Oakville Resale Prices Off to Strong Start in 2017
The average price of an Oakville resale home sold through the Oakville-Milton MLS® system in January was $1,017,933 – up by 14.4% versus the $937,333 average price of January 2016. The median price in January was $988,500 – up by an even more substantial 28.5% versus the January 2016 median price of $769,000. The proportion of fully detached homes selling over the $1 million mark was 73.7% – or virtually 3 out of every 4 detached homes sold in the Oakville resale market. With inventory levels still very tight and with financing still very attractive, Oakville prices are expected to have another strong run in 2017.
Oakville (and all of the GTA) is also benefitting from increased foreign buyer interest given the hefty 15% foreign buyer tax that was introduced last summer in the Vancouver market. While Vancouver city officials are now attempting to soften this blow via amendments to the tax for people with work visas and for Canadian residents, there have been many reports of new Asian buyer interest in both the GTA and Seattle markets.
The Oakville resale market recorded 123 sales in January, down slightly by 2.4% versus the 126 units sold in January 2016. Oakville resale volume has been bouncing around without much direction over the past year with the major impediment to continued growth being tight resale inventory. Unless the inventory situation is rectified in a substantive way, expect this volume trend to continue. On the positive side, record high resale prices should eventually lure more sellers onto the market.
In addition, there is likely considerable pent-up demand in the market as a result of would-be buyers having stayed on the sidelines for an extended period due to an inadequate selection of suitable properties. All in all, a classic “seller’s market” situation remains in full force. The speed of resale transactions is another indication of this seller’s market. In January, average days on market came in at just 23 days as compared to 38 days in January 2016. Savvy sellers will likely want to get an early jump on the spring market given these favourable conditions.
Oakville Transactions - JAN 2017
|Neighbourhood||Total Transactions||Avg Sales Price ($)||Avg Days on Market|
|West Oak Trails||8||$858,750||7|