Real estate sales in the Sarnia area continued to slow in September, compared to 2021.
But Rob Longo, president of the Sarnia Lambton Real Estate Board, said that should be taken with “a grain of salt” because of the high numbers recorded in the previous year.
“Last year was just so exceptionally high,” he said.
“If you take last year out of the equation and start comparing back, we’re pretty much on par with a lot of those other years.”
Year-to-date sales activity in the Sarnia area in September was down more than 21 per cent from 2021 and the local dollar volume was off 12.5 per cent, according to September’s numbers.
As of September, the local year-to-date dollar volume of real estate sales sat at $672.9 million.
“The market is still good and busy but it’s definitely not as crazy as it was a year ago,” Longo said.
With the Bank of Canada increasing interest rates in an attempt to slow inflation, the cost of borrowing has been rising and driving down real estate that boomed during the pandemic.
More sellers have been entering the market this year and “August and September were both 10-year records for the number of new listings,” Longo said.
Locally, there were 246 new listings in September which was a nearly 43 per cent jump from the same month in 2021.
“That just gives more selection and options for people that are looking to buy,” Longo said.
“I know a lot of people have been frustrated with the market the past couple of years because there have been so few houses to choose from, and so little selection,” he said.
“Now is their chance to see a few more different options out there and really take a look around and pick out the exact house that they want.”
Houses sold on average in September for 98 per cent of their listing price after a median of 17 days on the market.
“You’re seeing that two to three week window, where before it was. . . six to eight days,” Longo said. “We’ve got a little more breathing room.”
The local market went through a period when many listings saw multiple offers but that has “died down,” he said.
“We’re not seeing things go for 10-15 per cent over asking anymore so it’s easier for people to jump into the market.”
Longo said the local median home price, year-to-date, is $500,000, which is down slightly from last month but still up 14 per cent over last year.
With three months left in the year, Longo said he anticipates the local market will end 2022 lower than 2021.
But, when current local numbers are compared to 2020 and 2019 they are still significantly higher, Longo said.
“It’s sort of returning to that normal trend that we saw in past years,” he said.