Despite a dwindling number of available homes, the London region's housing market continued to rebound in May.
Figures from the London and St. Thomas Association of Realtors (LSTAR) show 846 homes changed hands last month, up from 723 in April and 685 in March.
"Throughout the last three months of 2023, an upward trajectory in the quantity of residential property sales and corresponding price hikes has persistently caught our attention," said LSTAR president Adam Miller. "These trends demonstrate the enduring presence of a fervent demand for properties in our area, despite the obvious lack of housing supply."
There were only 1,397 new listings across the region in May, which is 23.9 per cent lower than the same month last year. Total inventory also fell from a 1.8 months supply in April to a mere 1.7 months in May.
According to LSTAR, the average home price last month was $682,560, up $18,000 from April but 10 per cent lower than May 2022.
"Despite fluctuations, homes in our area continue to offer relative affordability when compared to provincial and national values," Miller noted.
The most affordable homes were in East London where the average price was $527,848. The highest priced homes were located in Middlesex Centre where the average cost was $972,914.
Single family homes continued to be the favoured choice of buyers with 608 sold last month. That was followed by condo townhouses with 128 units sold and apartments with 68 sold.
"Notably, condo and apartment sales experienced substantial year-over-year increases in May, rising by 18.5 per cent and 13.3 per cent, respectively. Additionally, apartments saw the smallest decline in average price compared to the previous year," Miller said.