It's hard out there for a first-time home buyer in Chatham-Kent.
And unless something changes in the market, that is expected to continue to be the case in the coming months.
President of the Chatham-Kent Association of Realtors (CKAR) Steve Carroll made that observation while reflecting on the association's latest local home sales numbers from August 2018.
Carroll said out-of-town buyers and a record low supply of homes on the market continues to drive up prices, making it more difficult for local buyers to find something they can afford.
"We're still seeing a number of folks that are coming from higher cost areas... that have sold homes there at prices that are higher than our levels here, so they feel very comfortable coming here and paying prices that are above or beyond the asking price," said Carroll. "Our supply doesn't increase, but our demand is increasing -- that's certainly one thing that is affecting pricing."
The latest sales figures from CKAR show that the year-to-date average price for the homes that have been sold in Chatham-Kent is $208,550 -- that's an increase of 12.9% compared to the first eight months of 2017. At the same time, the overall supply of homes that are on the market remains at record low levels with only 241 units up for sale at the end of August, down 20.7% from the end of the same month in 2017.
Higher prices don't necessarily make it a seller's market, though.
"Even if you're selling, you have to know what you're doing because... homes are selling quickly, so you have to have a plan for where you're going once you sell your home," says Carroll.
One possible solution, according to Carroll, could be for home builders to consider building smaller, "basic entry-level homes" including multi-units, semi-detached homes, or townhouses that would be more affordable for people who are looking to buy.