The Barrie condo market experienced quite a mixed market in 2019. Some condo units were selling rather quickly, while others were sitting on the market for months.
Sometimes a real estate market can experience different extremes because supply and demand are not the same within the market; sub-markets. For instance, larger units at a higher price point were sitting on the market for much longer than small one bedroom units in the same condo complex.
It is only natural for cheaper units to sell fast due to buyer affordability, but if demand exceeds the current supply, not only will units sell quicker but will likely sell closer to asking. In turn, larger units are more expensive so the buyer pool tends to be smaller for this condo type. If supply is up and demand is down, these units will sit on the market for longer.
It is challenging to understand all angles of the real estate market, especially in the condo market as this sector is very different than the freehold residential market. How to compare units and analyse their value is much different than for houses. Not only does every condominium complex have their own community feel; socials and amenities, but layouts, upgrades and unit exposures are always taken into consideration when determining value.
December 2018:
1. The average sale price for a condo apartment was $420,250.
2. The average sale price for a condo townhouse was $263,500.
3. Units were selling for 96 per cent of their list price.
4. Average days on market for the whole condominium sector was 46 days.
5. At the beginning of January 2019, there were 58 condo apartments available for sale and 17 condo townhouses in Barrie.
December 2019:
1. The average sale price for a condo apartment was $380,822.
2. The average sale price for a condo townhouse was $314,640.
3. Units were selling for 98 per cent of their list price.
4. Average days on market for the whole condominiums sector was 36 days.
5. There are currently 48 condo apartments available for sale and nine condo townhouses in Barrie.
Year-over-year for December figures, the average sale price for a condo apartment went down nine per cent and up 19 per cent for condo townhouses. This year, we are starting off the year with less condominium inventory on the market than we did this time last year.
Things to consider going into the Barrie real estate market in 2020:
1. With inventory being rather low, my suggestion would be to list sooner than later so you can dictate the market.
2. The GTA condo market is already getting multiple offers on properties. If prices start to inflate south of Barrie, expect buyer demand for Barrie condos to increase.
3. Average days on market is just over a month so buyers are making decisions faster. If you are looking to purchase and you love a unit, don’t wait! Put an offer in before someone else does.
4. Make sure you are educated on what is happening in your sub-market. Trends that are happening along the waterfront, won’t necessarily be the same for condo complexes in other areas around Barrie.
5. If buying or selling, being educated on different negotiation strategies. If inventory remains low, the Barrie condo market could experience a mix of properties being on the market for an extended period of time or fast sales. It is important to understand the pros and cons of all types of strategies so you know how to proceed when listing.
* All stats are based on listings sold with the Barrie & District Association of Realtors
