It has been an interesting year and a half for the Barrie real-estate market, where supply could not satisfy demand during the first quarter of 2017, resulting in double-digit increases market wide.
Now we have a surplus of inventory on the market where sellers are having to adjust their list price multiple times to attract buyers to their homes and remain competitive.
Although last month the Barrie condo market finally saw growth again, it wasn’t surprising that the market slowed down in July.
Historically, the summer real-estate market tends to be a slower time of year as many people go on holidays and spending time with their families.
When comparing June’s condominium statistics to July’s, this is what I found:
1. Average sale price for condos dropped slightly.
2. Average days on market remained unchanged.
3. Condos were selling for 99% of their list price in June and 97.8% in July.
What does this tell me? Sellers are finally accepting the new market that Barrie is in by negotiating more on price rather than staying firm and sitting on the market longer.
Condominium inventory is still very high in Barrie. There are 109 unit for sale on the market right now; 71 condo apartments and 38 condo townhouses.
If no other condo hit the market, it would take 3.6 months to sell off the current inventory.
Until supply comes down, sellers are going to have to price their condo units competitively against other comparable units listed, if they want to sell within a reasonable period of time.
* All condominium statistics are from sales recorded on the Matrix System through the Barrie & District Association of REALTORS® Inc. (BDAR)
