WELCOME TO THE ABTEAM FEBRUARY BLOG!

The opening months of 2025 have seen Old Man Winter play a dramatic role in the buying and selling patterns of real estate consumers, making it difficult to truly ascertain what the pulse and trajectory of the market is in broad, definable terms. What we can tell you is this: the entry level market is still responsible for stimulating sales, and it’s where we are seeing the greatest activity. Multiple offers are occurring regularly in this category, where the selection of quality inventory listed between $600,000 and $800,000 is still hotly in demand. The key word here being: quality.

In the mid and upper price ranges however, the available inventory is definitely experiencing significant lag time. Showings are sparse, multiple offer situations are rare. The key word for this category is: patience. Position, condition, location and strategy are all playing starring roles in determining a successful, timely sale. It’s truly a return to the days of being a “price war” and a “beauty pageant”. The presentation, price and proper launch of a home to market haven’t been this imperative since the pre-pandemic market.

We understand these subtle nuances because of the coveted position RE/MAX Jazz holds as the trusted source on residential trends in the Durham Region. We see it firsthand, before the competition, and can therefore respond in the most nimble fashion. These are the marketplace realities we are navigating presently, and what we hope to always bring you are these informed insights, relevant data and knowledgeable perspective that only entrenched real estate veterans can give.

THE MONTH OF JANUARY IN REVIEW:

In January, the Central Lakes Association of REALTORS reported 489 residential sales in the Durham Region, down 9.5% from the 539 sales of January 2024, but up 21% from December 2024, when 404 sales were reported.

The average selling price in the Durham Region for the month of January was $896,611. This new average represents a sharp decrease of 3.5%, or $33,596, from December 2024, when the average price was $930,207. Last year at this time, we saw a 4% increase, which is more historically typical of the market change from December to January. However, it does represent a nominal increase of $1,786 from January 2024 when the average was $894,825.

The amount of new listing inventory coming onto the market in January 2025 was 1213 units, up a spectacular 150% over December’s 486 units, and up 46% from the same period the year before, which saw 829 new listings enter the market.

The average days on market for January 2025 was 30 days. The average Sale Price to List Price Ratio (SP/LP) for all properties sold in January was 100%.

The current Months of Inventory factor sits at a stable, if not high, 2.9. The Sales to New Listing Ratio (SNLR) for the month of January was 40%, inching into buyer’s market territory. Typically, ratios between 40% and 60% reflect market balance, with anything below that range suggesting a market that favours buyers and anything above it, a market that benefits sellers.

The Durham Region saw a dollar volume in sales of $438,442,855 in January -- 7% lower than the previous year. Oshawa led the way by a long shot, with a volume in excess of $123 million, but still making Oshawa’s total 6% lower than January of 2024. Whitby placed an honourable second at $90 million, with a 16% decrease from the previous year, and Pickering posted $76 million, with a year–over-year increase of 16%. Source: CLAR

SELLERS  SET  THE TONE IN CANADA'S HOUSING MARKETS AS  2025  ROLLS IN: BY ROBERT  HOGUE  CHIEF  ECONOMIST, R B C

It seems the new year has brought renewed optimism for Canadian home sellers. Early reports from local real estate boards showed a surge in new listings in January in several of Canada’s largest major markets. Toronto’s housing market bounced back in January with resales jumping a seasonally adjusted 10% from December. The bigger story last month was the 26% spike in new listings between December and January. Many sellers may be jostling for position ahead of the spring season in anticipation of a strong rebound in demand. This lends credence to our view that the 19% dip at the end of 2024 didn’t mark a turning point, but was a bump on the long (and winding) road to recovery.

Sellers may feel a window of opportunity is opening after holding back somewhat at the end of 2024 as lower borrowing costs and the expectation of additional interest rate cuts by the Bank of Canada, along with recent mortgage insurance changes could drive up demand this spring. Some may also look to get ahead of economic turbulence arising from the threat of tariffs by the new U.S. administration. The fact that transaction activity generally rebounded in January no doubt reinforces the view that the market remains in recovery mode. We expect this will be the case throughout 2025 barring a trade war ravaging Canada’s economy.

The influx of properties put for sale helps further rebuild inventories, which had plummeted to historical lows in some markets during the pandemic. It could mean that incoming supply has been pulled forward by a couple of months. We don’t think it’s the start of a destabilizing flood of properties for sale. However, the number of active listings hasn’t been this high since 2009. A wider selection, in turn, relieves pressure on buyers to bid aggressively, keeping prices in check. We expect little in the way of price appreciation overall in Canada in 2025. We think the trade uncertainty will add a layer of caution.

CURRENT MARKET UPDATE:

DATES TO REMEMBER:

FEBRUARY 14TH - VALENTINE'S DAY

FEBRUARY 16TH - ABTEAM 3RD ANNUAL FAMILY SKATE DAY EVENT (SEE INFO BELOW)

FEBRUARY 17TH - FAMILY DAY

FEBRUARY 20TH - NATIONAL LOVE YOUR PET DAY

FEBRUARY 26TH - PINK SHIRT DAY

As always, we are sincerely grateful for the opportunity to serve your real estate needs, and those of your family and friends, neighbours and co-workers.  It is a constant thrill to receive personal recommendations from our clients, and we have been so fortunate to be able to build our business on our name and reputation – and it’s all thanks to you!