Oakville Resale Prices Gravity Defying
The average price of an Oakville resale home sold through the Oakville-Milton MLS® system in February was $1,428,664 – up by a spectacular 43.5% versus the $995,357 average price of February 2016. The median price in February was $1,250,000 – up by an equally eye-catching 41.9% versus the February 2016 median price of $880,750. The proportion of fully detached homes selling over the $1 million mark was 87.4% – or almost 9 out of every 10 detached homes sold in the Oakville resale market.
Adding to this ideal seller’s market climate is an all-time record low days on market. In February, the average Oakville resale home took just 16 days to sell, as compared to 25 days in February 2016 and 22 days in February 2015. Chronically low inventory levels coupled with continued favourable financing and strong consumer confidence levels are combining to create this stratospheric rise in resale prices. In addition, the ever-growing cachet of the Oakville market is also helping to support prices.
Related: Burlington Market Continues to Shine
The Oakville resale market recorded 242 sales in February, down by 6.2% versus the 258 units sold in February 2016. Volume growth continues to be hampered by abnormally low inventory levels – a phenomenon which has been prevalent throughout the Golden Horseshoe area for several months. The allure of sensational price increases should eventually entice more sellers onto the market. That said, sellers also need a place to move to in order to feel comfortable with moving forward, and this is proving to be difficult in the current environment. As a result, the market seems to be stuck in neutral at the moment.
Added to this is the fact that first-time buyers have been literally priced out of the market in recent months, given new mortgage qualification rules introduced late last year and the incredible jump in prices. The active participation of first-time buyers is vital to any market since it provides an impetus for a wide segment of existing homeowners to trade up to the next level.
Related: Monthly Neighbourhood Market Reports
Oakville Transactions - FEB 2017
|Neighbourhood||Total Transactions||Avg Sales Price ($)||Avg Days on Market|
|West Oak Trails||10||$1,278,380||4|