(EP: 149) Real Estate Market Update February 2021

Transcript

Ep149Podcast

[00:00:00] What's happening with the Winnipeg real estate market and February 1st, 2021. And a quick little story all coming up.

[00:00:11] You're listening to the bone knows real estate podcast tips and advice for home buyers, sellers, and owners with award winning Remax agent Bo Kaufman.

[00:00:25] Welcome. This is Bo Kauffmann, Remax performance Realty, residential real estate agent entering my 17th year now in business. As some, you might know, as I retired from the Winnipeg police back in 2005, when to join Remax performance Realty right away, and February now is the start of my 17th year. Seen a lot of ups and downs in markets, mostly ups in Winnipeg.

[00:00:48] That's been very few downs. And, , as you've probably heard right now, the market is just, it's crazy. There is not a lot of listings out there. And as soon as something comes up, if it's level and straight half [00:01:00] decent, it's almost like a feeding frenzy, especially in the price ranges under for $400,000.

[00:01:06] So this tight market doesn't just affect resale homes. It apparently also affects brand new construction, which is something that happened to me this week. So definitely I won't mention names. To protect the innocent, but here's what happened is I have a client lives out of town, but an hour away called me cause he saw this brand new house under construction in Winnipeg, on the market for $395,000.

[00:01:30] That's right. In this price range, you can go a little bit higher. So that's perfect. So he came in to see, we booked an appointment and the agent already told me that because of construction prices going sky high, and they're literally changing every few days to prices of lumber, prices of kitchen cabinets, prices of electrical supplies, everything is going up all the time.

[00:01:51] They may not be able to maintain that price of three 95. So sure enough, as we go through the house and my buyer likes the house, the [00:02:00] listing agent calls me and says, we have praise, raise the price. It's four 10, still within my buyers price range. He still sees the value. We make an offer of four 10, took a couple of days for the builder to think it over.

[00:02:13] And he came back and said, no, we actually want, we need. Four 25. The case is that the house has not been finished. There's still a lot of lumber that needs to be purchased windows. Everything on the inside and those prices are going up so fast that if possession is three, four months down the road he can't, he cannot hold that price at four 10.

[00:02:33] And we'd been hearing this kind of stuff was happening in Calgary a few years ago that when you sign up the build house, by the time it's finished, You have to pay about a 10 or 15% premium because prices haven't gone up. And that seems to be happening right now in Winnipeg as well. So whether you're buying used or new, it's a tough time to buy at the other end of the scale is the fact that interest rates have never been lower.

[00:02:56] My mortgage specialist, Mike Schroeder from mortgage [00:03:00] architects just shared with me that he got somebody a 1.5, 9% mortgage. So let's see what the housing market is doing. And one IVIG. So let's take a look at it, but the numbers say for February 1st, 20, 21, and the first thing we're going to see is that in houses, they haven't changed at all.

[00:03:18] From January 1st, we had 479 houses on the market today, February 1st, there's two more, four 81, but compare that to last year, same time we had 1,131 houses. So we are in a real shortfall right now. As far as listings are going condos. Right now we have 402 available. And that's down from five 61 last year.

[00:03:41] Same time now, as far as when it picks market overall goes, you can see that the majority of listings are houses in the two 50 to $500,000 range of all the listings available. That's more than 50%. Now let's take a look at how sales are going. So in the past month, [00:04:00] Houses under 250,000, we sold 111 that's up slightly from the previous month before that, which was 106, but compared to last year were down last year.

[00:04:10] This time we sold 150 during the same time period. When it picks most popular range houses, 250 to $500,000. In the previous month, we sold 210 the month before that two 19 and last year, two 61. So sales are slightly down over last month and over last year, but that's to be expected when there's no inventory on the market condos.

[00:04:33] Previous month, we sold 42 the month before that 43 last year 53. So those are down as well. And condos over a quarter million dollars while they're pretty much the same. It's 32 last month, 34, the previous month and 33 last year. Incidentally, the most expensive condo available remains. Number one, Wellington Crescent.

[00:04:56] The top two floors is at $3.25 million [00:05:00] and there are current five condos available in the million plus range. For more information and a closer look at luxury markets. I do produce a luxury home market report every two months. Okay. So let's take a separate look at houses under quarter million dollars.

[00:05:17] Currently there's 132 available, roughly the same as last month, but it's way down from last year. Same time when we had 312. Now how long have those been on the market last month? The median days on market was 42 this month. It's only 16. So what that's telling me is that many of those hundred and 32 listings are fresh new listings, new on the market, looking at sales of homes under $250,000.

[00:05:43] Last month, we sold 111 the previous month, 106. So there's not much difference there compared to the previous year, as I said, as 150. Inventory days, the lower, the number, the hotter, the market. So you can see last year was 140. This year, we're in the [00:06:00] 37 days range. So super hot buyers are, their listings are not, Hey, that rhymes and the average sold price for during the month of January was 189,200 and days on market.

[00:06:16] An average was it was 41 days. That's an average of how long it took to sell the average house during January 41 days, almost six weeks now, looking at available houses in the quarter mill to half million range. Currently we have exactly as many on the market as the previous month, 195, and that's down from 521 last year.

[00:06:38] That's a huge drop. And median days on market, you can see last month was 37 and this previous month was only 11. So a lot of those 195 listings are brand new listings just came on. The market sold over the previous month was 210 compared to 219 the month before that, which is down from two 61 the year [00:07:00] before that.

[00:07:00] Now inventory days again, the lower, the number, the harder of the market. We're pretty much the same as the previous month, 29, 28 days. That's very comparable compared to 62 days last year. And the average house in this price range between two 50 and 500,000, the average sold for 334,000, and it took 44 days on average to sell those homes.

[00:07:23] Now turning to condos under a quarter million dollars, we have 224 available. That is up slightly from the previous month of one 93, but it's down from last year's 306. Again, the median days on market do show us that many of those listings are newer sold condos. Over the past month, under quarter million dollars, we sold 42 that compares very well against the 43, the previous month, but it's down from the 53, the previous year inventory days.

[00:07:55] Again, last year was one 79. This previous month was one [00:08:00] 65, not as hot as the month before that, which was during the month of December at one 39. Average condo sold in the previous month was 169,000 and it took 46 days on average to sell those condos. Now looking at all condos over a quarter million, I did not cut these off at 500,000 simply because there isn't that many condos for sale and being sold over a half million dollars.

[00:08:29] So all lumped into one condos over a quarter million dollars, we have 179 on the market. That's up from one 49 a month before, but it's down from the two 55 last year. And again, median days on market is half of what it was the previous month. Sold condos, quarter million more. We sold 32 during the month of January compared to 30 for the month of December.

[00:08:54] And again, there's very little difference. Even over last year, we sold 33 same time. Period. [00:09:00] Inventory days is at 173. Again, that means it would take almost six months to sell everything that's out there at this rate. And average sold price in this price range is 319,000. And the average days on market to sale was 43 days during the month of January.

[00:09:19] So what do all these numbers mean after this? A quick little break, we're going to put it all into perspective. Are you thinking of selling your Winnipeg house or condo work with the listing agent who goes beyond the MLS Bo Kaufman of Remax performance has a marketing plan. That is second to none. Book, your free marketing plan and evaluation today.

[00:09:39] Beau knows real estate. Would you like to keep up with current real estate tips, news and advice for home buyers and sellers? Why not download my free podcast app available for iOS and Android devices? It's super easy. Just go to Boknows.homes/apps

[00:09:58] You'll [00:10:00] never miss an episode. So what do all these numbers? As far as the housing market goes, all we need to really look at is the fact that last year and just about every other year before that we had 1100 plus houses for sale. And right now we've got less than 500. So that'll tell us all we need to know.

[00:10:21] There isn't a lot of houses out there on the market. And the first ones to come up now are going to be subject of a feeding frenzy as long as they are level and straight in decent neighborhoods. Now is a good time to list your house. Condos similar picture, but not as extreme. Last year we had 500 plus this year we got 400 condos on the market, so it is a little tighter, but still condos.

[00:10:44] There is considering that the condo market is not as vibrant as the housing market. There isn't as many condo buyers condos in definitely in some price ranges are still a buyer's market. So to summarize great time to sell a house still a good time to buy a condo. [00:11:00] And if you need help with either one or any other real estate matters, just give me a shout bull Kaufman Remax performance, two Oh four, triple three, two two zero two.

[00:11:10] Till next time bye-bye. You've been listening to Bo Kauffman of Remax performance Realty. Are you thinking of buying or selling a house or a condo in Winnipeg called bow at (204) 333-2202. Remember bone knows real estate.