Harsh winter cools Sudbury's real estate market
In some aspects it's cheaper to own a home than rent, Real Estate Board says
The housing market is Sudbury has changed over the years, but recently winter is partially to blame.
The winter of 2018-19 was harsh, extremely cold and had a record amount of snow. Fewer people put their houses on the market during the season, which created an imbalance of buyers and sellers.
"Ironically, living in the north, normally the winters don't make a difference with our market," Dan Gray, President of the Sudbury Real Estate Board said. "But with the winter we just had a lot of people were holding off on putting their housing on the market."
Although there were fewer sellers, the number of buyers increased.
"We're low on inventory with the amount of homes on the market," Gray said, adding that listed houses are currently getting multiple offers.
"As soon as something comes out, there's a lot of buyers waiting for new homes on the market," Gray said.
The housing market can be affected by several factors, but Gray said he's never seen the winter have as much influence.
"When there's negativity happening in the city it will definitely make a difference on the real estate market, whereas now, we're seeing a lot of positive things happen in our city and that's definitely building up the confidence," he said.
Housing prices also increased over the last year, going up by 6.9 per cent. The average house price in Sudbury is now $270,000.
"We've got the lower-priced homes too, I mean you can definitely buy a house between $100,000 and $200,000, you don't have to buy the average of the $270,000," he said. "If you buy a house somewhere in that $100,000 to $200,000 range, in most aspects it's going to be cheaper than paying rent."
He added that lower interest rates, as well as increasing rents, may prompt more first-time buyers to get into the market