Change is in the air

Written by Matt Brabbins, June 10, 2016

How is the market? Houses vs Condos & Townhouses

When people ask me about the market or comment on current trends they’re usually speaking to activity on detached houses. It’s been exciting to talk about it, but more focus should be paid to the “attached” market.

HOUSES: It appears houses are settling into a steady price bracket. An average house in New West, suitable to a family, is sitting around $1.2M. This suggests that buyers have reached their maximum threshold (for the time being). Buyers who can’t afford this have accepted their future and now the competition is heating up in the attached market.

TOWNHOUSES: They are starting to look like a rare commodity now that houses simply are not an option for most families. Townhouses continue to sell regularly for more than $100,000 over asking price. Something with three bedrooms in New West is now at a minimum of $600,000, but closer to $700,000.

CONDOS: We’re seeing $50,000 over asking price on condos as well. The big challenge with supply is that people coming out of their house are looking to buy the big condo. The young family is also looking to buy the big condo. Desperate young families competing with empty-nesters with deep pockets makes for some aggressive offers on presentation day.

Two bedroom condos and even the one bedrooms are not insulated from the competition. It’s trickled all the way down and we’re seeing multiple offers after the first weekend and if over asking, a common figure is 10% over asking price.

The attached market is expected to continue to rise as we tighten the gap between house prices. It’s a pretty wide separation so it could go on through 2016…or stop next week.