Lets get right into it. 2016 is here and we know you’re wondering where the market is going to head this year. Some people are, of course, skeptical on the real estate market in 2016, believing the “bubble” will burst and prices will decline. While other are looking to get into the market this year, well we’ve made another market update to give you guys an idea of how the first month of January is going compared to last years January.
Well to kick off the number overload you’re about to take in, this years home sales are unsurprisingly up. January 2016 has out performed January of 2015 by 67 sales. Doesn’t sound like too drastic of a change, but it is, again, the first month of the year. January 2015 came in strong with 428 total sales in Brampton. 2016 is currently at 495 and counting.
Now lets break down the stats in our usual format comparing the 2015 and 2016 statistics by type of home.
Let’s start with our most popular seller the detached home by average price and the amount of days on market before sold and then the list price to sale price ratio.
2015: $527,214 – Average days on market 26- SP/LP 98%
2016: $606,364 – Average days on market 23 – SP/LP 99%
While the prices have certainly increased the amount of new listings on the market for detached homes are actually down compared to last year. In 2015, we saw 443 new listings and 429 active listings in the month of January. The same numbers for 2016 are 435 new listings and 351 active listings. Even though total sales are up by 67, those sales aren’t coming from detached homes, but detached homes have made an improvement by selling for 1% more on average and 3 days faster in 2016.
Let’s move on to semi-detached homes, which are becoming popular with first time homebuyers as prices continue to rise.
2015: $415,276 – Average days on market 21- SP/LP 99%
2016: $462,000 – Average days on market 19- SP/LP 100%
With Jan 2015 representing a total of 94 sales for semi detached homes, buyers are definitely choosing this route compared to detached homes as this year semi detached sales are sitting at 113 and counting. The sale price to list price is at 100%! We believe this is due to a lack of inventory since more buyers are choosing to go semi-detached, so with less inventory available on the market, that means bidding wars.
Condo townhouses sales have almost doubled over the past year, again, we believe this is due to first time buyers choosing not to go down the detached route because of the amount of down payment higher priced homes call for. First time buyers are choosing to buy a 5 year home as we like to call it, to gain equity and save up before making the purchase into their forever home.
2015: $294,112 – Average days on market 39 – LP/SP 98%
2016: $318,561 – Average days on market 27 – LP/SP 99%
Sales for condo townhouses in January 2015 were 17 and in January 2016 are at 33. So if you’re a first time buyer looking to enter the market, a condo townhouse might not be a bad option if you’re not willing to dish out almost half a mill for a semi detached or 600k plus for a detached. They’re becoming popular and we’re definitely keeping an eye on them.
While prices for condo apartments, like every other home, have risen, sales however have remained close to the same. With only 1 less sale of a condo apartment in jan 2016 than 2015,25 compares to 26.
2015: $218,592 – Average days on market 41 – LP/SP 97%
2016: $242,806 – Average days on market 39 – LP/SP 97%
The thing about condos in Brampton is that, they’re not very popular. If you’re a resident of Brampton, then you know, it’s more of a housing city and rather lacks the identifiable skyline that Mississauga offers. Past condo projects that were announced to come up in Brampton, especially close to Bramalea city center, were also cancelled due to lack of demand. It’s just not there. If you’d like to go for a condo but would like to stay away from big city scene, we’d recommend Square one condos.
Townhouses although have decreased in sales this Jan by a mere 2 sales, have risen in appreciation quite well and are selling for “top dollar”.
2015: $389,477- Average days on market 22 – LP/SP 99%
2016: $444,722 –Average days on market 18- LP/SP 100%
Compared to last year the average townhome has appreciated by $55,245 In January that is. While it seems like a lot it’s just a one-month average, as prices fluctuate in the market all the time. Listings for townhouses also seem to be down this year compared to last as we had 77 new listings and 52 active on the market. This year we have 74 new listings and 39 active listings on the market.
Overall, 2016 is off to a strong start, as expected. Listing inventory is still relatively short and buyers are out there looking to buy a home. Some may be surprised as to how expensive some homes have gotten, but compared to Toronto’s million dollar 30 offer per house market, we can still consider ourselves fortunate. Sales for all of January compared to last are up $62,068,104. Homes are selling on average 3 days faster, which might not seem like a big deal, but believe us, it is. 3 days can make a world’s difference to a new listing. Average sale price to list price ratio is up 1%, which should put a smile on seller’s faces as they’re getting all the money the market is allowing them to get. 2016, should be an interesting year for the real estate market as we’re eager to know what the spring and summer markets bring.