Muskoka Real Estate Market Update – July 2022

As we enter the second half of the 2022 Muskoka Real Estate Market, we remain in a balanced market. This means the number of homes on the market equals the demand or number of buyers. The seller’s market is over and has been since March of 2022. Pricing your Muskoka home or cottage is critical for a successful sale. You can no longer put just about any number on a property and expect it to sell.

The number of days on the market is slowly rising, with Muskoka homes and cottages taking just under 30 days to sell. The sale to listing price ratio has decreased to approximately 95% for cottages and 96% for homes in Muskoka.

Overall, this balanced market is better for the buyers, but the sellers have maintained a healthy value for their home or cottage in Muskoka, well above pre-pandemic values and more in line with last year’s prices.

Muskoka Residential Real Estate Market

MUSKOKA RESIDENTIAL MARKET – Average and Median Sale Price

Unit sales for July reached 53, that’s 16% less compared to June at 63 sales. Comparing July YOY, the unit sales have fallen by almost 37%.

The average sale price for a home in Muskoka is now $765,438, 8.4% higher than the previous month and 12% lower than the high in February 2022 at $872,380.

The median sale price for a home in Muskoka is now $720,000, 13.4% higher than June and only 9% lower than the peak in February 2022 of $774,000.

We remain in a balanced market with a ratio of 53 sales to 118 new listings = 45%. 35%-55% represents a balanced market.

MUSKOKA RESIDENTIAL MARKET – DOM and Sale to List Price Ratio

The average number of days to sell a home in Muskoka for July was 27, an increase of 9 days from the previous month.

The percentage difference between selling and listing prices is now at 96.4%. The lowest percentage since the beginning of 2020. The days of competing offers are far more seldom, and buyers now can mostly have conditions such as inspections and finance.

Muskoka Cottage Real Estate Market

MUSKOKA WATERFRONT MARKET – Average and Median Sale Price

Unit sales for July totaled 56, that’s an increase of 14% over the previous month, with a total of 49 cottage sales in June 2022. Comparing July YOY, at 56 sales compared to July 2021 at 81 sales, that’s a decrease of almost 31%. Comparing YTD statistics, January – July 2021 had 472 unit sales compared to January – July 2022 at 261 unit sales, representing a decrease of 44% of cottages sold in 2022.

The average sale price for a cottage in Muskoka is heavily swayed by some recent sales in 2022 on the big three in the Muskoka Lakes area; Lake Muskoka, Lake Rosseau, and Lake Joseph. A more than the usual amount of high-valued cottages selling in April of 2022. Sales ranging from $6,500,000 to $15,750,000 skews are average price for 2022. The median price is a better indicator of market trends. The month of July had a median selling price of $1,115,000 compared to June at $1,150,000 representing a decrease of 3% MOM.

With lowering prices and less inventory coming to market for July, the cottage market has become more balanced at 56 units sold compared to 97 new listings, representing a ratio of 58%.

MUSKOKA WATERFRONT MARKET – DOM and Sale to List Price Ratio

The average number of days to sell a cottage in Muskoka for July was 29, an increase of 13 days from the previous month.

The percentage difference between selling and listing prices is now at 95.3%. The lowest percentage since the beginning of 2020. The days of competing offers are far more seldom, and buyers now can mostly have conditions such as inspections and finance. However, there are lakes that if the property checks the boxes for exposure, size of frontage, and slope of the land you will get multiple offers if priced well. There’s still a high demand for such properties and buyers are now being a bit more selective.

We’ll do our best to keep you informed, but don’t hesitate to reach out with any questions.
John Aben 705-788-4770, or john@abenteam.com
Mark Aben 705-788-4388, or mark@abenteam.com