Fredericton housing market continues to rebound as prices go up by 16.8%

Fredericton housing market continues to rebound as prices go up by 16.8%

Greater Fredericton Area home sales are rebounding from the COVID-19 pandemic and prices are on the rise, but completed transactions are still short of where they were last year, the area’s real estate board has reported recently.

The average price of homes sold in July 2020 was a record $218,767, rising 16.8% from July 2019.

The month of July 2020 also marked the second best July on record with 291 units sold which is 1% higher (three sales) than July 2019.

On a year-to-date basis, the average price of homes sold from January to July was $209,691 up 9% compared with the same period in 2019.

However, home sales for the first seven months totalled 1,471 units – down 6.8% from 2019.

There were 375 new residential listings in July 2020. This was little changed, down only 0.5% (two listings) on a year-over-year basis but remained well above the lows from April 2020 and marked a return to pre-COVID levels.

Inventories remain thin and is at its lowest level in over 20 years. Active residential listings numbered 733 units at the end of July. This was a large decline of 36.3% from the end of July 2019. Overall supply has generally trended lower since mid-2015

Homes have been selling faster too, with months of inventory numbered 2.5 at the end of July 2020, down from the 4 months recorded at the end of July 2019 and below the long-run average of 7.5 months for the end of the year. The number of months of inventory is the number of months it would take to sell current inventories at the current rate of sales activity.

The dollar value of all home sales in July 2020 was $63.7 million, rising 18% from the same month in 2019.

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