The number of homes sold through the MLS® System of the Prince Edward Island Real Estate Association totaled 163 units in July 2022. Interestingly this is the lowest number for July sales in 10 years (though just barely). A slowdown in sales of 22% from last July and 34% from 2020 as increasing interest rates start to take a bite out of the market across Canada including the Island. On a year-to-date basis, home sales totaled 1,238 units over the first seven months of the year declining of 12.3% from the same period in 2021.
The number of new listings saw an increase of 6% from July 2021. There were 373 new residential listings in July 2022. This was the largest number of new listings added in the month of July in more than five years. This was down a bit from June though, but still a further sign of a general slowdown of the market. More listings and fewer sales = more inventory!
Active residential listings numbered 911 units on the market at the end of July, a significant increase of 30.5% from the end of July 2021. The amount of listings coming onto the market is finally starting to keep up with the demand. This has changed very quickly in the last 2 months or so, however active listings were 2.6% below the five-year average and 39.4% below the 10-year average for the month of July.
Months of inventory numbered 5.6 at the end of July 2022, up from the 3.3 months recorded at the end of July 2021 and below the long-run average of 7.9 months for this time of year. The number of months of inventory is the number of months it would take to sell current inventories at the current rate of sales activity.
Average Price 🏡
Finally the average price of a home on Prince Edward Island at the end of July on PEI was $396,987, up 5.8% from last year but down from last months 400K+ number.
See you next month!