The decision to buy or sell property isn’t one that should be made without careful consideration. The home is the single largest investment for most Canadians, and the amount of capital that can be leveraged with one after its sale can be substantial. Selling at the right time is just as important as investing at the right time, making it important for you to be aware of the current real estate market in this city you are buying or selling in. If you are considering real estate in Oakville, here is what you should know about the data there.
What does the national real estate market look like in Canada?
Much like the real estate market in the United States, Canada saw record median home prices stemming from the early months of the 2020 Covid-19 pandemic. The shortage of building materials led to new home builds slowing to a crawl, creating a higher than normal demand for existing homes.
This growth slowed substantially in 2022. Home prices in Canada dropped 19%, mostly due to increases in the interest rates. Home sales were down 40% year-over-year from February 2022 to February 2023, and April saw home sales at a 14-year-low.
But the market overall appears to be making a recovery. Data shows that median home prices jumped more than 8% from April 2023 to May, the largest increase since June of last year. The higher interest rates apparently haven’t decreased the demand for houses, particularly since there is still a shortage in available housing stock.
While the national trend is important, local markets can behave a bit differently. How is the Canadian national economy impacting the Oakville real estate market?
How Oakville’s real estate market compares to the rest of the country
The real estate market in this city remains balanced. This means that it does not favor either the buyer or the seller. This is a step back from the strong sellers market that the city was experiencing two years ago.
The market did cool a bit in Oakville, but not more so than the nation as a whole. Home sales dropped by more than 40% here, though home values do remain at some of the highest levels in history.
The economic data in Oakville also helps to paint a positive picture for the Oakville real estate market. The unemployment in Ontario’s largest city is virtually zero. The median household income is substantially higher than the Canadian national average, lending partially to the fact that more than 80% of its residents have college degrees.
How these conditions in Oakville will impact you as a seller
Rising interest rates could signal the housing market in Oakville cooling a bit more, in spite of recent increases in median home prices. This might make you consider selling your home now, so that you can take advantage of the recent uptick in value.
It’s important to keep in mind that while you might get more for your home now, the market isn’t expected to drop much more, even if rates are increased. Of course, if you are in a position where you HAVE to sell, now is a great time. Even though the homes in Oakville are a little less than they were two years ago, they still have substantially more worth than what they did pre-2020. The gains recognized in recent years might signal a great opportunity to divest.
You can always navigate selling a home in Oakville on your own, but a seller will typically make a lot more money from the sale if they pair with a professional realtor. These agents will work to market your home to the most qualified buyers in Oakville, sometimes getting sellers more than the list price. As more and more people are moving into Oakville, the demand for homes remains high. Finding just the right buyer will take the time and experience of a person who is well versed in the Oakville real estate market, and who is able to take the tasks of negotiating and answering potential buyers questions off of your plate.
What to expect as a buyer in Oakville
Buying a home in this balanced market can take a bit of time and strategizing. The population in this city has jumped by more than 10% between 2016 and 2021, further driving up the demand for homes.
To get a home in a reasonable amount of time, it pays to consult with a buyer's agent. These professionals know the available housing stock in Oakville, and will be able to use your list of needs and wants in a home and find you the home of your dreams.
Additionally, you will benefit from a buyer's agent when it comes time to negotiate a price for the home you have your eye on. These agents will use their skills to get you the best possible price, which you may not be able to do on your own.
Your next moves
The city of Oakville is continuing to see the population swell in numbers. The influx of people and the balanced demand for homes make it a unique market to navigate real estate. Before you commit to buying or selling property in this city, it’s worth a conversation with a real estate professional that is greatly familiar with all of the ins and outs of the market there. Rola Merhi has years of experience and a proven track record with both buyers and sellers, making for a solid choice when selecting an agent. Using Rola’s skills will lead to a stress and hassle free real estate transaction, saving you both time and money.
