Navigating the Halifax-Dartmouth Real Estate Carnival: August 2023 Market Update
Welcome to the vibrant world of Halifax-Dartmouth's real estate market! Just like a thrilling carnival ride, the real estate scene here has its ups, downs, and unexpected twists. In this monthly market update, we'll be your guide through the bustling fairground of real estate trends in August 2023.
Active Listings: A Slight Climb
Our journey begins with active listings. In August 2023, we saw a modest 1% increase, with 806 active listings compared to 798 in the same month the previous year. It may seem like a small change, akin to discovering an extra slice of pepperoni on your pizza, but every detail counts. However, if we rewind the real estate clock to August 2021, brace yourself for a jaw-dropping 47% surge in inventory! It's like transitioning from a merry-go-round to a full-throttle rollercoaster. What's next for Halifax's real estate adventure?
Unit Sales Month Over Month: Riding the Slide
While inventory takes an upward journey, unit sales seem to have chosen a slower-paced ride, heading south. In 2023, 391 units found new homes, a dip compared to the 436 units sold in 2022. It's akin to the sensation of coming down from a sugar rush induced by cotton candy. But if we hop back to 2020, the year Halifax experienced a seller's market resurgence for the first time since November 2011, we witnessed a staggering 772 unit sales in August! Every ride eventually circles back, even in real estate.
Unit Sales Year Over Year: The Great Fairground
Zooming out to get a panoramic view of the entire fairground, we observe that the fast rides have temporarily shut down. Year over year unit sales are down by 674 units or 20%, but when compared to the real estate frenzy of 2021, that's a decrease of over 2000 unit sales or 65%! It's like transitioning from teacups to a tilt-a-whirl! The question remains: where is the fairground at its busiest?
Map Up Unit Sales: Unveiling the Hotspots
Sackville and Beaver Bank take the lead with an impressive 46 units sold, while Fairview, with its limited inventory, sees only 2 units sold. The South End of Halifax is the bustling heart of the action with 24 units sold, while the North End records 5 buyers hopping on the ride. However, it's not just about where you're looking; it's also about what's available in those areas. Think of it as a treasure hunt; sometimes, the loot awaits in the right place at the right time. Keep your real estate radar on high alert; you never know where the next hidden gem might be!
Days on Market: Navigating the Seller's Market Wave
One of the most exciting aspects of this real estate rollercoaster is the "days on market." This metric serves as our compass, helping us gauge whether we're in a balanced market, a seller's paradise, or a buyer's wonderland. As of now, we're still riding the seller's market wave, with an average of 29 days on the market. It's like a game of musical chairs, and the seats are filling up fast.
Map Up – Days on Market: Neighborhood Insights
Taking a closer look at specific neighborhoods, Fairview stands out with just 2 days on the market, while Waverly Fall River resembles more of a merry-go-round with an average of 84 days. Each neighborhood has its own unique rides, influenced by a blend of high and low-priced listings. The real estate landscape is full of choices, and it's up to you to pick the right one!
Market Supply: Balancing Act
Grab your abacus because we're about to tackle the "month supply" metric, and this one's a real brain-twister! It's like playing a game of real estate Jenga, calculating how long we can keep going before the tower crumbles. Currently, we have a nine-week supply, which is like having nine weeks of snacks stocked up before raiding the pantry again. But in 2022, we were living on the edge with just seven weeks of supplies, akin to trying to survive on a weekend's worth of groceries. In 2021, we didn't even have enough real estate inventory to meet demand for a single month. The real estate fair is setting up its rides, but will they be fast or slow in the coming months? It's like playing a game of real estate chess; every move counts, and supply and demand are dancing to a different tune.
Time for Home Prices: A Skyrocketing Adventure
Now, let's talk about the big thrill - home prices. From 2022 to 2023, the average price of homes in Halifax soared by nearly $100,000! In August 2022, it was $480,091; by August 2023, it skyrocketed to an impressive $578,345. Over three years, that's nearly $200,000! It's like buying a ticket to the fair and gaining admission to Disney World!
Map Up with Prices: Exploring Different Areas
Venture across different areas of Halifax, and you'll discover a range of price tags. Rural Halifax County East offers homes for around $407,000, a hidden gem in the countryside. Suburban areas like Eastern Passage average around $458,000, embodying the suburban dream. In the urban core, Dartmouth homes come in at around $433,000, while Halifax itself boasts an average of $566,000 - front-row seats to the city's daily drama. Remember, these prices cover all styles of homes, and list prices can sometimes differ from selling prices due to various pricing strategies and market demand.
List to Sell Ratio: Bidding Wars Galore
Despite various pricing strategies, the demand ride remains bustling, dictating a list-to-sell price ratio at a staggering 102.5%. Demand is high, and bidding wars are still happening!
Finally Appreciation: A Historic Equity Increase
Historically, Halifax witnessed a steady 2% to 4% equity increase each year. But recently, the market has made history! In 2021, we enjoyed an 8.3% average price increase. However, in 2022, that number skyrocketed to a whopping 20.5%. If you're a homeowner, it's like having a golden ticket to Willy Wonka's chocolate factory; it's an excellent time to consider selling, as the equity in your property has likely grown more than you ever imagined.
What It Means for the Halifax Market
So, what does all of this mean for the Halifax market? Are we in the midst of a shift? In our opinion, it's a good market for both buyers and sellers. Boomers and seniors looking to cash in on their real estate investments should seize the opportunity, especially with the current high demand and new construction projects. For buyers, it's essential to recognize that waiting for lower interest rates might not offset the increasing home prices. The market trend shows consistent price growth, making it a sound investment. Waiting it out may still lead to the same or higher mortgage payment as home prices rise.
In conclusion, whether you're buying or selling, the real estate market in Halifax is active and evolving. Prices are rising, and interest rates may still increase. It's always the right time to make strategic decisions regarding homeownership and building your personal real estate wealth. Thank you for joining us on this exciting ride through the Halifax-Dartmouth real estate carnival!
Stay Informed About Halifax Real Estate
For more specific insights into your neighborhood, click the calendar link below to connect with our team. Whether you’re considering buying or selling a property in Halifax, Brenda K from the Halifax Home Selling Group is ready to assist you! Feel free to reach out to our team for more personalized insights and guidance on the Halifax real estate market. Schedule a real estate discovery call to discuss your plans and benefit from our extensive expertise. That wraps up our Halifax Real Estate Market Update for August 2023. Stay tuned for more updates and analysis from Brenda K and the Halifax Home Selling Group!
For weekly and monthly updates on the Halifax real estate market, tune into @HalifaxRealEstate on YouTube. To learn more about what’s happening in your neighborhood or explore your options, click the calendar link below to schedule a personalized consultation. Our team is here to provide valuable insights and help guide you through the ever-evolving Halifax real estate landscape!
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