Six London Ontario Neighbourhoods That Are Above Average in Real Estate Numbers That Matter

These six neighbourhoods beat the average neighbourhood in London Ontario in the following:

• Days to Sell 

• Average Sales Price

• Months of Inventory

• Sales To New Lising Ratio

The number of days to sell a home and the average sales price tell a story, and the two below really identify the market.

The Sales-to-New-Listings Ratio (SNLR) is a real estate metric that measures the balance between housing demand and supply by dividing the number of homes sold by the number of new listings over a specific period. Expressed as a percentage, it shows if the market favours sellers (high ratio) or buyers (low ratio). 

• Seller's Market (> 60%): High demand, low supply, leading to faster sales and higher prices.

• Balanced Market (40%–60%): Supply and demand are relatively equal.

• Buyer's Market (< 40%): High supply, low demand, giving buyers more negotiating power. 

• The SNLR is a "real-time" indicator of whether a market is heating up or cooling down, offering a more immediate snapshot than lagging indicators like final sale prices. It helps determine if buyers are facing intense competition (high SNLR) or if sellers are struggling to find buyers (low SNLR)

Months of Inventory in real estate measures the time it would take to sell all currently listed homes if no new homes were added and sales continued at the current pace. It indicates the balance between supply and demand, typically calculated as: Active Listings / Average Monthly Sales.

• Low Inventory (<4 months): Seller’s Market. Fast-paced, high demand, and rising prices.

• Balanced Market (4-6 months): A healthy market with stable prices and a good balance between buyers and sellers.

• High Inventory (>6 months): Buyer’s Market. More choices for buyers, homes sit on the market longer, and reduced pricing power for sellers.

• What it Measures: It tracks the speed at which the market absorbs new listings. 

Example:
 If there are 500 active listings in a neighbourhood and 100 homes sell per month, the market has 5 months of inventory (500 / 100 = 5). 

Here are the six London neighbourhoods:

• Byron

• Kilworth/ Komoka

• Oakridge

• Riverbend

• Westmount

• Wortley Village-Old South London

If you are wondering what your neighbourhood numbers are, feel free to contact me.