May brought another uptick in home sales to the London region, according to the London St. Thomas Association of Realtors (LSTAR).
Newly released figures by the organization show 774 homes were sold last month, up from 710 in April. Compared to this time last year, sales are outpacing 2023 with 3,161 total sales. That's an increase of 1.8 per cent from the same period last year.
Signs of market stabilization were also clear in the housing supply in May, LSTAR said. There were three months of inventory in May.
"We continue to see the trend of more new listings coming on the market, which explains the healthy level of housing stock across LSTAR’s region,” said 2024 Association Chair Kathy Amess. “In May, there were 1,563 new listings, slightly up from the 1,425 new listings in April, with an overall sales-to-new listing ratio of 49.5per cent."
The Canadian Real Estate Association puts a ratio of between 40 to 60 per cent consistent with a balanced market.
The average sales price of a home in the London-area was up slightly from April's $656,037 to $660,430. This marks the fourth consecutive month prices have risen since the roughly $22,000 drop in January.
“Although the May data indicates a stable marketplace, it’s important to note every home transaction is different based on a multitude of factors,” Amess said.
She added that the Bank of Canada's decision Wednesday to lower its key lending rate from 5 per cent to 4.7 per cent will impact activity over the summer season.
