Make no mistake, a buyer’s market doesn’t mean low house prices, just like a seller’s market doesn’t mean the housing market is expensive.
According to Zoocasa, the best way to figure our the top markets for buyers and sellers in Ontario is to look at sales-to-new-listings ratio. Sales-to-new-listings ratio (SNLR) is the ratio of homes sold to the new homes listed. A high ratio indicates a seller’s market while a low ratio is better for buyers.
CREA,the Canadian Real Estate Association, considers ratios between 40 and 60 per cent to be balanced. Which means, at 56 per cent, Ontario has a balanced market.
But in the province, the ratio varies widely by region.
Orangeville and Thunder Bay have steep seller’s markets with ratios of 102 and 90 per cent respectively.
In Toronto, the ratio sits at a comfortable 57 per cent when not too long ago the city was deeply entrenched in a buyer’s market.
Top Market For Buyers In Ontario
When it comes to Buyers’ markets, there aren’t many in Ontario. According to Zoocasa, Richmond Hill, Vaughn and the Barrie Region are still buyers markets at 35, 38 and 39 per cent respectively.
Surprisingly, buyers seem to struggle the most in cities that are priced the lowest. In Thunder Bay, which has one of the highest ratios, the price of a home is approximately $225,945. In a city like Vaughn, the average price of a home is more than $1 million.
Top Market For Sellers In Ontario
Aside from Orangeville and Thunder Bay, the third best market for sellers is North Bay with an SNLR of 88 per cent. London and Kitchener are also notable seller’s markets due to their lower price points.