Housing Market Remains Stable

 

The local housing market continued its steady streak in June, with 745 homes exchanging hands via the MLS® System of the London and St. Thomas Association of REALTORS® (LSTAR). Housing supply increased from 1.7 months of inventory in May to 2.2 months of inventory in June, showing signs of market stabilization.  “The sales activity in June is consistent with the activity from the last several months,” said 2023 LSTAR President Adam Miller. “This happened despite another interest rate hike last month. Halfway through the year, the sales demonstrate the strong demand for home across the region, which is very encouraging.”

The overall sales-to-new listing ratio for LSTAR was 52.7% in June, slightly down from 60.6% in May. According to the Canadian Real Estate Association (CREA), a ratio between 40% and 60% is generally consistent with a balanced market. "Although the data indicates a more stable marketplace, it's important to remember that every home transaction is unique," Miller said. "Depending on what the Bank of Canada decides to do during its July 12 announcement, your local REALTOR® can provide the necessary support on navigating the evolving environment, with real-time data and professional guidance." The June average home price was $675,923, slightly down from $682,561 in May. The composite MLS® Home Price Index (HPI) Benchmark Price was $626,200, up from $619,800 in May.