Anyone who wagered on selling their home in December won that bet in a big way! The average price for a fully Detached Home exceeded $1,000,000 - catapulting to $1,021,353 on average. That’s an average of more than $30,000 from November. That’s as if in addition to someone giving you a bank vault of money for your home they threw in a brand new car!
Sellers last month gained the equivalent value of 9 brand new cars compared to those who sold in December of 2020, when the average price for a detached house was $755,618.
Not only did we break multiple records with the prices of homes sold throughout 2021, but also in the number of homes sold. With more than 1000 homes sold over the number sold through 2020, there are many of us who gained a new neighbour or two last year. The big question for 2022 is how many new neighbours can we expect and what are our old neighbours going to earn from the sale of their home?
There is an expectation that the market will continue into 2022 much as it was in 2021, with low inventory and high demand. This will drive the prices higher, but how much higher is greatly debated. The biggest factor to be taken into account is the expectation of increased immigration levels as we progress into more favourable conditions with the pandemic. Additionally, any signal that an increase in rates is on the horizon, always results in would-be buyers rushing to obtain a purchase before the rates set in. Basically, it all adds up to perfect conditions for home sellers to gain nearly hassle free high profits.
Let’s take a look at what actually happened in 2021.
The average price of a Detached Home was up drastically at 34.7% year over year, reaching the before mentioned milestone of $1,021,353 which is an increase of $265,735!
There were 4195 Detached Homes sold throughout the year. March saw the highest number of Detached Homes sold at 593, which is 3 times the number sold in December at 177.
This was true for all home types actually, where March saw the peak of homes sold with a steady decline of inventory up to the Fall months where we saw a small influx of homes come to market, declining again into the Winter months. Although we would not call 2021 a typical year for home sales, this chart shows a very traditional flow for inventory fluctuations - just on a grander scale than we are accustomed to.
There were considerable fewer Condo Apartments sold by comparison, with a grand total of 1116 units sold in 2021, with 56 of those having sold in December. The average price jumped 30.6% year over year, with an increase of $117,156 throughout 2021 for a sold average in December of $500,352. It is hard to believe that we saw smaller homes being listed for not much more than this at the beginning of the year.
Townhouses had the second highest number of units sold at 1599 in total - with 88 sold in December. Townhouses had the highest year over year average price increase at a whopping 39.4%, equal to a growth throughout 2021 of $151,130 for an average price in December of $717,475.
Semi-Detached Homes had good activity with a total of 580 sold, with a mere 23 sold in December. Again, we saw a big year over year average price increase at 33.5%, jumping $143,963 throughout 2021 to an average price in December of $770,475. Which, is almost $15,000 MORE than what the average fully Detached Home was selling for at the beginning of 2021!
The average number of days on market remained at 10 days for all home types.
Inventory levels became nearly non-existent with December seeing a merger 0.2 months worth of inventory.
It is safe to say that no matter what type of home you may have for sale, there are currently still a lot of hopeful buyers out there looking for exactly what you have to offer and more on the way into the market.