As we enter June, let's take a quick peek back at some interesting statistics that have been developing over the past few months. As of the end of May, the number of active listings have increased by 4000, up to over 17,000, when compared to March of this year. We have also seen the average price fall almost 4% to $666,500 after the March high of $693,500. This drop is a little bit deceiving though, as new home and condo prices have actually increased over the past few months while re-sale homes have taken the brunt of the decrease. Overall sales activity in the market continues to be strong with May showing almost 3000 sales, just off the 3146 in March.
What does it all mean? A rising level of inventory with continuing demand from buyers is leading into what promises to be a much more balanced market over the summer months. For the time being, it appears as though mortgage rates will not be climbing as quickly as some feared, which should come as a relief for those buyers looking to purchase over the next few months. I would also expect to see a slow down in the new home market, along with some decreases prices in that category, as HST hits in July.