It's that time of year again when we gaze into the crystal ball and make some daring predictions for the upcoming months. Brace yourselves for an exhilarating ride through the real estate market of Oshawa, Whitby, and Clarington. Last year was a rollercoaster ride, with unexpected twists and turns, but now it's time to look ahead and see what lies in store for us.
Riding the Waves of the Spring Market
As we enter the spring market, which typically spans from late January until May, we might experience a sense of deja vu. It could be a repeat of the fall of 2020 to the first quarter of 2021. Let's take a trip down memory lane and recall the tumultuous ride that was 2020. We began the year with a seller's market, bidding wars, and limited inventory, but then the world shut down. Real estate came to a standstill, and our office remained closed from mid-March until June.
But once June arrived, it was like a light switch had been flipped or the starting gun had fired at the beginning of a horse race. Sales for detached homes in Oshawa, Whitby, and Clarington skyrocketed, with a staggering 564 homes sold in June alone. However, this surge in sales was accompanied by a drop in the number of homes available for sale.
Sales for detached homes in Oshawa, Whitby, and Clarington
The Impact of Limited Inventory
As the economy started to recover, the number of homes for sale saw a drastic decline. By the end of the year, Oshawa had a mere 28 homes for sale. When supply drops to historic lows while demand remains high, prices inevitably spike. And that's exactly what happened. The fall of 2021 witnessed a significant increase in prices across the three communities.
Here's a snapshot of the price increases from the fall to the spring of 2021:
- Oshawa: Year-end 2020 - $724,000. Spring 2021 - $858,000
- Whitby: Year-end 2020 - $946,000. Spring 2021 - $1,084,000
- Clarington: Year-end 2020 - $787,500. Spring 2021 - $935,000
These numbers reveal the tremendous growth potential in the real estate market, especially with limited inventory.
Buckle Up for 2022: What Lies Ahead
So, where do we stand now, and what can we expect in the first few months of 2022? Let's dive into the current inventory:
- Oshawa: 88 detached homes for sale
- Whitby: 50 homes for sale
- Clarington: 57 homes for sale
Compared to October 2020, we have about half the number of homes for sale. This scarcity of inventory will undoubtedly drive prices higher, just as we saw last year. If the prices continue to rise at the same rate as they did from October 2020 to March 2021, brace yourselves for the following projections:
- Oshawa: $933,000 ➡️ $1,160,000
- Whitby: $1,230,000 ➡️ $1,446,000
- Clarington: $1,058,000 ➡️ $1,250,000
It's time to fasten our metaphorical seat belts, Durham Region, as the real estate market takes off. Even the threat of increased mortgage rates doesn't seem to dampen the appetite of buyers for their dream homes.
Conclusion: Prepare for Liftoff
Based on historical trends and the current market conditions, we can confidently predict that the spring of 2022 will witness a similar surge in real estate prices. With limited inventory and eager buyers on the hunt, the sky's the limit for Oshawa, Whitby, and Clarington.
If you have any questions or thoughts about the market, feel free to reach out to Lindsay at [email protected] or visit www.buyselllove.ca. You can also connect with us on Facebook, Instagram, and LinkedIn.
Let's embark on this exciting journey together and navigate the ever-changing real estate landscape!
