Oakville Market Continues to Adjust
The Oakville resale home market recorded 138 sales in July – down by 50.0% versus the 276 homes sold in July 2016. This brought year-to-date (January thru July) sales to 1,695 units – down by 23.3% versus the comparable period last year. A recent release from the Ontario government found that foreign buyers represent a small proportion of buying activity in the Golden Horseshoe.
Clearly, the year-over-year decline experienced in July had more to do with psychology, with an abundance of would-be home buyers on the sidelines waiting to see how market conditions evolve. In addition, summer market statistics are generally not the best indicators of housing market conditions due to its low seasonal importance. The approaching fall market will provide a better indicator of the true impacts of the Ontario Fair Housing Plan and rising borrowing costs.
The average price of an Oakville resale home sold through the Oakville-Milton MLS® system in June was $1,114,913 – up by 6.7% versus the $1,044,974 average price of July 2016. That said, prices are off substantially from their high of $1,428,664 which was recorded in February. Despite this recent pullback in prices, the overall price gain in 2017 remains very substantial.
On a year-to-date basis (January thru July), the average price increase for all property types in Oakville remains at a whopping 23.3%. That translates into a home equity gain of over $240,000 for the average Oakville homeowner. Looking forward, the market appears to be headed back to a more balanced situation with supply returning to normal levels and with the expectation that the recent pause in buying activity will be relatively short-lived.
Oakville Transactions - JULY 2017
|Neighbourhood||Total Transactions||Avg Sales Price ($)||Avg Days on Market|
|West Oak Trails||13||$814,623||26|