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
Doctors ask Liberal government to reconsider capital gains tax change
The Canadian Medical Association is asking the federal government to reconsider its proposed changes to capital gains taxation, arguing it will affect doctors' retirement savings.
Keeping these exotic pets is 'cruel' and 'dangerous,' Canadian animal advocates say
Canadian pet owners are finding companionship beyond dogs and cats. Tigers, alligators, scorpions and tarantulas are among some of the exotic pets they are keeping in private homes, which pose risks to public safety and animal welfare, advocates say.
BREAKING Man wanted in connection with deadly shooting in Toronto tops list of most wanted fugitives in Canada
A 35-year-old man wanted in connection with the murder of Toronto resident 29-year-old Sharmar Powell-Flowers nine months ago has topped the list of the BOLO program’s 25 most wanted fugitives across Canada, police announced Tuesday.
Prince William and wife Kate thank public for birthday messages for son Louis
Prince William and his wife Kate thanked the public for their messages which had been sent to mark the sixth birthday of their youngest son Louis on Tuesday.
She was the closest she'd ever been to meeting her biological father. Then life dealt her a blow
Anne Marie Cavner was the closest she'd ever been to meeting her biological father, but then life dealt her a blow. From an unexpected loss to a host of new relationships, a DNA test changed her life, and she doesn't regret a thing.
How quietly promised law changes in the 2024 federal budget could impact your day-to-day life
The 2024 federal budget released last week includes numerous big spending promises that have garnered headlines. But, tucked into the 416-page document are also series of smaller items, such as promising to amend the law regarding infant formula and to force banks to label government rebates, that you may have missed.
Fire engulfs old Edmonton municipal airport hangar
A historical hangar at the former Edmonton municipal airport beside the NAIT main campus was on fire Monday night.
Soft skills, preparation can help new graduates land jobs, experts say
As new graduates enter the workforce over the next few weeks, they are likely to face challenges getting their foot in the door and must be prepared to effectively communicate what they bring to the company.
RCMP uncovers plot to sell drones and equipment to Libya
The RCMP says it has uncovered a ploy to sell Chinese drones and military equipment to Libya illegally.