The London and St. Thomas Association of REALTORS® announced that 668 homes exchanged hands last month in its jurisdiction, down 41.6% from May 2019 and 26.3% less than in May 2010. While those numbers seem low, we have actually seen a notable month-over-month increases. More specifically, 42.4% in home sales and 31.8% in listings, which is very encouraging, said Blair Campbell, the 2020 LSTAR President. The ratio between supply and demand is almost unchanged.
While COVID-19 and new social distancing protocols has prohibited open house and caused numerous lay-offs, local real estate market has continued to succeed in staying in the Sellers’ territory.
With that being said, the overall average home price saw an increase of 7.4% over a year ago, rising to $445,732 in May. This average sales price includes all housing types. All the five major areas of LSTAR’s region has seen increases in their average home sales price. Please refer to the table below, where it illustrates last month’s average home prices by area and how they compare to the values recorded at the end of May 2019.
Area May 2020 Average Sale Price Change Over May 2019
Elgin County $396,754 +14.7%
London $450,114 +6.2%
Middlesex County $550,902 +13.0%
St. Thomas $370,182 +1.7%
Strathroy $425,749 +16.8%
LSTAR $445,732 +7.4 %
As per Blair Campbell, “Looking at London’s three main geographic areas, London South saw the highest number of home sales last month, while London East saw the biggest price gain compared to May 2019,”
The average home price in London East was $365,261, up 8.4%. In London North increased 7.7% over the same period to $531,626. In London South, the average home price was $462,334, up 6.5% over May 2019. St. Thomas saw an average price of $370,182, an increase of 1.7% from last May.
Most importantly, “the May home sales are potentially bringing over $45 million back into the local economy within the next few years, the real estate sector is one of the most important drivers of the Canadian economy ” Campbell said. Ultimately, this drives us realtors to work even harder for our clients.