Real Estate Demands in Guelph Slows
The latest monthly report from the Guelph & District Association of REALTORS® (GDAR) shows that the number of home sales in the Guelph area has declined sharply since the beginning of the year.The report shows that sales in the first quarter of 2022 are down compared to the same period last year. This is a significant change from the trend in recent years, when the Guelph real estate market has been one of the hottest in the country.
There’s been sharp decline in sales to the “retreat” of buyers from the Greater Toronto Area (GTA), who have been a major source of demand in the Guelph market in recent years. The report notes that the slowdown in demand from the GTA is “a major factor” in the current market conditions.
Also noted that the decline in sales has been accompanied by a decrease in the number of homes selling for above the asking price. In early 2022, over 90% of homes were selling for above the asking price, but that figure has declined to around 70% in recent months.
With fewer buyers in the market, sellers are having to adjust their expectations and selling strategies. The “holding offers” is being replaced by “irrevocable offers” in many cases, as sellers look to avoid the risk of having their home sit on the market for an extended period of time.
The current conditions in the Guelph real estate market are a far cry from the conditions that existed just a few months ago. In early 2022, the Guelph market was so hot that homes were selling in just a few days, often with multiple offers.
The current slowdown in the Guelph market to the “retreat” of buyers from the Greater Toronto Area.