The real estate market in London continues to be stronger and stronger as the recent numbers indicate the continuous surge from last year to this year. Ontario remains an epicenter of the real estate market.
The total average price for all the various types of homes sold last year went up to $279,057 by 5.5 per cent over the year as announced by the London-St. Thomas Association of Realtors.
Reports from the London Free Press shows that; from 2015, the average price for detached homes in London went up by 5.4 per cent to $297,480.
In the meantime, the worth of condominium rose by 5.6 per cent to $200,335 in the same period. In the year, 2016, the volume of home sold in the city increased by a substantial 8.8 per cent up to 10,193. Scarce supply in London-St. Thomas listings assisted the market due to its 39.2 per cent drop over the year.
Few industry spectators were worried due to the relatively immense performance in Ontario. They showed anxiety about where the surge of demand and increase in home prices will lead to. Take, for example, a three-bedroom semi-detached home on Palmerston Ave. in Toronto which was listed on the housing market for $1.375 million.
In the year 2014, the house was bought for an amount of $851,750, which was less than its initial worth, showing a sharp incline of 62 per cent in 2 years alone.
John Pasalis, president of Realosophy highlighted the initial worth of the house would have bought a bigger and larger house in the period of summer of last year.
“If this is getting $1.4 million what does that mean for anyone who wants to buy in this neighbourhood. When you see appreciations of 30 per cent a year it generally doesn’t end well. That’s a concerning thing.”