*Definition: Sales to new listings ratio is a simple calculation by dividing the number of sales by the amount of new listings. It is an indicator of the overall balance in the residential market. The higher the rate the tighter the market.

The number of Residential home sales for the Niagara Region was slightly below the levels reported for 2012. The Town of Fort Erie saw the highest increase in market activity with a 6% rise in sales units overall, with the number of executive homes surpassing last year's sales by 10%. (Prices $250,000-$500,000).

New developments in Ridgeway have attracted a lot of interest from out of the area Buyers due to the affordability factor and the lakeside lifestyle. We expect to see consistent growth in this residential market as people relocate to the area for the jobs created by the Canadian Motor Speedway Development & increased staffing levels in the local manufacturing businesses. According to a survey of 200 Niagara manufacturers, completed by the Regional Government, 39% expect to increase the number of people they employ over the next 2 years.

Overall, we are projecting steady increase in sales volumes and a slight rise in the Average Sale price up 3-4%. Niagara Region is very affordable when compared to Greater Toronto, Hamilton-Burlington and nationally. A report from Phil Soper, CEO of Royal Lepage, stated that the Average Sale Price of a standard 2 storey home was $418,282 in the Niagara Region the average was $312,107. Nationally the price of a detached Bungalow was $380,710 compared to the regional value of $223,002.

 

RLP Winter Newsletter 2014