St. John’s Metro Real Estate Market Update for June 2023.
I will be focusing my data on St. John’s Metro. This includes St. John’s, CBS, Mount Pearl, Paradise and Eastern Extension Areas. I prepared these Statistics from data available on July 6th, from NLAR’s MLS System. And as always, I am not an economist but I will provide my insights as a realtor in this update.
Month's of Supply
Starting off, there was 5 months of supply available in St. John’s Metro in June. Which is down from last month and it is the same level of supply that we saw in June of last year. This is technically a balanced market. However, since months of supply is calculated based on how many months it would take for all of the homes currently listed to sell, given the average sales volume. And our sales volume in St. John’s metro is low right now. It is appearing like the market is balanced even though it’s acting more like a sellers market here in St. John’s.
Average Sale Price
The average sale price for a residential home in St. John’s Metro is $340,396.
This number is very similar to what we saw last month and last year. Keep in mind that in 2022 we saw record highs when it came to sale price. Supply was very low, interest rates were low and demand was high. And a lot of homes were going into multiple offers. We are seeing many homes going into multiple offers again this year – especially if your home is in good condition, in a desirable area and priced correctly. Even within St. John’s Metro, there are particular areas and subdivisions that behave differently. That is why it is important to get accurate, local information from your trusted realtor.
There were 1,598 active listings available in June and this is up 114 versus the previous month. The number of active listings available for buyers is trending up month over month for 2023 but traditionally in St. John’s we are used to seeing more homes active on the market.
There were 529 new residential listings in June. This number is about the same as last month and down from last year. In fact, this is the lowest that we have seen new listings in the past 10 years. So if you are a seller there are lot of eyes on your new listing.
And, there were 291 homes sold last month. The number of homes sold being down is a reflection of inventory being down. There are many buyers out there waiting for new homes to come on the market to buy, which would increase the number of sales.
Days to sell
If you are wondering how long it’s taking properties to sell? On average in June it took 72 days for a home to sell in St. John’s Metro. We are starting to see days on market move back up to what was more typical for St. John’s prior to 2021 and 2022.
List to Sale Price Ratio
And finally, the average list to sale price ratio was 99% in June. That simply means that properties were selling for just under asking price. Last June and July St. John’s had a list to sale ratio at 100%, which is the highest we have on record. In other parts of Canada, it has been more common for sellers to use a pricing strategy where they underprice a house to get multiple offers and drive up the sale price. We don’t see this strategy used as often in our local market.
My Market Trends Insights
- The supply of homes is relatively low and the number of homes coming on the market is down compared to what we expect to see in June. So, if you are a buyer, if you see something you like, know that there are probably a lot of people looking at that same listing. It is more important than ever to work with an agent to help you write compelling offers.
- We are seeing homes going into multiple offers, but the average person is not overpaying for a property. If you are a seller and that is your goal, you need to correctly price your home for the most buyers to see and work with an agent who can help you prepare and market your home to attract more offers.
- If you are a buyer and happen to end up in a multiple offer situation, which is quite possible in today’s market, don’t get caught up in the excitement and go way outside what you can afford. Get pre-approved and shop within your budget.
- And finally, in St. John’s Metro, the average home price is up month over month but down compared to last year. But you need to remember that real estate is local, and what is happening in one area of town may be different from another. There are different micro markets everywhere.
So how does this all impact you?
The bottom line is that whether you’re buying, selling or investing, your situation is unique and a general market update should be taken with a grain of salt.
If you want a market analysis for your home or you’re thinking of buying and want to know where hidden opportunities may lie, you can request a free no-obligation market analysis of your home or book a call with me to have a conversation about your options.