The Oakville Real Estate Market Report – October 2024

October 2024 was an interesting month for the Oakville real estate market. The surge in total sales, coupled with an increase in new listings, paints a picture of a market that is active but showing signs of stabilization after the explosive price growth of the last few years. Let’s dive into the key data points and explore what’s happening in each segment of the market.

Oakville's Overall Market Trends: A Surge in Sales and Climbing Prices

With the BOC interest rate cuts and optimism; Oakville’s overall real estate market saw a remarkable recovery in October. Sales were up a staggering 73% compared to October 2023, with a total of 242 homes changing hands. This uptick in activity is encouraging, but there’s more to the story.

While sales volumes surged, the average sale price also increased by 6.5% to $1.49 million. This suggests that buyers are active, they are likely looking for value. Higher-priced properties may be seeing less demand, and more affordable options are getting traction.

At the same time, the increase in new listings—566 in October 2024 compared to 497 last year—indicates that more homeowners are entering the market, likely capitalizing on the increased demand before prices flatten again. As more inventory hits the market, it provides buyers with more options, which is likely contributing to the longer time on the market.

Detached Homes: A Strong Segment, But Price Correction in Progress compared to September 

Detached homes, the backbone of Oakville’s real estate market, continued to perform well in October 2024. The 125 detached homes that sold represent a significant 70% increase in sales compared to October 2023, showing that demand for larger family homes remains strong.

The average sale price for a detached home was $1.96 million, a slight drop from $2.2 million in September 2024. However, compared to last year’s October average of $1.78 million, it’s clear that detached homes are still commanding a premium. The 10% year-over-year price increase suggests a strong market, detached homes remain one of the most coveted property types in Oakville.

Sellers of detached homes are still seeing healthy demand, though it’s worth noting that the number of days on the market has increased slightly to 29 days compared to 30 days last year. The inventory for detached homes was at 496, which is much higher than the 418 active listings in October 2023, indicating that while more homes are selling, new listings are outpacing the demand. As we head into the final months of the year, it will be interesting to see if the price stabilization continues or if prices continue to retreat.

Oakville Townhomes: Strong Demand and Increased Sales

Freehold townhomes were one of the standout performers this month, with a 126% increase in sales from last year—52 units sold in October 2024 compared to just 23 in October 2023. This is a clear indication that more buyers are seeking affordable options within Oakville, and townhomes have become an attractive solution.

However, despite the increased sales, the average price for freehold townhomes decreased slightly to $1.21 million from $1.25 million in October 2023. This suggests that although demand is high, buyers are still conscious of price fluctuations and may be opting for smaller or less expensive townhomes as a more viable option.

At the end of October, there were 156 active listings of freehold townhomes, providing a moderate level of inventory for prospective buyers. If the demand continues at this pace, it’s likely we’ll see more listings and potentially price stabilization in this segment.

Oakville's Condos: Stability Amid Increased Inventory

The condo market, while more stable, is also showing signs of increased activity. There were 124 new condo listings in October, down slightly from 154 last month in September. While sales increased modestly to 35, up from 30 in October 2023. The average sale price for condos was $805,000, a slight dip from last year’s $811,000, reflecting the ongoing price stabilization across the market.

The month-end inventory of active condo listings was 252, significantly higher than last year’s 181, indicating that more condos are coming to market. Buyers in the condo market now have more options to choose from, and this increased inventory may put downward pressure on prices if demand doesn’t pick up further. However, the fact that condo sales are up suggests that there is still solid demand, particularly for those seeking more affordable or low-maintenance living in Oakville.

What Buyers and Sellers Should Know

For Buyers:

• More Inventory and Less Competition: With overall listings increasing, buyers now have more homes to choose from. This means less urgency and more time to carefully consider a property before making an offer.
• Price Negotiation Is Possible: While prices are still relatively high, especially in the detached home market, the average sale price has come down from previous highs, giving buyers more room to negotiate.
• Condos and Townhomes as More Affordable Options: If you’re priced out of the detached market, consider freehold townhomes or condos as more affordable alternatives. Townhomes, in particular, have seen a surge in sales, indicating demand for more moderately priced homes in Oakville.
• Prepare for a Longer Timeline: Homes are now taking an average of 31 days to sell, up from 23 last year. Be prepared for longer waits, particularly if you’re purchasing in a competitive segment like detached homes or townhomes.

For Sellers:

• Price Carefully: While demand is strong in many sectors, pricing your home too high can lead to longer days on market. Sellers need to be realistic and understand that while prices may still be high compared to historical averages, they’ve come down from the peak.
• Leverage High Demand in Detached and Townhome Markets: Detached homes and freehold townhomes are still moving quickly in Oakville, but you need to ensure your home is well-presented and priced correctly to compete with the influx of new listings.
• Timing Your Listing: With 1,012 active listings at the end of October, the market is becoming more competitive. Listing now may be beneficial if you want to capitalize on demand before winter, but ensure your home is competitively priced to stand out in a crowded market.
• Highlight Your Home’s Unique Features: Whether you're selling a detached home, townhome, or condo, making sure your property stands out with high-quality photos, staging, and competitive pricing is essential to achieving a successful sale.

Final Thoughts

The Oakville real estate market in October 2024 shows that while the pace of sales has increased dramatically compared to last year, we are seeing signs of a price correction across different property types. Detached homes, though still highly desirable, have seen some price softening, while townhomes are benefiting from strong demand due to their more affordable price point. The condo market remains stable, but increased inventory may create more opportunities for buyers.

For buyers, this is a time to take advantage of more choices in the market and consider various property types. For sellers, understanding current market conditions, pricing your home appropriately, and being prepared for slightly longer selling times will help you achieve a successful transaction. Stay informed and make decisions that align with your goals, whether you're buying or selling in Oakville.

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