Real estate board reports second quarter increases

North Bay Real Estate Board
News Release

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Small increases in average selling prices and rebounding residential sales volumes marked the release of second quarter 2008 Multiple Listing ServiceR (MLSR) sales data by the North Bay Real Estate Board (NBREB).

The average sale price climbed to $177,414 at the end of June 2008, an increase of four and a half percent from end of June 2007.

While second quarter residential sales were up two percent from the same time period in 2007 (542 in 2008, compared to 531 between March 31 2007 and June 30, 2007), total residential unit sales for the first half of the year were down seven percent from the first half of 2007 (872 unit sales in 2008, compared to 938 in 2007, for the period of January 1 to June 30).

NBREB Board President Steve Kotan says the active market continues, even though the year got off to a bit of a slower start. "That could have been the result of a long drawn out winter, or the fear that the US mortgage problems might affect Canada," he says.

"Second quarter numbers are up over last year and well priced listings that require little to no work are selling very quickly."

"The average amount of time on market for the second quarter of 2008 compared to the same time period in 2007, is down by over seven days," Kotan notes.

At the end of June 2008 there were 1,037 residential listings, virtually the same as at the end of the second quarter of 2007, and comparing the first six months of both years.

Kotan says listings that sit on the market tend to be those that are priced over what the market will bear or that require more work that what the buying consumer wishes to do these days. "The Buyer is willing to pay a 'top dollar' for a top quality product," he says.

"The increase in the average sale price is an indication of this."

Total sales dollar volume in North Bay and area so far in 2008 is $160,829,459. The most active price range for sales is $150,000 to $200,000 with 164 sales.

"In this price range we currently only have approximately 90 listings. That's why it's much more important for those first time buyers to be pre-qualified with a lender and to align themselves with a REALTORR whom they feel comfortable with so they're ready when the time comes."

Kotan says the North Bay economy continues to look solid, with mining sector and manufacturing jobs available and skilled workers in these areas in high demand. "Our hospital and health center project has brought a skilled labour force to the city."

"Our education facility is gearing up for another expansion. Building permit approvals at the city are at record numbers. In my mind, these factors allow consumer confidence in the local economy to be very high," he says.

Kotan says now is a great time to use a REALTORR. "We are licensed, insured and regulated. We are the consumer's best protection when entering into any real estate transaction. I encourage everyone to check out www.howrealtorshelp.ca on the Internet."

The 165 members and 16 member offices of the North Bay Real Estate Board (NBREB) recently raised over $10,000 at their annual Charity Golf Tournament for the community, and presented a cheque for $1,956 to the REALTORR Care Riders to pass on to the REALTORSR CARE FOUNDATION.
NBREB cautions that average price information can be useful in establishing trends over time, but does not indicate the actual prices in centers comprised of widely divergent neighborhoods or account for price differential between geographic areas.

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