The Simcoe County Market Update September 2024 shows a moderate increase in activity compared to the previous year. Sales were up by 11.9% year-over-year, with 564 properties sold, while the average sale price rose by 4.36%, reaching $858,422. New listings also saw an increase of 7.92%, and active listings surged by nearly 30%, indicating a growing inventory and a potential shift toward a more balanced market. However, month-over-month, the market remained relatively stable, with only minor increases in both sales and prices.
Several communities displayed distinct trends. Clearview was a notable outlier, with a substantial 34% jump in average price year-over-year, though sales were down 17.65%, suggesting a market slowdown despite rising home values. Similarly, Oro-Medonte saw a 22.52% price increase, making it one of the most expensive areas, but sales remained flat. In contrast, Bradford West Gwillimbury experienced a significant drop in sales (down 21.43%) while prices stayed relatively stable. These trends highlight diverging market conditions across Simcoe County, with some areas facing affordability challenges and others seeing rising prices despite slower sales.
We are seeing the Canadian government continuing to introduce new mortgage insurance rules aiming to tackle the affordability challenges. The latest rule, effective January 15, 2025, aims to encourage homeowners to add up to three additional accessory dwelling units (ADUs). This change, part of the federal effort to boost densification following recent municipal zoning reforms, allows homeowners to refinance their mortgages to build additional self-contained units, provided they meet certain criteria. The property must be owner-occupied, the additional units cannot be used for short-term rentals, and the total property value after improvements must be below $2 million. Borrowers can access up to 90% of the property’s value, with a maximum loan amortization of 30 years. This initiative aims to create more rental housing and provide financial benefits for homeowners, including seniors. Find all the details here.
