The Toronto housing market is still experiencing GLOBAL WARMING!
Sales are up 12% from the same time period last year. Despite the fact that, on an annual basis, new listings have increased by 15% over 2014, the added supply is just not enough to satisfy the appetites of hungry buyers out there.
The average sale price for homes in the GTA also rose by about 10% to $621.6K (but don’t expect to find an “average house for that amount, unless you’re going the condo route!)
Condo sales, by the way, are up 12% in the city of Toronto, where most of condo sales take place and the average sale price is up by more than 7%.
We will be breaking the all time record for sales and prices (established in 2007) this year…but we are hoping for some “relief” in the new year which can only come from more supply and less demand. I know “hope is not a strategy”; however, we certainly don’t want the market cooling due to sharp increases in lending rates or through some other draconian means.
The new mortgage rules with higher minimum down payments between $500K and $1ML will help keep those “on the thin edge of the qualifying edge” from getting into too much debt. The banks being required to have more cash in reserve to offset their loans will help. And higher lending fees add some “coolant”. Other than that, it really has to be a supply/demand resolution that cools the market.
2016 would be a good time for you (and yours) to have your homes appraised by “Your Toronto HOME Advantage” so that you at least KNOW how well you’re doing. It’s the LEAST I can do for you, and as always, my pleasure!