Market
Market
Parry Sound Real Estate | January 2024 Update
The latest statistics from The Lakelands Association of Realtors® for January 2024 are out, shedding light on the current state of real estate in Parry Sound. While it's important to note that the first quarter typically sees slower activity in both home and cottage sales, the data hints at evolving trends that warrant attention. Despite the challenges posed by low sales volumes, particularly in Muskoka, there are notable shifts occurring in the market.
The charts to the right cover most of Ontario's cottage country including Parry Sound, Muskoka, Halliburton and the Kawarthas. The trends are to hard to see and seem to be accelerating into the fourth quarter of 2023 and the start of 2024.
Cottage Sales under $3,000,000
Key Insights:
1. Diverging Trends in Cottage Sales:
- The graphs illustrates a notable downturn in sales, especially in lower price ranges across most of cottage country including Parry Sound and Georgian Bay.
- However, luxury waterfront properties priced above $3,000,000 are either holding steady or experiencing gains, showcasing resilience in this segment. Luxury cottages in this space would most often be found on Lake Joseph or Georgian Bay in the Parry Sound area.
- The tale of two markets can largely be attributed to interest rate shock having a far greater effect on people buying cottages at lower price points.
2. Decline in Waterfront Property Sales:
- Only 23 waterfront properties were sold across the entire real estate board in January, marking a 23.3% decline from the previous year and a significant 45% drop compared to the 10-year average.
- The median waterfront price settled at $899,000, reflecting market dynamics amid lower sales volumes.
- Volumes are so low that they be statistically insignificant when looking at price trends.
3. Extended Time to Sell Waterfront Properties:
- The number of days to sell waterfront properties has noticeably increased, indicating a shift in buyer behavior and market conditions. As seen in the chart below, median days on market have almost doubled to 28 from listing to selling.
- Similar trends are observed across various regions within the province, suggesting broader market dynamics at play. Historically there is a surge in waterfront listings in the early spring as the ice begins to leave the lakes.
Waterfront Property Median Days on Market
Cottage Sales over $3,000,000
4. Challenges in Non-Waterfront Segment:
- Single-family home sales in January saw a 6.3% decrease compared to the previous year and a substantial 24.9% drop from the 10-year average.
- The benchmark price for non-waterfront properties experienced a 6.1% decline, reflecting market adjustments amidst changing demand.
5. Anticipated Market Outlook:
- With the summer selling season approaching, a more comprehensive outlook for the Muskoka and Parry Sound regions will be provided as additional data becomes available.
- The upcoming Spring Cottage Life Show in Toronto is expected to offer valuable insights into market sentiment and buyer preferences.
- We will keep a particularly close eye on where the prices are heading throughout the Parry Sound & Georgian Bay areas.
Connect with Us:
- For personalized lake-specific and area-specific analysis, feel free to reach out to us. We're here to address any questions or concerns you may have as you navigate the real estate landscape.
- Visit our contact page for more information on how to get in touch with our team.
Despite the current challenges and uncertainties, the real estate market in Parry Sound remains dynamic. Understanding these evolving trends is crucial for both buyers and sellers to make informed decisions. As we await further data updates and market developments, we're committed to providing valuable insights and support to our clients. Stay tuned for our upcoming analyses and outlooks as we navigate through the ever evolving real estate landscape.
¹ Lakelands West: The Blue Mountains, Clearview, Collingwood, Grey Highlands, Meaford, Wasaga Beach ² Lakelands Central: Midland, Orillia, Oro-Medonte, Penetanguishene, Ramara, Severn, Springwater, Tay, Tiny ³ Lakelands North: Algonquin Highlands, The Archipelago, Bracebridge, Dysart et al, Georgian Bay Township, Gravenhurst, Highlands East, Huntsville, Lake of Bays, Minden, Muskoka Lakes, Parry Sound
