High interest rates continue to impact home sales in Simcoe County & Muskoka

Higher interest rates meant to cool down inflation have had a major impact on housing sales throughout much of Simcoe County and Muskoka, according to new data.

The Lakelands Association of Realtors says sales of non-waterfront homes was down nearly 39 per cent in December 2022 compared to the previous year. In total just 190 units were sold during this time period.

Meanwhile sales of waterfront properties was down by 51 per cent compared to the same period in 2021, with 25 units sold in December.

"Going into the end of 2022 there were signs of an emerging rebound in sales activity – not one that would put us back on a path to reach the heights of the past two years but one that could get us back to a more normal market, historically speaking," Matthew Lidbetter, the president of the Lakelands Association of Realtors said in a news release.

According to Lidbetter, sales of non-waterfront homes was at its lowest level annually since 2012, with waterfront activity not seeing levels this low since 2008.

In terms of prices for the average single-family homes, that was recorded at $697,000, which was down just over 5 per cent year over year compared to December 2021.

The Lakelands Association of Realtors represents more than 1,600 realtors from areas including Collingwood, Midland and as far north as Huntsville and the Lake of Bays.

The full report can be found here.