London-area real estate continues its slowdown, but realtors feel confidence could be returning
The latest home sales figures show a market that is still considerably slower than what London has seen in recent years.
"The amount of money you have to save to buy a place, it's unreasonable,” said Tim Huffman.
He has owned his own junk removal business for seven years and said he puts in the work, “Every day, 12 hours a day, and at the end of the day you can't make ends meet."
Huffman said the cost of borrowing and the cost of living are keeping him on the sidelines when it comes to buying his own home, and told CTV News London, “The thing is with the market right now, it's impossible. You've got to live with three people just to afford it."
The November housing market report from the London-St. Thomas Association of Realtors (LSTAR) shows a significant dip in sales, with 816 residential properties exchanging hands in November of 2021 compared to 451 this November — a 44 per cent drop.
“It's a difficult read right now and with the extreme fluctuations that we've seen all year,” said LSTAR President Randy Pawlowski. “I think it's sidelined a lot of people who were ready to buy or ready to sell but are just a little uncertain."
The average sales price across the region in November was $615,247, down about 10 per cent from November last year.
The area's highest average price in the London-area last month was in Middlesex Centre, at $921,460.
Pawlowski said inflation and the cost of borrowing has created uncertainty, but with the Bank of Canada reportedly ready to slow interest rate increases, he feels confidence will grow.
"The Bank of Canada interest rate is hovering around 4 per cent. So, it's just going to take some time for people to adjust and get comfortable with the new rates,” he explained.
He added there are some encouraging signs, like the fact that the market has a growing inventory, with new listings climbing to 875 last month.
Pawlowski said after the super-heated buying environment in recent years, with homes barely hitting the market before they were purchased, the new environment should bring some stability.
“We're now firmly in a balanced market territory,” he said. “I think stabilizing is a good term to use when we're talking about the general marketplace right now."
CTVNews.ca Top Stories
'A beautiful soul': Funeral held for baby boy killed in wrong-way crash on Highway 401
A funeral was held on Wednesday for a three-month-old boy who died after being involved in a wrong-way crash on Highway 401 in Whitby last week.
Police handcuff man trying to enter Drake's Toronto mansion
Toronto police say a man was taken into custody outside Drake's Bridle Path mansion Wednesday afternoon after he tried to gain access to the residence.
U.S. presidential candidate RFK Jr. had a brain worm, has recovered, campaign says
Independent U.S. presidential candidate Robert F. Kennedy Jr. had a parasite in his brain more than a decade ago, but has fully recovered, his campaign said, after the New York Times reported about the ailment.
Ontario Provincial Police arrest 64 suspects in child sexual exploitation investigation
Ontario Provincial Police say 64 suspects are facing a combined 348 charges in connection with a series of child sexual exploitation investigations that spanned the province.
Pfizer agrees to settle more than 10K lawsuits over Zantac cancer risk: Bloomberg News
Pfizer has agreed to settle more than 10,000 lawsuits about cancer risks related to the now discontinued heartburn drug Zantac, Bloomberg News reported on Wednesday, citing people familiar with the deal.
Quebec premier defends new museum on Quebecois nation after Indigenous criticism
Quebec Premier Francois Legault is defending his comments about a new history museum after he was accused by a prominent First Nations group of trying to erase their history.
Blind Sask. boy heading to international braille competition hopes to increase accessibility for visually impaired
A Saskatchewan boy who qualified for an international braille competition in Los Angeles next month hopes he can inspire change in his home province.
'A step forward': New screening criteria for sperm donors takes effect
Canadians looking to grow their families with the assistance of sperm or egg donations should soon have more options for donors as the federal health agency does away with longstanding restrictions criticized as discriminatory.
What is whooping cough and should Canadians be concerned as Europe declares outbreak?
There is currently a whooping cough epidemic in Europe, with 10 times as many cases compared to the previous two years. While an outbreak has not been declared nationwide in Canada, whooping cough is regularly detected in the country.