Spring, traditionally the season of renewal, seems to be working its usual magic on real estate too.
In March, the number of homes sold increased by 39% from the month before, a sure sign that the real estate market in Cambridge is continuing to rebound, which many are glad to see.
“We are in a healthier market, with more sales due to increased buyer confidence,” says Trish Lewis, Sales Representative, GoWylde Team/ReMax.
The average sale price of homes overall stayed flat. Townhouses were up by 1%, condos were up by 3% and detached homes were up by 2%. 55% of the homes went to multiple offers.
March was the first month since July of 2022 that the average sale price was over 100% of the list price. The average sale price across all housing categories was $731,425. For detached homes, that figure was $820,844, for attached homes it was $671,692 and for condos and apartments, it was $509,052.
A lot of sellers are choosing to list their homes at a lower price and hold off on looking at any offers for a the time period of a week again.
Inventory remains low and is down 10% from February. Low inventory can of course contribute to greater competition among buyers and there is definitely a trend of homes selling quickly and for higher prices.
“March was filled with good news,” says the real estate agent. “On March 8th, the Bank of Canada paused its interest rate hikes and inflation dropped to 5.2% in February, which was better than expected. The BOC anticipates that inflation will be 3% by mid-summer, which is at the high end of the target range.”
The USA did raise its interest rates by 25 basis points on March 17th, but with the bank failures there, they will likely pause them, which makes it more likely for the BOC to continue to hold. Many previously hesitant buyers have started looking again; others indicated they would jump back in after a few months of paused rates.
“This market presents opportunities for specific sellers and buyers. For buyers looking to purchase an investment property, rents are high, prices are down, and vacancies are low. All of these are major positives,” says Lewis.
“A window of opportunity exists for first-time buyers; plenty of homes are available, prices are relatively flat, and you can purchase with conditions. If you currently own a home in Cambridge and want to move to a less active area, it is a great time to sell and purchase. For sellers looking to buy and sell, this is a safe market. It is a risky time for flippers if they are looking for quick profits.”
For more information, or to contact real estate agents Mary Wylde and Trish Lewis, visit the GoWylde Team or call 519-826-7109.