Real Estate Market Report June 2024

A common question asked in the real estate industry is “How’s the market“. While the correct answer is largely dependent on whether the person is interested in buying or selling a home, there are market indicators that help statistically define the pulse of the market. To answer this common question, the most important statistic to review is the current “absorption rate” for each municipality. This calculates the number of reported unit sales in a month in comparison to the total number of active listings. For example, there was a total of 47 unit sales in Wasaga Beach throughout June 2024 and a total of 312 active listings at the end of the month. The current absorption rate for Wasaga Beach is approximately 15% indicating that the market at large is still a “buyer’s market” at this time. Approximately 85% of sellers unfortunately did not complete a sale in the month of June 2024.

Another comparison is Collingwood where there was a total of 33 unit sales throughout June 2024 and a total of 325 active listings at the end of the month. The current absorption rate for Collingwood is approximately 10% indicating that the market at large is still a “buyer’s market” at this time. Approximately 90% of sellers (9/10) unfortunately did not complete a sale in the month of June 2024 in Collingwood.

Unfortunately, the market data is concluding that there is not a buyer for every home for sale at this time. Realtor-to-Realtor contact and MLS systems combined with professional marketing continue to be of the utmost importance for sellers in the current market.

Included below is a list of current absorption rates for each of the local municipalities:

• The Blue Mountains: 9%
• Clearview: 12%
• Collingwood: 10%
• Georgian Bay Township: 6%
• Grey Highlands: 16%
• Meaford: 11%
• Tiny Township: 12%
• Wasaga Beach: 15%

The absorption rate in Southern Georgian Bay areas statistically, in general, remains a buyer market based on the supply and demand in the Western Region. In June, the closest municipality to finding a balance was Wasaga Beach and Meaford at 15-16% and the market with the lowest absorption rate was The Blue Mountains at 9% and Collingwood at 10% (9/10 sellers, unfortunately, had not completed a sale in June).

The average sale price year-to-date in June 2024 for all of Lakelands West was $859,278 for a residential residence (all residential – The Blue Mountains, Clearview, Collingwood, Grey Highlands, Meaford, and Wasaga Beach). This is a decrease of -1.2% from the previous month ($869,603 in May 2024).

In comparison to previous years, the CREA report indicates that the average “year-to-date” sales price in June is primarily on par with June 2023 (-0.2%), however, down -16.1% from June 2022. Historically the average price in 2024 remains up +2.6% from June 2021, and up +60.7% from June 2019.

RE/MAX By The Bay Brokerage additionally monitors the “12-month average sales price” in addition to the monthly and year-to-date averages. According to the 12-month average sale price figures, the average sales price concluded the following month-over-month change from May 2024 to June 2024:

Wasaga Beach +0.34% ($813,767 in May 2024 vs $816,544 in June 2024)

Collingwood +0.03% ($970,821 in May 2024 vs $971,080 in June 2024)

The Blue Mountains -2.86% ($1,488,209 in May 2024 vs $1,445,710 in June 2024)

Clearview -2.96% ($1,027,745 in May 2024 vs $997,310 in June 2024)

In summary, while some of the Southern Georgian Bay municipalities are holding value with little change from the previous month (May to June), others are still concluding a decrease in value based on current market conditions and the homes that are selling in those areas (average of what has sold).