Average price dropped again, and at a higher month-over-month rate than May to June’s 5.5%, this time clocking in at a drop of 6.2%. That’s from $1,146,254 in June to $1,074,754 this past month. Average home price has now declined in five straight months after the massive gains we saw to start 2022. On a year-over-year basis, we’re still up 1.2% from the $1,061,724 recorded in July of 2022, but it almost feels like we’re going to see the first year-over-year decline in average home price since the pandemic, and that could come in August. For reference, the year-over-year figure in June was 5.3%, and it was 9.4% in May, and 15.0% in April. So clearly, we can all see where this trend is taking us.
Sales declined on a month-over-month basis for the fourth straight month, down from 6,474 in June to a mere 4,912 in July. That’s a drop of 24.1%. But to put this figure in perspective, consider that the 4,912 sales in July is the fewest in the history of TRREB. The previous low was 5,075 in 2002. Year-over-year, sales were down 47.4% from the 9,339 recorded in July of 2021, and when you consider that the record for sales in July was 11,081 in 2020, it becomes even more apparent just how much the market has slowed this summer.
New listings declined, thank goodness, from the 16,347 posted in June to 12,046 in July; good for a 26.3% decline. I say “thank goodness” because if sales are down 47.4%, month-over-month, then we need to see a similar decline in new listings, or risk having active listings spike and prices decline further! Year-over-year, these 12,046 new listings were on par with the 12,562 recorded in July of 2021, just 4.1% shy of that figure.
Active listings actually declined on a month-over-month basis, which is surprising! From 16,093 in June to 15,334 in July, representing a decline of 4.7%. That’s the good news! The, uh, not-so-good-news is that on a year-over-year basis, those 15,334 active listings represent a massive 57.6% increase over the 9,731 recorded in July of 2021. Sales were at 9,339 in July of 2021 and that is the reason for the surge in active listings! If sales are down, even if inventory remains the same, active listings will surge!
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