London area sees record-setting home sales in July

File photo courtesy of © Can Stock Photo Inc. / Feverpitched

The number of homes changing hands in London and the surrounding area has set a new record for the month of July.

The London St. Thomas Association of Realtors (LSTAR) said a total of 1,275 homes were sold throughout last month, dwarfing the previous number of sales in July 2019, which totalled 950.

“This was not only the best July for LSTAR, but also for London, which saw 856 residential real estate transactions, a number that is way above the values typically recorded during this summer month,” said 2020 LSTAR President Blair Campbell.

The overall average home price was $484,884 in July, which is also an increase of 19.6 per cent over a year ago. This increase includes all housing types.

Campbell attributes the record-setting numbers to the ongoing COVID-19 pandemic.

“They can be explained if one takes into account the strength of local real estate market at the beginning of this year and the pent-up demand created during the lockdown months,” he said.

The region continues to be a seller’s market with inventory decreasing to its lowest value in the last decade, despite 1,408 new listings in July.

All five major areas across LSTAR’s region saw increases in the average home sales price, which can be seen in the chart below.