July 2022 Greater Moncton Real Estate Recap

July seems to be showing us more of the same.

The number of homes sold, both detached and semi-detached, were down significantly when comparing to June (check out the 2 previous slides). But that's not unusual really. 

Last month I mentioned that June can be slow due to the end of the school year, graduations, proms, etc... People have other things on their minds so buying or selling a home gets put on the back burner. 

When July comes around (and August), it's full on summer vacation mode. People are traveling, enjoying their cottages, their boats, etc...So the same thing happens. Buying and selling a home is not a priority. Unless it's a necessary move.

The same can be said about new listings. Even though it's been encouraging to see an increase in listings in the last few months, July marks the first month this year they were down when comparing to the previous month. They were down by over 30% in fact!Interesting to note however; average prices have remained relatively flat (down very slightly). So even though the supply and demand seems to be leveling, we're not seeing a big effect on pricing as of yet.When it comes to interest rates and how they're affecting the market, I personally have not had any clients change their plans due to rate changes. It's been business as usual.

WHAT DOES THIS MEAN FOR BUYERS?

If you're a buyer, you are in a much better position these days. If you have to compete, it will likely now be with 1-2 other offers, not 20!Conditions are back as well, which is great news. You can actually write an offer with condition of a home inspection! I'm seeing sellers be more negotiable as well. Not only with price, but also with conditions, and closing dates.

WHAT DOES THIS MEAN FOR SELLERS?

If you're a seller, you'll likely need to be a little flexible and give careful consideration to any offer you recieve.And here's a pro-tip: If you receive an offer, even if you consider it a lowball, I highly encourage you NOT to outright reject it! When I see this happen, I can't understand why. It can be difficult not to reply with your emotions and be insulted, but hear me out:Everyone wants to feel like they got a good deal when they buy something. If you think about it from the potential buyer's perspective, they don't know your situation or motivation for selling. A lowball offer might be someone who doesn't see the value in your home, they could be shopping beyond their budget, but most likely, they're trying to gauge where you stand. It's a test.Instead of rejecting it, if you want your asking price or close to it, counteroffer at that price. You would be surprised how many times I've been able to come to an agreement when we started with such a big gap. By counter offering, you are letting them know where you stand.The very worst thing that happens, is they do not accept and you move on. But at least you tried. If you reject all together, the deal is dead on the spot.