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
NEW From yearning for a change to cost of living, why some Canadians have left or may leave the country
For some immigrants, their dreams of permanently settling in Canada have taken an unexpected twist.
NEW Capital gains tax change 'shortsighted' and 'sows division' business groups tell Freeland
Forging ahead with increasing Canada's capital gains inclusion rate 'sows division,' and is a 'shortsighted' way to improve the deficit, business groups are warning Finance Minister Chrystia Freeland.
Here are the ultraprocessed foods you most need to avoid, according to a 30-year study
Studies have shown that ultraprocessed foods can have a detrimental impact on health. But 30 years of research show they don’t all have the same impact.
Documents reveal Canada praised Haitian sanctioned over alleged gangland connections
A Canadian diplomat and an RCMP officer heaped praise and gratitude on a sanctioned Haitian businessman that Global Affairs accuses of gangland connections, after he allowed a helicopter airlift of Canadian citizens and police at his luxury golf course last month, emails provided by his lawyers suggest.
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.
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.
Minister said 'hundreds' of Canadians might use Gaza visa. More than 7,500 applied.
An immigration lawyer in Toronto says new figures from the federal government show just how 'grudging' Ottawa's efforts have been to rescue Canadians' family members from the war in the Gaza Strip.
Canucks claw out 5-4 comeback win over Oilers in Game 1
Dakota Joshua had a goal and two assists and the Vancouver Canucks scored three third-period goals to claw out a 5-4 comeback victory over the Edmonton Oilers in Game 1 of their second-round playoff series Wednesday.
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.