Real Estate Market Analysis for January 2025

by CENTURY 21 United Realty Inc. Brokerage

As we step into 2025, it’s time to take a closer look at how the Peterborough real estate market performed in January compared to the same time last year. The numbers reveal some interesting trends that both buyers and sellers should be aware of.

Home Sales Hold Steady, but Prices See a Decline

In January 2025, the average number of sales in Peterborough remained unchanged from last year, with 61 homes sold. However, the average sale price dropped to $564,618, representing a 2.4% decrease from January 2024’s average price of $578,312. This suggests that while demand has not significantly declined, home values have seen some downward pressure. The dip in prices could be attributed to factors such as increased inventory, shifts in buyer demand, and broader economic conditions impacting affordability.

More Listings, More Choices for Buyers

One of the biggest changes in the market is the number of active listings. In January 2025, there were 153 active listings, a significant increase from the 90 active listings in January 2024. This represents a 70% increase in inventory, giving buyers more options and reducing competition. More available homes mean that buyers can take their time making purchasing decisions, potentially leading to longer negotiation periods and more favourable terms for them. Sellers, on the other hand, may need to adjust expectations and consider pricing their homes more competitively to attract serious buyers.

Homes Taking Longer to Sell

Another key indicator of market conditions is the average number of days a home stays on the market. In January 2025, homes in Peterborough took an average of 46 days to sell. This increase suggests a shift toward a more balanced market, where buyers have the upper hand in negotiations. Sellers should focus on ensuring their homes are in top condition, well-presented, and marketed effectively to stand out from the competition.

What Does This Mean for Buyers and Sellers?

For buyers: The increased inventory and slight price dip present a great opportunity to enter the market with more negotiating power. More choices mean buyers can be selective and take the time to find the right home without the pressure of bidding wars that were common in previous years.
For sellers: With homes staying on the market longer, pricing competitively and ensuring strong marketing strategies are crucial to securing a sale. Staging, professional photography, and strategic pricing will be key factors in attracting buyers in a more competitive landscape.

Looking Ahead

While the start of 2025 shows a softening in home prices and longer selling times, the stability in the number of sales suggests that buyer interest remains steady. As we move through the year, factors such as interest rate changes, economic conditions, and seasonal market fluctuations will continue to shape real estate activity in Peterborough.

If you’re considering buying or selling a home in Peterborough, now is the time to stay informed and work with a knowledgeable real estate professional who can guide you through the changing market. Staying up to date with market trends and adjusting your approach accordingly will be key to making the most of current conditions. Looking for a reliable and knowledgeable REALTOR®? We always have an agent on duty to help. Call our office at 705-743-4444 and we will be happy to direct you to a REALTOR® to answer your questions.

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