The Barrie condo market has been slowing down since mid-March.
Many sellers who planned on holding off offers in anticipation of getting over the asking price on offer day have not been receiving any offers. Buyers are tired, interest rates are rising and prices are becoming out of reach for many.
Setting an offer date is risky in a slowing market. The most serious buyers book an appointment to view a home within the first 10 days of hitting the market. If a seller does not get the price that they are looking for on their offer day and decide to relist at a higher price, they risk losing out on their best buyer pool.
It is important to make sure to use the right listing strategy that best suits the market at the time the listing hits the market.
In March, there were a total of 38 condo apartments that sold in Barrie. The average sales price was up minimally from February and units were taking an average of 2.5 weeks to sell. The average sale price last month was $645,174, which is up 32 per cent from the same time last year, and units were selling for 106 per cent of the original asking price.
Condo townhouse sales have been a very strong and competitive part of the market in 2022. Last month, there were 13 units that were recorded sold in Barrie with an average sale price of $644,423. Demand for this property type increased considerably due to the tremendous hike in freehold housing prices during the first quarter of the year.
Not only were condo townhouses selling for 114 per cent of their original list price but the average sale price increased 42 per cent since March 2021.
Although there are monthly condo fees associated with owning a condo townhouse, it is still more affordable to purchase a condo townhouse rather than a freehold townhouse. This is because of the huge price gap between the condominium and freehold housing markets.
To put it in perspective, the average sale price for a freehold townhouse last month was $816,042, which is 27 per cent more than the average sale price of a condo townhouse.
If one were to break it down monthly, most condo townhouses have very low maintenance fees because there are minimal amenities and no lobbies, elevators, hallways to maintain.
Also, keep in mind that there are still costs associated with owning a freehold townhouse, even though the owner does not have to pay a set monthly fee. Who pays the bill when the roof and windows need to be replaced or the driveway needs to be repaved?
Overall, the first quarter of the year was shocking considering Ontario started the year in a lockdown and the winter slowdown that normally happens in the Barrie real-estate market was non-existent. The average sale price for the whole condominium market in Barrie in Q1-2022 was 36 per cent higher than Q1-2021 and condo units were taking 50 per cent less time to sell this year than last.
There are currently a total of 42 condominiums for sale in Barrie, including 32 condo apartments and 10 condo townhouses.
Working with an experienced niche Realtor in a shifting market is absolutely crucial. There are sub-markets within the condo market that need to be considered when coming up with the best listing strategy for your condo type. Also, if you hire a non-local agent to assist you with your sale or purchase, you do risk being misguided as every city has their own market trends.
