 homes traded hands last month in LSTAR's jurisdiction, bringing LSTAR's year-to-date total of residential transactions to 10,445. "This year-to-date figure is very close to the total number of home sales recorded at the end of 2017, which was the year with the highest sales activity in the history of LSTAR," said 2021 LSTAR President Jack Lane. "Compared to the same period last year, there were 4.7% less homes sold, but, overall, last month is the second best November for home sales since LSTAR started tracking data, back in 1978," he added.

The number of active listings at month end continued to decrease. There were only 379 active listings at the end of November in LSTAR's jurisdiction and only 0.5 months of inventory. "This value represents a new record low for our region's inventory and means that, at the current sales pace, the entire housing inventory of LSTAR could be liquidated in only two weeks," Lane emphasized.

The combination between the high demand and the very low supply is pushing the benchmark and average sales prices up. In November, the overall average home price for LSTAR was $673,995, while the LSTAR composite MLS® HPI benchmark price sat at $633,700.

According to a research report, a total of $73,250 in ancillary expenditures is generated by the average housing transaction in Ontario over a period of three years from the date of purchase. "In other words, our November home sales could generate more than $59 million in spin-off spending over the next three years, thus supporting the local economy," Lane said. "This goes to show how the real estate industry is fueling the economy and helps putting it back on the path to recovery," he concluded.

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