Mississauga home sales drop 41% in May as prices still go up

Well, it looks like the real estate market in Mississauga has really cooled down.

The number of homes sold through the MLS System of the Mississauga Real Estate Board totaled 630 units in May 2022. This was a sharp decrease of 41.2% from May 2021.

Home sales were 21.9% below the five-year average and 37.2% below the 10-year average for the month of May.
On a year-to-date basis, home sales totaled 3,779 units over the first five months of the year. This was down by 29.8% from the same period in 2021.

“Sales activity was down compared to last May, coming in below typical levels for this time of year. This is a trend we’re seeing play out across the major markets in the province right now as higher interest rates begin to have an impact on demand in housing markets,” said Nelson Goulart, President of the Mississauga Real Estate Board.

“On the supply side we’re seeing a healthy number of new listings come onto the market, which has boosted overall inventory levels and brought the market back to balanced territory. If this continues into the second half of the year, we may begin to see potential buyers come off the sidelines and re-enter the market as the availability of listings increases.”

The MLS Home Price Index (HPI) tracks price trends far more accurately than is possible using average or median price measures. The overall MLS HPI composite benchmark price was $1,265,100 in May 2022, increasing by 16.5% compared to May 2021.

The benchmark price for single-family homes was $1,593,400, a gain of 15.7% on a year-over-year basis in May. By comparison, the benchmark price for townhouse/row units was $912,900, up by 17.4% compared to a year earlier, while the benchmark apartment price was $762,500, a substantial increase of 32.3% from year-ago levels.

The average price of homes sold in May 2022 was $1,148,784, an increase of 7.9% from May 2021.

The more comprehensive year-to-date average price was $1,180,256, a gain of 15.7% from the first five months of 2021.

The dollar value of all home sales in May 2022 was $723.7 million, a reduction of 36.5% from the same month in 2021.

The number of new listings saw a gain of 4.7% from May 2021. There were 1,766 new residential listings in May 2022.

New listings were 13.1% above the five-year average and 5.5% below the 10-year average for the month of May.
Active residential listings numbered 1,444 units on the market at the end of May, up sharply by 38.7% from the end of May 2021.

Active listings were 7.3% above the five-year average and 13.7% below the 10-year average for the month of May.

Months of inventory numbered 2.3 at the end of May 2022, up from the 1 month recorded at the end of May 2021 and above the long-run average of 1.7 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.