The London St Thomas Association of Realtors (LSTAR ) reports that home sales set a new record in July, with 1,275 homes exchanging hands.
In London alone, there were 856 residential real estate transactions, a number that is way above the values typically recorded during the summer!
Overall, there were 1,408 new listings for sale in July, on par with the 10-year average, but the inventory decreased to 1.1 months – its lowest value in the last decade.
The sales-to-new listings ratio for our entire area is 90.6%, a figure that clearly indicates a Sellers’ Market, even more so in London, where this ratio reached 92% last month in July.
These leaps in statistical values might sound unbelievable, especially now, in the middle of the COVID-19 pandemic. But they can be explained, if one takes into account the strength of the local real estate market at the beginning of 2020 and the pent-up demand created during the lockdown months.
The overall average home price increased to $484,884 in July, an increase of 19.6% over 2019. This average sales price includes all housing types – from single-detached homes to high-rise apartment condominiums. All five major areas across LSTAR’s region witnessed gains in their average home sales price. The following table illustrates last month’s average home prices by area and how they compare to the values recorded at the end of July 2019.
|Area||July 2020 Average Sale Price||Change over July 2019|
|Elgin County||$425,412||↑ 26.8%|
|Middlesex County||$624,169||↑ 30.3 %|
|St. Thomas||$394,093||↑ 20.1%|
Looking at London’s three main geographic areas, London South saw the highest number of home sales last month (336) and the biggest price gain compared to July 2019.
The average home price in London East was $380,365, up 15.1% from the same time last year, while in London North increased also by 15.1% over the same period to $562,529. In London South – which also includes data from the west part of the City – the average home price was $499,448, up 16.1% over July 2019.
St. Thomas saw an average home price of $394,093, an increase of 20.1% from last July. It’s worth noting that, in St. Thomas, the sales-to-new listings ratio hit an unprecedented value in July – 101.2%, while the inventory saw even lower levels than in London, sitting currently at half a month!
- In London, the median number of days that a home was on the market was 10 – down from 14 days in July 2019.
- In Elgin County, the median number of days a home was on the market was 21 – up from 20;
- In St. Thomas was 9 – down from 12;
- In Strathroy was 10 – down from 11;
- In Middlesex County, it was 13.5 – ten days less than in July 2019.
The following chart is based on data taken from the CREA National Price Map for June 2020. It provides a snapshot of how home prices in London and St. Thomas compare to some other major Ontario and Canadian centres.