The St. John’s real estate market forecast will be mainly flat for 2018. The St. John’s housing market stabilized in 2017 after several years of declining sales prices and activity due to the prolonged downturn in the oil sector. There are approximately 12 months of inventory on the market, while days on market currently sits at 77, both of which are expected to remain at similar levels in 2018. The average price of a home in the St. John’s real estate market area for 2017 was about the same for 2016 – $277,000. This average price is expected for 2018 as well. The condo market saw an increase in price of 8%. It jumped from approximately $203,000 to $218,000 in 2017. The typical condo buyer demographic was retirees. Is there a bottom in with condo’s in the St. John’s area?
With plenty of affordable options available throughout St. John’s, the market is expected to continue to favour buyers, while the slight increase in optimism about the economy overall is expected to encourage buyers to re-enter the luxury segment of the market in 2018.
While the St. John’s real estate market forecast for 2018 will be stable, the new OSFI mortgage qualification regulations taking effect January 1, 2018, are expected to reduce buyers’ purchasing power and are expected to have the largest impact on first-time buyers in St. John’s.
According to the 2018 RE/MAX Housing Market Outlook Report, the trend across Canada this past year saw the single-family detached home and condo markets diverge on distinctly different paths in Canada’s two highest-priced real estate markets, Greater Vancouver and the Greater Toronto Area (GTA). The trend is expected to continue into 2018 as a mix of relative affordability for condo units and price appreciation for detached homes in recent years, combined with government policy changes in both markets, has helped push an influx of buyers toward condo ownership.
For more information on the St. John’s real estate market forecast or to discuss average prices of homes in St. John’s contact me. I’m always available to discuss your real estate questions.
Click here for a full copy of the RE/MAX Housing Market Outlook Report for 2018.