As market competition slowly returns to Halifax, properties that are fairly priced are moving quickly. Here’s a detailed analysis of the Halifax neighbourhoods offering buyers the best value.
Best places to buy real estate in Halifax
In the recent article below from Moneysense (April 21 2023) and with data from Zoocasa, you’ll find the top Halifax neighbourhoods for real estate purchases. You can also read the detailed methodology behind the Zoocasa rankings for Halifax Nova Scotia.
What’s happened in the Halifax real estate market?
The average home price in Halifax reached a peak of $603,386 in April 2022. By the end of the year, the average price had fallen to $474,389, marking a decline of more than 21% over eight months. High prices in early 2022 can be attributed to real estate market competition, with the area following trends of record-high prices and historically low inventory as seen across Canada.
“In the first half of 2022, Halifax experienced the hottest market it’s had, but it was a tough market to navigate due to low inventory levels,” explains local eXp Realty Agent, Richard Payne (that’s me!) (Zoocasa, the author of this study, is wholly owned by eXp World Holdings.) “Most properties were receiving multiple offers, and many sold well over asking. By the second half of the year, interest rate hikes took effect and the Halifax market slowed.”
Squeezed by high interest rates, many prospective buyers found themselves working with budgets in the range of $400,000 to $500,000. A few months prior, when interest rates were lower, they would have been able to afford a $600,000 home in Halifax.
“Prices did come down but haven’t dropped to pre-pandemic figures,” Payne says, “and I don’t expect that will happen.”
What’s next for real estate in Halifax?
The average home price in Halifax jumped slightly at the start of 2023, reaching $536,744 in January (up around 13% from December 2022). Market competition is growing, but it’s not quite at the levels seen at the start of 2022. Supply is still quite low, so when an affordable, fairly priced property comes onto the Halifax market, buyers are quick to snap it up.
“The number of days a property spends on the Halifax market have increased since the middle of last year; however, inventory is still quite tight,” says Payne. “Until there is more supply to choose from, existing home owners won’t sell their properties. When a great house is listed at fair market value, it is moving quickly in today’s market. We’re beginning to see some multiple offers again, but nowhere near early 2022 levels.”
The cost of borrowing has impacted affordability and reduced the motivation of many buyers, which explains why a lot of homes are spending longer on the market. “Today, buyers are still weary,” Payne says. “Interest rates have constrained affordability, and many feel nervous about having to determine if a Halifax home is really worth what the monthly payments will work out to.”
Below, you can find the full article including the list of the top three neighbourhoods that made the list.
And of course, if you have any questions about the market, please don’t hesitate to reach out and connect. I’m always happy to help guide you in any way. Don’t forget to check out my you tube channel where I keep you up to date with the Halifax Real Estate market and provide a detailed analysis each month.