Housing is Essential
Although Halifax real estate activity has dropped significantly week over week, I'll admit I'm surprised by the amount of activity that remains. Real estate services were listed as essential in Ontario when all non-essential businesses were ordered to close. People need a place to live regardless of external factors that influence the market.
The number of offers written are down by 29% from this week two years ago and 36% from this week last year. However, the total number of offers written in March 2020 current sits at 512 in comparison to 422 last year. The next week should give us a good indication as to how we can expect market to trend until things return to normal.
I'm also surprised to see the number of people who are choosing not to cancel their listings. This statistic is perhaps not the best representation as to the mindset of sellers. Many might simply be choosing to postpone showings rather than pulling their homes off the market. Either way, the number of cancelled listings is not much different than in years gone by.
Despite the current environment, people are still listing their homes for sale, albeit at half the rate as this time last year. With sales activity slowing down, a seller might not see the same bidding wars that we were becoming accustomed to. They might not be able to maximize their potential property value but it does not mean they would be unable to sell. The goals of the homeowner would dictate whether or not they choose to list now, or wait for our current crisis to pass.
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Written by Chris Perkins
HaliPad Real Estate Inc.