Average price increased on a month-over-month basis by a ridiculous 7.3% from $1,157,849 in December to $1,242,793 in January. This is the largest December-to-January increase in all the time that TRREB has tracked real estate stats. The average December-to-January change in price is an increase of 1.0%, and in 6/20 years, the price has actually gone down. But if that doesn’t impress you, then how about this: the average home price is up by 28.6% year-over-year! The $1,242,793 figure recorded in January dwarfs 2021’s figure of $966,068. So when you read articles about how “the market is up 25%,” this is what we mean, and trust me, this translates to real sales out there.
Sales declined by 6.5% from the 6,031 recorded in December to 5,636 this past month. It’s not surprising to see sale drop in January, as it’s happened in 10 of the past 20 years, but this year, it’s because there’s just no inventory, as the year-over-year “New Listings” data will show. It’s also tough to buy when there’s seemingly thirty offers on every property. Year-over-year, sales dropped from 6,888 to 5,636, a decrease of 18.2%.
New listings increased this month over last, which is something we’ve been praying for, some of us figuratively and some of us literally! The 5,174 new listings in December grew to 7,979 this past month, an increase of 52.2%. So that’s great, right? Wrong! Because year-over-year, new listings dropped from 9,438 in January of 2021 to 7,979 in 2022, a decline of 28.0%. In a market starved for inventory, a 28% drop from last year is going to hurt. Or more specifically, just cause prices to jump by 28.6% as we saw above.
Active listings also increased month-over-month like that of new listings, but not at the same rate. Last month saw 4,140 active listings by month’s end, up by 28.0% from the paltry 3,232 active listings recorded in December. However, and this is the biggest “however” you’ll read in this eNewsletter today, those 4,140 active listings in January are the lowest number of active listings in any January, ever. The closest? That would be the 5,034 recorded in January of 2017. Oh, great, we all remember the 25% increase in prices from January to April of 2017, don’t we? Year-over-year, active listings are down a comical 44.0% from the 7,396 recorded in January of 2021.
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