After experiencing a period of high prices and quick sales surpassing listing prices, the real estate market in New Brunswick seems to be moving towards a more balanced state. Recent data from the Canadian Real Estate Association indicates a 2.1% decrease in the number of homes sold last month compared to September 2024.
Kim Hunter, a realtor in the Saint John area with EXIT Realty Specialists, noted that market conditions are gradually shifting towards equilibrium, although they still slightly favor sellers. Home sales for September were 11.5% below the five-year average and 8.4% below the 10-year average, indicating a trend towards balance between supply and demand.
According to Hunter, homes are now taking around seven to 10 days to sell, a significant change from the previous trend of rapid sales within a few days. While prices are still rising, the rate of increase has slowed down compared to previous years.
In terms of pricing, the benchmark price for a single-family home has risen just over five percent from a year ago, with the average home price in New Brunswick currently standing at $341,101. Prices vary across different areas, with Fredericton averaging $331,061, Moncton at $375,504, Saint John at $386,276, and the north and valley regions at $242,428.
Despite the overall market trend, certain regions like the north and valley areas have helped offset the decline in house sales, with a 6.5% increase. Greater Moncton remained stable, while Saint John experienced a 4.6% decline and Fredericton saw the largest year-over-year drop at 10%.
In terms of selling dynamics, the percentage of homes sold above asking price was 104% in Saint John, 99% in Fredericton, 96% in Moncton, and 93% in the north and valley region. Hunter emphasized the importance of considering local market conditions when making real estate decisions rather than relying solely on broader trends.
For prospective buyers, Hunter advised thorough research and securing a pre-approved mortgage before beginning the house-hunting process. With favorable mortgage rates due to Bank of Canada interest rate cuts, buyers are in a better position to make informed decisions. Hunter also highlighted the importance of working with knowledgeable real estate agents and managing expectations when looking for a first home.
While national home prices have remained steady this year after an initial decline in the first quarter, New Brunswick continues to attract buyers due to comparatively lower housing inventory prices. The average home price in the province is significantly lower than the national average, making it an appealing destination for potential homeowners seeking affordable housing options.