No one can stop talking about the roaring Canadian real estate market, which has been on fire for a little more than a year. Month after month, various real estate metrics continue break records in local housing markets across the nation. Most notably, smaller suburban areas are witnessing skyrocketing prices and drastic double-digit increases in sales volume. Cambridge real estate in particular has become a home-buying hotspot among many who are looking to leave urban centres in favour of a rural landscape, larger homes and relatively lower prices.
Located in southwestern Ontario, and a part of the tri-city area (along with Waterloo and Kitchener), Cambridge is known as the mid-sized city with the quaint small-town feel. Along with a rich history in music and performing arts, Cambridge is a great place to raise a family or retire. Charming, quiet and situated along the shores of the Grand River, Cambridge offers endless outdoor activities as well as access to the amenities you need.
How exactly has the Cambridge real estate market fared over this past year of unprecedented activity? Check out how the figures in this local housing market are making history:
Cambridge Real Estate a Hot Commodity
Homes in Cambridge have been swept off the market at an outstanding pace over the last few months. In April 2021, the MLS System of Cambridge REALTORS® reported 386 homes sold – more than double the levels from 12 months earlier – outpacing April 2020 by 181.8%. This jaw-dropping figure sets a new sales record for the month of April.
This stellar market performance in the month of April was the cherry on top of an already great start to the year. “The spring market is off to a roaring start in our region,” said John Teixeira, President of the Cambridge Association of REALTORS®. “MLS® home sales set a new April record by a wide margin and posted the second-highest single month total ever, surpassed only by the all-time record set just the month before.”
The number of homes being sold is no reflection of the current market prices. One would normally think that high sales volume means economical pricing, however, Cambridge average home prices have increased 37.7% compared to just one year ago in April 2020. The MLS Home Price Index composite benchmark price at the end of the month was an astonishing $739,900 – well above the average home price in Canada. This elevated average market price loaned itself to a new record for dollar value of home sales in April, as this past month the total value hit $296.9 million; more than double the value posted in April 2020.
With such high demand across Cambridge, the real estate market needs to be replenished in order to remain sustainable. This past month, nothing less than that was true. In fact, when compared to April 2020, this past month saw more than double the number of new listings, jumping up 134.6% year-over-year – a record for the greatest number of new listings in the month of April in history. John Texeira credits this number of new listings for easing the scorching market in Cambridge. “New listings outnumbered sales for the fourth month in a row, helping to lift overall inventory from its recent bottom. Although active listings haven’t been this low in the month of April in more than three decades, the number of available properties at the end of April 2021 was still more than double the levels seen only a few months ago. The increased number of available listings has helped ease market conditions and has, in turn, slightly eased upward price pressure.”
What Can Be Anticipated for the History-Making Cambridge Housing Market?
As the spring season draws to an end and summer kicks into full gear, it is anticipated that the Cambridge housing market will remain red-hot. With the warmer months on the horizon, residents will again be reminded of the benefits more green space, further fuelling the trend of big-city dwellers buying within the rural community of Cambridge.
CREA forecasts that as 2021 continues, real estate activity will remain strong and prices across the nation will continue to rise. This will also trickle down to some smaller markets like Cambridge, Ontario. It’s likely that 2021 will see more record-breaking activity with regards to pricing, dollar sales, and unit sales. This increasing demand within Canadian housing markets will continue to be driven by low interest rates, remote work environments, and a sustained emphasis on the need for more space, even after the pandemic is behind us.
