Market Monday - Monthly Real Estate Market & Inspection Update (October 2024)

Welcome to Market Monday, where we break down the latest trends in the Canadian and Ontario real estate markets, with a special focus on the local areas of Brantford, Brant, Paris, and Cambridge. As the founder of Hynesight Inspections , I’ve had the privilege of working with homeowners, buyers, sellers and real estate professionals in these regions, helping them navigate the ever-changing real estate landscape. In this monthly update, we’ll cover key statistics from October 2024, including home sales, pricing trends, market potential, and red flags to watch out for.

Canadian Real Estate Market & Inspection Overview – October 2024

The Canadian real estate market in October 2024 showed signs of recovery after a slow summer. Nationally, home sales increased by 1.3% month-over-month, driven by lower interest rates and renewed buyer confidence. The national average home price was $669,630, reflecting a modest 3.2% increase from September but still significantly lower than the peak prices seen in early 2023.

Key Highlights:

• Interest Rate Impact: The Bank of Canada’s recent rate cuts have made mortgages more affordable, encouraging more buyers to enter the market.
• Price Trends: While prices are rising month-over-month, they remain 2.2% lower year-over-year, signalling that the market is still in recovery mode.
• Inventory Levels: Inventory remains high across most provinces, giving buyers more options and keeping price growth moderate.

Condo Market vs. Detached Homes

• Condo Market: The condo market continues to face challenges due to an oversupply of new units. In major urban centers like Toronto and Vancouver, condo prices have dropped by as much as 6% year-over-year.
• Detached Homes: Detached homes are seeing more stable pricing trends. In cities like Calgary and Ottawa, detached homes are experiencing modest gains of around 4-5% annually, driven by limited supply and high demand.

Predicted Growth or Decline

Looking ahead to 2025, experts predict that the Canadian real estate market will continue its slow recovery. With further interest rate cuts expected in early 2025, we could see home sales grow by another 6% in the first half of the year. However, price growth is expected to remain modest at around 2-3%, as affordability challenges persist in many regions.

Ontario Real Estate Market & Inspection Overview – October 2024

The Ontario housing market showed signs of stabilization in October 2024 after several months of sluggish activity. The average home price in Ontario was $851,478, up by 4.1% from September but only showing a slight annual increase of 0.2% compared to October 2023.

Key Highlights:

• Sales Activity: Home sales in Ontario increased by nearly 10% year-over-year, with over 13,000 transactions recorded in October.
• Buyers’ Market: Despite the uptick in sales, Ontario remains a buyer’s market due to high inventory levels. The sales-to-new-listings ratio (SNLR) was recorded at 34%, well below the threshold for a balanced market (40%).

Condo Market vs. Detached Homes

• Condo Market: Condos continue to struggle with oversupply issues, particularly in the Greater Toronto Area (GTA), where prices remain down by around 6% year-over-year.
• Detached Homes: Detached homes saw modest price gains across Ontario. In cities like Hamilton and Ottawa, detached home prices rose by over 5% annually.

Predicted Growth or Decline

In Ontario specifically, we expect continued growth in detached home prices through early 2025 as demand remains strong for single-family homes outside major urban centers like Toronto. However, condos may continue to see price declines due to oversupply and slower demand recovery.

Local Market & Inspection Spotlight – Brantford, Brant County, Paris & Cambridge

Now let’s focus on our local markets — Brantford, Brant County, Paris, and Cambridge—where we’ve been closely monitoring trends through our inspections and client interactions.

Brantford & Surrounding Areas – October 2024

• Average Home Price: $590,000 (down from $638,000 last month).
• Median Condo Price: $483,648 (up slightly from $478,282 last month).
• Units Sold: Approximately 210 homes were sold across Brantford and surrounding areas in October.

Home Inspections Completed by Hynesight Inspections

In October 2024 alone, we completed over 23 home inspections across Brantford and surrounding areas. Many of these inspections from inspectors like Kyle Hynes revealed common issues such as aging roofs and outdated electrical systems — factors that can significantly impact both home values and insurance premiums.

Market Growth & Trends

While home prices have dipped slightly compared to earlier months due to increased inventory levels and cautious buyer behavior, the market is expected to stabilize as interest rates continue to drop.

• In Brantford and Paris specifically, demand for detached homes remains strong due to their relative affordability compared to nearby cities like Hamilton or Kitchener-Waterloo.

Pros & Cons of the Local Market

Pros:

• More inventory means buyers have more choices.
• Lower interest rates are making mortgages more affordable.

Cons:

• Sellers may face longer listing times due to increased competition.
• Some buyers are holding off on purchases in hopes that prices will drop further.

Market Potential

The current market conditions present a unique opportunity for both buyers and sellers:

• For buyers: With lower interest rates and more homes on the market than ever before, it’s an excellent time to negotiate better deals.
• For sellers: While competition is high due to increased listings, well-maintained homes that are priced correctly are still selling relatively quickly.

Market Red Flags

However, there are some red flags that both buyers and sellers should be aware of:

1. Rising Interest Rates in Early 2025? While rates are currently low due to recent cuts by the Bank of Canada, there is speculation that rates could rise again if inflation spikes or economic conditions change.
2. Oversupply of Condos: The condo market is oversaturated in many urban areas like Toronto and even parts of Cambridge—leading to declining prices for condo owners looking to sell.
3. Deferred Maintenance Issues: Many homes on the market have deferred maintenance issues (like aging roofs or outdated plumbing), which could lead to higher repair costs for buyers down the line.

Predictions for Growth or Decline

Looking forward into early 2025:

1. We expect further stabilization in detached home prices across Brantford and surrounding areas as demand remains steady.
2. Condo prices may continue their downward trend due to oversupply issues unless new policies or incentives boost buyer interest.
3. Overall market activity is likely to pick up again as interest rate cuts continue into early next year—potentially driving an additional 5-7% increase in sales volume across Ontario.

Tips for Buyers & Sellers

Here are some tips for navigating the current real estate market:

For Buyers:

1. Leverage your inspection report! Use any issues found during your inspection as bargaining chips when negotiating with sellers.
2. Consider long-term value—while prices may dip slightly now due to high inventory levels, homes in desirable areas like Paris or Cambridge will likely appreciate over time.
3. Be cautious with condos—if you’re buying a condo as an investment property or primary residence, ensure you understand how oversupply might affect future resale value.

For Sellers:

1. Price your home competitively—overpricing can lead to longer listing times or even price reductions later on.
2. Make necessary repairs before listing—homes that are move-in ready tend to sell faster even in competitive markets like Brantford or Cambridge.
3. Stage your home effectively—creating an inviting atmosphere can make all the difference during showings.

Final Thoughts

The real estate market is constantly evolving — and October 2024 was no exception! Whether you’re buying or selling a property — or simply staying informed — it’s important to keep up with these changes so you can make better decisions. At Hynesight Inspections, we’re here to help you navigate these uncertain times by providing thorough inspections that give you peace of mind about your investment. Whether you’re looking at a detached home or a condo unit—we’ve got you covered!

Stay tuned for next month’s update—and don’t hesitate to reach out if you need help with your next inspection! Our next article will be unique loaded with value and a unique look at the market.

Contact us at Hynesight Inspections today for all your home inspection needs!

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