The Barrie condo market is continuing to slow as we move through the summer months. Condo sellers have been forced to change their expectations as the market shifts into a more balanced state, something that has been foreign to the Barrie real estate market for a couple of years.
As inventory rises and demand levels off, sellers and industry professionals have had to put more time and energy into learning, educating and guiding. Sellers have dominated the Barrie condo market for such a long time, it can be challenging to change one’s mindset and expectations when the market begins to shift.
Here are a few things to take into consideration if you are thinking about listing your home for sale this year.
1. Do you have the right team of professionals holding your hand and supporting you from beginning to end? Selling in a slowing market can be very stressful.
2. Do you have the best marketing strategy behind you? You only have one chance to make a good first impression and stand out among your competition.
3. What price do you list at in a shifting market? It is important to consider all economic influences when determining a listing price.
In July, there were 18 condo apartments that sold in Barrie. This marked the lowest month for units sold since December 2021. Buyer interest went down quite a bit over the spring and into the summer which has caused properties to take longer to sell. The average number of days on market to sell a condo apartment last month was 36 days, which was an additional week longer than in June. Prices adjusted, recording a new average sale price of $507,544 — which was a 21 per cent decrease since the peak of the market in March of this year.
The condo townhouse sector held very strong for the first half of 2022. Units were selling within a couple weeks of being listed and most were going for over the asking price. That said, July was the second consecutive month that the sale-to-list ratio was below 100 per cent, showing us that the demand for this property type has also decreased over the recent months. There were only seven condo townhouses that sold in Barrie in July with an average sale price of $540,429 — which is down 16 per cent since the market peaked in March.
If you are thinking of buying real estate, now could be a great time. Although the interest rates have gone up, the market has dropped enough that the monthly carrying costs are still relatively the same. There are many more properties to choose from and little to no competing offers, which means buyers are able to put conditions in their offers to protect themselves.
Moving closer to a more balanced market is healthy for the local market. Buyers will have the opportunity to take their time when making a decision on a property and sellers will be able plan their move better. Having both parties in a negotiating position should help minimize the stress during the real estate transaction.
Lastly, condominium inventory in Barrie has increased substantially and has played a significant role in the shifting of the market. There are currently 105 condominiums for sale in Barrie, including 69 condo apartments and 36 condo townhouses. Looking back to when we were at the peak of the market this past winter, there were only 10 to 30 condominiums for sale at a given time.