Also weekly numbers courtesy of the VREB.
|Wk 1||Wk 2||Wk 3||Wk 4|
|Sales to New Listings||51%||61%||69%||
|Months of Inventory||
Well the 2000 listing level was short lived. A good sales week drove it back down a smidge and we are now 15% below last year’s sales rate with 15% fewer properties on the market.
Despite some early signs of softening like more price changes, it seems the number of over-ask sales aren’t slowing down. Looking at a few days of sales in the past years, the percentage of over-asks (defined as more than 1% over asking price) is higher than ever. You can see a big difference between a hot market like now and last year, to a balanced market (2015) and a slow market (2013).
In other news, the two part series on shadow lending is an interesting read. A bit light on comparative data to previous years (there is always some fraud, but is it systemic?) but I believe that the shadow lenders are the biggest risk to the market, and one that is very poorly understood. The big lenders are well capitalized and regulated, but if more and more of the market goes to alternate sources, that won’t make a lick of difference.