For the first quarter of 2022 (January through March), the Windsor-Essex real estate market remained strong. Compared to the first quarter of the year in 2021:
The number of homes sold, listings, and the average sales price were all up.
The percentage of listings that sold was down, showing that the supply of homes for sale in Windsor and Essex County may have moved closer to meeting the demand.
Q1 2022 Insights for Real Estate in Windsor and Essex County
To give you further insight for the numbers we saw in Q1 2022:
Sales continued to drop, likely due to Buyer’s reaction to the interest rate increase levied in early April, by a whopping 18.95% with 586 residential units sold. Sales over/under the $550,000 weighted slightly in favor of over, with 392 homes over $550,000 accounting for 63.5% of sales and 225 homes under $550,000 for the rest. Highest price category is the $800,000 to $899,999 category with 64 units followed by the $500,000 - $549,999 category with 61 units. The upper market still is dominant but not as much as the last few months. The over $1M category demand waned with 68 homes sold c/t 95 last month. With the interest rate change we may expect that some may put larger homes purchases on hold. It will be interesting to see whether this category will hold strong or tumble going into greater inflation and higher interest rates.
Residential listings showed continued strength with 1074 listings taken, a 12.58% increase over the 954 listed last year in April. The month ended with MLS residential inventory at a very high 726 units, this may put pressure on prices going forward. With greater supply and lessening demand over the last few months the Average Annualized Sales Price dropped to $698,582 c/t $700,453 recorded a month earlier. While it’s still a 31.54% gain over last year, it is important to note that the monthly average was $692,759 which may indicate further drops to come. This is the first time in many months that the Average Sales Price has slipped. With interest rates affecting Buyer’s decisions and inflationary pressures on all households it should not be surprising that negative pressures have come to bear on our Real Estate Market.
As the supply of residential listing continue to increase with a substantial drop in sales for the month our Annual Sales/List ratio tumbled from a high of 76.06% last month to 70% for this month. However we must take note of the monthly Sales/Listing ratio of 55% which is the first time in years that any month has moved into a Balanced Market situation. As suggested last month we did experience a sales/list rates drop due to a strong supply of listings. With greater supply we may continue to see a slide in price. Will we see a Balanced Market? Maybe not yet, but if this continues we may reach that point.
Most Popular Housing Styles for Windsor-Essex County Homebuyers
The most popular style of home for the third quarter was bungalows, followed by 2 storey homes, ranches, 1 1/2 storey homes, and raised ranches. The highest average sales price belonged to 2 storey homes, followed by ranches, raised ranches, bungalows, and 1 ½ storey homes. Apartments and condominiums also continued to be a popular choice, seeing a sharp increase in their average sales price.
Contact Royal LePage Binder for Help Navigating the Housing Market in Windsor and Essex County
If you’re looking to buy or sell a home in Windsor, Tecumseh, LaSalle, Lakeshore, Amherstburg, Essex, Leamington, or Kingsville, contact Royal LePage Binder Real Estate today. We have five offices conveniently located across the area, and have over one hundred agents and fifteen teams who are ready to help you achieve your real estate goals. Let us put our knowledge and experience in the Windsor-Essex real estate market to work for you!
