The London area saw another hot year in the real estate market in 2021.
According to the London St. Thomas Association of Realtors (LSTAR), December 2021 wrapped up the year as the second-best December on record since 1978, with 530 homes exchanging hands. A total of 10,964 homes sold in the region in 2021, up just over one per cent from 2020, where 9,297 homes were traded.
"2021 proved to be a very strong year for us, with the overall number of home sales approaching the 11,000 mark," said LSTAR President Jack Lane. "The COVID-19 pandemic, which forced numerous people to work from home for most of this year, continued to fuel our local housing market, bringing the inventory levels to historic lows and pushing the home prices up."
The average price of a home sold in the area reached $707,219 in December 2021, nearly 30 per cent more compared to December 2020's average of $555,324.
While single-family homes remain a buyer's top choice when looking to purchase, condo and apartment sales gained popularity last year too. Townhouse and Apartment prices increased by upwards of 50 per cent in 2021 as buyers fought to get their feet in the door of a competitive market.
"Both these house types saw a big jump in their benchmark and average prices this year. In December, the average price for a condo in LSTAR's jurisdiction was $594,271, while the overall average price for an apartment sat at $397,065." Lane said.
At the end of December, just 174 properties remained on the market in the area. As 2022 begins and the Omicron variant spreads, buyers and sellers face COVID-related restrictions again. Until January 26, open houses are not permitted as specified under the "modified" Step 2 of the province's Roadmap to Reopen plan.
December 2021 benchmark prices for all housing types in LSTAR's jurisdiction and how they stack up against the values from a year ago. (Table via LSTAR.ca.)