Oct 2024 - Guelph Real Estate market update

Guelph Real Estate Market Update: Trends, Tips, and What’s Next for Buyers

Hey everyone! I hope you all had a great Halloween and that the kids are still enjoying their candy stash. October is behind us, which means it’s time to take a closer look at the latest trends in the Guelph real estate market and what you can expect over the next few months as we head toward spring.

I pulled these stats from the MLS back end, focusing specifically on Guelph to give a clear picture of what’s happening locally. The trends we’re seeing are very telling, and if historical patterns hold, they offer some valuable insights for both buyers and sellers.

October Snapshot: Sales and Pricing Trends

In October, we saw 139 property sales within Guelph. October typically brings a slight bump in sales compared to September, but things often start slowing down by November and dip further into December. This seasonal trend aligns with what we’ve observed in previous years, where sales volume hits a low in December. The pattern is already beginning to emerge with a small dip in the median sale price from September to October.

What to Expect Moving Forward

Based on past years, it’s likely that prices will stabilize or dip slightly from now until December. But here’s the critical part: January traditionally marks the beginning of an upward trend. Given that interest rates are beginning to ease, we could see an even stronger climb this time, starting in early 2025. February through June is typically the peak season in Guelph, with prices and activity levels both increasing steadily during this period.

If you’re considering buying, December may be the best opportunity to take advantage of lower prices and quieter market conditions before the inevitable uptick. Locking in a deal during this time could allow you to capitalize on price growth expected in the spring.

Interest Rates and Mortgage Options

With interest rates expected to decline further, we might see two more rate cuts within the next several months. This is likely to bring more buyers back into the market, especially as we move into January. If you’re ready to take action, consider speaking with a mortgage agent about a variable rate that can be converted when rates reach their lowest. Or, if you prefer stability, there may still be competitive fixed rates available. Starting December 15th, buyers can also access a 30-year amortization, which could make those monthly payments a bit more manageable.

Preparing for a Strong Spring Market

The spring market in Guelph is typically strong, and with the current conditions, we’re likely in for a particularly busy season. Interest rate cuts, coupled with a buildup of potential buyers who’ve been waiting on the sidelines, are set to create increased competition, especially from investors looking to align with the University of Guelph’s rental market schedule.

Final Thoughts

If you’re on the fence about buying, now is the time to start preparing. Talk to your agent, or reach out to our team if you’re looking for guidance. Whether you’re in the Guelph area or beyond, we’re here to help you navigate your options and find the right opportunity.

Stay tuned, and I’ll keep you updated on market trends as we move through the final months of 2024. Looking forward to a strong start to 2025!

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Why Fall Might Be the Best Time to Buy a Home in Guelph: Don’t Wait for Spring!

Why Fall Might Be the Best Time to Buy a Home in Guelph: Don’t Wait for Spring!

As fall approaches here in Guelph, the real estate market historically starts to pick up steam. With school back in session, many families settle into their routines, and for those of you looking to buy, the fall market presents unique opportunities—especially if you've been following the recent chatter about further interest rate drops. If you've heard about another possible rate decrease this October, and another one potentially in February, you may be wondering if it’s worth waiting until spring to buy your next home. Here’s why that might not be the best strategy.

1. Interest Rates Are Moving the in right direction—and May Drop Further

Mortgage rates are an essential factor when buying a home. Recent announcements suggest we may see another drop in interest rates as early as October and again in February. Lower rates mean more affordability for buyers, allowing you to borrow more money without increasing your monthly payments. However, waiting for the spring market could work against you. With rates being lower in February, competition in Guelph’s spring market often leads to higher prices. By purchasing in the fall, you can lock in your rate while avoiding bidding wars that drive up costs.

2. Fall Market Offers Less Competition

Traditionally, the spring real estate market is the busiest time of year. Buyers flood the market after the winter lull, creating intense competition for available homes. This can lead to bidding wars, pushing prices up. The fall market, however, often has a few less buyers. Families with children have already moved before the school year starts, and some buyers take a wait-and-see approach until the spring where there is more inventory. This slightly quieter market can work to your advantage, allowing you more negotiating power and potentially lower purchase prices.

3. Home Prices May Rise by Spring

Historically, Guelph has experienced steady growth in property values. While the market can fluctuate, the trend tends to show that prices increase as we move into the spring season. With Guelph’s desirable location, strong community feel, and proximity to larger cities, demand for homes remains high. If you wait until spring, you could end up paying more for the same home simply because of increased competition and higher property values. The lower rates in October and February might not make up for the price jumps we often see during the busy spring market.

4. Increased Inventory in the Fall

Many sellers list their homes in the fall, knowing that buyers who missed the spring market are still looking to move before the year ends. This gives you a variety of options to choose from. With interest rates are becoming more favourable and the chance of another drop, this could be the perfect time to find a home that suits your needs without the rush that comes with the spring market.

5. New Routines Mean New Opportunities

With the school year starting, families are settling into routines, and many buyers who were actively searching in the summer may step back to focus on their daily schedules. This means you have a window of opportunity to make a more strategic purchase. Without the pressure of competing offers, you may have more time to explore your options and negotiate better terms.

6. The Impact of Future Rate Cuts

While waiting for another potential rate cut in February might sound tempting, the reality is that delaying could cost you. If home prices continue to rise, a lower interest rate won’t save you as much as purchasing at a slightly higher rate in a more affordable market. By buying this fall, you can secure a property at today’s prices while still benefiting from a lower rate in October.

Conclusion: Don’t Wait—This Fall Could Be the Perfect Time to Buy in Guelph!

If you're considering purchasing a home in Guelph, waiting for spring may not be in your best financial interest. With another potential interest rate drop on the horizon, coupled with the typically lower fall competition and the possibility of rising home prices in the spring, now could be your best chance to secure a great deal. Reach out to our team today to explore your options and see why this fall might be the perfect time to make your move.

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Slow Market in Late August: Tips for Sellers and Buyers

Slow Market in Late August: Tips for Sellers and Buyers

Hi Everyone

I'm Scott Poland with Chestnut Park West. I want to share some insights for both buyers and sellers as we approach the second half of August. Historically, the last two weeks of this month tend to be the slowest in the real estate market. Many people are taking their final vacations before the routine kicks in again in September when the kids go back to school.

For Sellers:

If you're selling your home, be prepared for a potentially slow period. Don't rush into making price reductions during this time. I recommend holding off until September to see how the market performs. We're advising our sellers to wait to list their homes until September if possible. If you must list now, try to stay patient, knowing that the next couple of weeks might be slow.

For Buyers:

On the flip side, if you're in the market to buy, this could be a great opportunity. With a large number of homes available and fewer buyers actively looking, you might find some great deals. Sellers currently on the market may not be getting many showings, which could work to your advantage. Whether you're buying or selling, there are benefits to each side during this period. If you have any questions about your specific situation, feel free to reach out to our team anytime.

We’re here to help!

Best regards

Scott

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July Market review and where we are going

Hey everyone, it's Scott Poland from Chestnut Park West. In today’s video, I want to cover a few topics. First, let’s discuss the recent 25-basis-point decrease in interest rates. While this adjustment might seem minor, it is a step towards building buyer confidence. Over time, even small changes like this can encourage more buyers to look at and potentially purchase homes.

Looking at July's data, we are seeing the highest supply of homes in recent years, with a slight decrease in the number of sales and prices. The number of new listings is also gradually increasing, which means our inventory will continue to grow. The government likely wants to avoid a significant drop in home prices. If the economy is indeed heading toward a recession, as some suggest, we might see interest rates drop more quickly. The goal here would be to stimulate spending and boost the economy.

For homeowners concerned about decreased home values, remember that if you're buying and selling in the same market, the impact can be neutral. While you might not get as much for your current home, you will also spend less on your next one. If you have any questions about your specific situation, our team is here to help guide you through the process. We understand that navigating the current market can be confusing with all the news out there.

Locally, the market seems to be holding steady. Prices have fluctuated, as expected, and August is typically a slow month with prices often dropping in summer. However, we anticipate a stronger market in September, October, and November. If you’re looking to buy a home, summer might be a great time due to the wide selection and less competition.

If you're considering buying and selling, this month could be a good time to act. Just keep an eye on property conditions and other factors. If you have any questions or need more information, feel free to reach out. We’re here to help!

Best regards

Scott

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Discovering the Charm of Old University Guelph

Hello everyone, Scott Poland here from Chestnut Park West in Guelph!

When I think about what makes my neighbourhood so special, it’s the perfect blend of natural beauty, community spirit, and diverse living options that immediately comes to mind. Nestled in the heart of Guelph, our neighbourhood offers something for everyone, making it a truly unique place to call home.

A Haven for Outdoor Enthusiasts

One of the highlights of our neighbourhood is the extensive network of trails that weave through lush greenery and serene landscapes. Whether you’re an avid runner, a leisurely walker, or someone who simply enjoys the tranquility of nature, these trails provide the perfect escape. They are well-maintained and offer a variety of routes, from easy strolls and also connect to more challenging hikes/rides at Guelph Lake, ensuring that everyone can find their ideal path.

Excellent Schools

For families, the quality of local schools is often a top priority, and our neighbourhood does not disappoint. We are fortunate to be served by some of the best schools in the area, known for their dedicated teachers, robust curriculums, and a wide array of extracurricular activities. These institutions not only provide a strong academic foundation but also foster a sense of community among students and parents alike.

Beautiful Parks and Green Spaces

In addition to the trails, our neighbourhood boasts several parks that are perfect for picnics, playdates, and outdoor activities. These parks are beautifully landscaped and offer a range of amenities, including playgrounds, sports fields, and picnic areas. They are popular gathering spots for residents and host numerous community events throughout the year, from summer concerts to holiday celebrations.

Diverse Housing Options

Another aspect that makes our neighbourhood stand out is the mixture of home styles available. Whether you’re looking for a charming single-family home, a modern townhouse, or a rental, you can find it here. This variety not only adds to the aesthetic appeal of the area but also ensures that there are options to suit different lifestyles and budgets.

A Melting Pot of Residents

Our neighbourhood is a vibrant tapestry of people from all walks of life. We have a wonderful mix of retirees enjoying their golden years, young families starting their journey, professionals contributing their skills to the workforce, and students bringing energy and new ideas. This diversity creates a rich, dynamic community where everyone feels welcome and included.

Community Spirit

What truly sets our neighborhood apart is the sense of community. Neighbours look out for one another, and there’s a strong spirit of cooperation and mutual support. From block parties to volunteer groups, there are countless opportunities to get involved and make a difference. It’s this community spirit that makes our neighborhood not just a place to live, but a place to belong.

In conclusion, Old University is more than just a collection of homes and streets; it’s a thriving community filled with natural beauty, excellent amenities, and wonderful people. Whether you’re an outdoor enthusiast, a growing family, a professional, or someone looking to enjoy retirement, you’ll find that our neighbourhood offers a welcoming and fulfilling place to live. I feel incredibly lucky to call this place home, and I’m sure you would too.

Scott Poland

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