WHY AREN’T THE PRICES DROPPING?

We just experienced another two small rate hikes of .25%. Everyone thought the rising interest rates would kill the real estate market. But if that’s true, then why are the prices still rising? How does this affect YOU, a Sudbury resident that either owns a home or wants to be a homeowner?

In the peak, according to the MLS house price index, the peak was in March 2022, and the average house price rose to $479,500 (to put it into perspective a bit, the average house in Sudbury is a brick bungalow in New Sudbury with no garage that hasn’t had any updates in 20-30 years but is well maintained). Then rates started to increase, and the fear set in. We experienced 4-5 months of fear-based decline, meaning most buyers could still afford to buy, but the uncertainty held them back. This is when the prices hit a low in Dec 2022 at an average house price of 367k! That’s a massive drop. Then, the BOC announced no rate increase. All of the cooped-up buyers went and got approved at the higher rates and started shopping again. Now the fear is out, but the desire to own a home is still EXTREMELY strong, which made the prices accelerate to an average of 456k today. That’s in only 7 months!

How did we get here? The answer is: demand. The Toronto market was already seeing rapid house price growth way before covid. The amount of immigration Canada is seeing is through the roof! The amount of new buildings couldn’t keep up. Mixed with the rates dropping, buying a home became easier.

During those two years in Sudbury, basically all of our inventory got eaten up. We went from having 1400 active listings in 2018 - historically the highest number of listings per year - to today, where we are down 50% to 703.

I know it sounds crazy, and maybe it doesn’t make sense how prices are still up so much. But if you saw it from my point of view as a super active realtor, you would notice how much demand there is out there. For example, I had a listing in the first time home buyer price range that got 115 showings. Let’s assume 15 or 20 of those were second showings. This means in Sudbury, there are 95 buyers looking to purchase their first homes. That is just one example.

I have several buyers that want to buy a step-up home, but the market is a bit too hot right now, and buying and selling is too stressful for them. So if the market ever slows down, they will be entering the market.

So if you have any questions and are looking to buy or sell, you can reach out to me and the team! We would be happy to have a conversation.

LIGHTING

“Light is the first element of design; without it there is no color, form, or texture.”

LIGHTING

“Lighting is the jewelry and finishing touches of your home.”

Monique

Grottoli-Paquette

DECORATOR/INTERIOR DESIGN CONSULTANT

“Together we can discover the new you whether you are traditional, transitional or contemporary.”

DECORATOR/INTERIOR DESIGN CONSULTANT

“My goal is to help you complete your space and make it your own.”

Jean Morrison

Broker | Exp Realty Canada

Sault Ste Marie Branch | 528 Wallace Terrace

705-941-1002 jean.morrison@exprealty.com

License #: 4736048

2-531 River Road, Sault Ste Marie | MLS SM231304

River front condo on the St Mary’s River. This over 2000 SF, 2 storey condo is in a very unique and desirable location and includes a boat slip and attached garage. Amazing views from the windows of this open concept executive home. 3 bedrooms plus a den, 2.5 baths. Gleaming maple floors, custom kitchen with granite counters. This home is quality. Gas forced air & Central Air (aprox 7 years) The master bedroom with private balcony and ensuite is stunning. Soak in the tub with stunning views of the river. Outstanding. This condo is perfect for many stages with room for a smaller or larger family. Enjoy all year round, or travel and have the comfort of locking the door and leaving! Beautiful grounds and location in beautiful Sault Ste. Marie. $659,900 (Condo Fees are $600/month)

104 Greenview Lane | MLS# SM231560

Located in a sought after executive neighbourhood in beautiful Sault Ste. Marie. Offering a unique and very functional layout with over 2100 sqft above grade and somewhat of a split layout, this design affords the potential for a complete suite on the main level. The main level consists of one bedroom and a loft, living room, and great room with vaulted ceilings. Large beautiful windows in this home allow an abundance of natural light to flow in. The newer kitchen offers granite countertops with modern cabinets. With 3 bedrooms and 2 bathrooms, this home is ideal for a large or small family with the added convenience of having a private area to accommodate another family member. The backyard boasts breathtaking landscaping with beautiful gardens and perennials. $599,900

Facebook: Jean Morrison, Real Estate Broker, EXP Realty Canada Instagram: @jeannie_the_property_girl

Superior Property Management, Inc. was created in response to a large identifiable need for property management in the Algoma Region. Property owners are looking for professionals who are knowledgeable and experienced with the Landlord Tenant Board, writing lease agreements, screening tenants, collecting rents, and scheduling maintenance and repairs. Quality tenants are seeking suitable rental options, and our staff can help match them with the best properties that suit their needs. As vacancy rates fluctuate, we are able to maintain a list of pre-screened tenants who are waiting for their next rental home.

AT THE REAR OF THE PROPERTY THERE IS A 32 X 36 GARAGE AS WELL AS 16 X 24 DETACHED GARAGE CALL RON DESFORGE, BROKER 705-560-5050

705-560-5050

This home is in popular Carol Richard Park. Lovely 110' X 136' park like lot. Attached garage and a drive through car port to back yard. Loads of potential. Estate sale and aggressively priced at $379,900. Text RBJTHJL to 844-928-0132

For sale in the heart of desirable Lively. This 3,725 square foot building sits on a 1.72 acre lot with over 260' on frontage on Jacobson Drive. Built in 1952 and renovated in 1989, this building was formerly a duplex home and currently used as an animal shelter. Take advantage of the sizable lot for ample parking and fantastic frontage for signage opportunities. Text RBJPMLP to 844-928-0132 in Re/Max Professionals North 2022

*Each office Independently owned and operated

Waterfront: Muskoka River • For Sale

Waterfront: Gull Lake • For Sale

24 McGregor Way, Port Sydney | $1,299,900

• Luxurious retirement home on the river with superb privacy • This cottage boasts 1,883sqft, 4 beds, 2.5 baths, all on one level, with crawlspace storage and double oversized (20’x40’) detached garage

• Private and very gradual 2.20 acres of landscaped grounds w 246’ of sandy, shallow and deep waterfront • Year round municipal road, less than 2.5 hrs from GTA, 15 minutes to Huntsville or Bracebridge

Waterfront: Gull Lake • For Sale

380 Bethune Dr. N., Gravenhurst | $1,575,000

• Extremely rare retirement bungalow with full municipal services in town, on water! • This cottage boasts 1,780sqft, 3 beds, 2.5 baths, all on one level, with crawlspace storage and double attached garage • Private and perfectly level 1.45acres of landscaped grounds w 152’ of clean sandy and shallow waterfront • Year round municipal road, less than 2 hrs from GTA, walking distance to all town amenities

Settler’s Ridge Subdivision • For Sale

600 Gull Lake, Gravenhurst | $1,350,000

• Superb water access property on Gull lake, the former site of the Boulderwood Camp from 1940 • Sublime 19.55 acres of level and elevated mixed Muskoka terrain and 1069’ of both shallow sandy beachfront and deep rocky waterfront • 11 structures, 5 cottages are usable and remainder need work, setup for year round road use, 1.5 hrs from GTA, boat into Gravenhurst for all town amenities

10 Homestead Lane, Huntsville | $1,295,000

• Luxurious retirement bungaloft in the Settlers Ridge subdivision • This home boasts 3,654sqft of finishes living space, 4 beds, 3.5 baths, and a triple radiant in floor heated garage with epoxy • Private 59’ x 118’ lot, full municipal services and with fence, sprinklers, granite armour stone landscaped grounds • Year round municipal road, less than 3 hrs from GTA, close to Deerhurst Resort, Huntsville downs and all town amenities

*Based on individual commissions pulled from Lonewolf Stats January 2023.