Home sales and prices slump
November sales were down from October, but way up from last year
Only 19 homes sold in Trent Hills in November with a median price of $559,000 compared with 24 sales and a median price of $630,000 in October.
But if you look from the perspective of a year ago, sales are still booming. In November 2023, just eight homes sold, although the median price was $657,450, 4 per cent higher than this year.
“As the holiday season approaches, we are observing a decrease in the number of sales compared to the previous month across almost all of our regions,” said Vicki Sweeney, President of the Central Lakes Association of Realtors. “This trend is typical for this time of year, as many individuals choose to postpone real estate transactions until after the holidays.
“However, on December 15 two key changes will take effect to mortgage rules in Canada,” Sweeney said. “There will be an increased price cap for insured mortgages and expanded eligibility for 30-year mortgage amortizations to all first-time homebuyers and to all buyers of new builds. These changes may provide relief to many Canadians looking to purchase a home in the new year.”
For all of Northumberland County there was a 56 per cent rise in sales, with 106 transactions in November 2024 compared to 68 the previous year. The average price experienced a slight dip, from the November 2023 average price of $753,273 to $741,262.
Interest rates should fall a bit this month, according to a report by Central 1 Credit Union. Chief Economist Bryan Yu predicts that the Bank of Canada will cut its lending rate to 3.50 per cent from 3.75, which the rate set in October.
“The likelihood of larger cuts in early 2025 will depend on U.S. trade policy,” Yu said.
That policy could include massive Trump tariffs that will slam the brakes on our economy, the U.S. and Mexico.
Yu said the mortgage changes designed “to boost housing accessibility by year end could add to the rebound in home purchases and prices.”
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