Parry Sound Real Estate | Summer 2023
The Lakeland Real Estate Board recently released the May 2023 statistics, shedding light on the evolving dynamics of the local real estate market. As we closely monitor web traffic on our sites, it is evident that the number of property searches has significantly decreased compared to the peak of the pandemic. Notably, many of the new listings consist of properties purchased within the past three years or re-listed from last year at more affordable price points. This presents a favorable opportunity for buyers but poses challenges for sellers. The transition from a sellers' market to a buyers' market is gaining momentum across both the cottage and home segments.
While waterfront sales on some of Parry Sound's larger lakes like Lake Joseph and cottages on Lake Manitouwabing are still occurring, the pace has notably slowed. It may take a few more months to establish a new price equilibrium for luxury properties. Residential sales in May 2023 declined by 10.1% compared to May 2022, and year-to-date sales have fallen by 29.2%. The total value of all home sales amounted to $249,792,208, representing a 5.8% decrease from the previous year.
Active listings have experienced a significant increase of 57.2% over 2022, with a current count of 852 properties. However, this number remains considerably lower than pre-pandemic levels, which saw approximately 60% more homes on the market.
A Market in Transition
The median price for homes in the "Lakelands North" region stood at $810,000 in May, and the year-to-date median price reached $705,000. This reflects a 6% decline compared to the previous year. It is worth noting that the average days on the market increased from 8 to 21 year-to-date, indicating the substantial rise in inventory and a smaller buyer pool.
Waterfront real estate in Muskoka experienced a decline of 7.8% in May and 23.8% year-to-date. This category includes both cottages and vacant waterfront lots within the entire "Lakelands North" area. The total value of waterfront sales amounted to just over $341,300, marking a significant decrease of 29.9% compared to the previous year. May alone witnessed a 4.4% reduction in value.
Similar to houses, the average days on the market for waterfront properties increased significantly to 22, doubling the time it took to sell properties compared to the same period in 2022, when the average was only 11 days.
Thus far in 2023, the median price of cottages and vacant waterfront properties has dropped by 12.9% compared to the previous year. It is important to note that this price level still represents a remarkable 62% increase from 2020, indicating substantial growth over the past 3 years.
Areas covered by Lakelands North include Algonquin Highlands, The Archipelago, Bracebridge, Dysart et al, Georgian Bay Township, Gravenhurst, Highlands East, Huntsville, Lake of Bays, Minden, Muskoka Lakes, Parry Sound. These waterfront statistics cover all these region's lakes and rivers including Lake Cecebe, Lake Vernon, the Muskoka River, Lake Manitouwabing real estate and more. We have individual property sales numbers on our listing pages for individual lakes.