Toronto Real Estate Board members reported 77,426 homea sold in 2018 compared to 92,263 reported in 2017 - a 16.1% decline. Total new listings in the market were down by 12.7% over the same period.
Home prices were up slightly in the City of Toronto and down in the surrounding GTA regions. The condo market accounted for a large portion of sales in the City of Toronto – condos performed better from a pricing perspective than detached homes which pulled the overall average numbers down. The average price for a condo was up by 7.8% year-over-year.
Price growth was strongest for less-expensive home types, as many home buyers searched for more affordable home ownership options. Higher borrowing costs and the new mortgage stress test had some buyers pause home shopping. However, it’s important to note that market conditions were improved in the second half of the year, both from a sales and pricing standpoint.
Is there a real estate bubble? Will prices continue to adjust? Is it too late to buy? Is now a good time to sell? These are questions I am continually asked, and while everyone has an opinion, no one, truly knows. Economic forecasts and weather forecasts are similar.
Here is what I say to my clients….if you're selling a house, the timing has to suit your plans and I can assure you that there are buyers out there looking for a place to call home.
If you are buying a home …. The following tips are ways in which will help …. Get pre-approved for a mortgage and understand your budget so that you can shop with confidence.
Waiting for prices to come down is a huge risk in Toronto. Prices may be down in other areas but not here in the City of Toronto. Prices continue to rise in this segment of the market because people want to live and work in Toronto.
A quick look back in time ….
In 1975 the average price was $57,581
In 1995 the average price was $203,028
In 2015 the average price was $ 622,217
In 2018 the average price was $ $787,300
Who knows what is to come down the road, what I do know Toronto will continue to grow and people have to live somewhere.
As always, if you have any questions please feel free to give me a call anytime!
Happy New Year ~ 2019 !
Your Friend in Real Estate,
Suzana ( Sue ) Davies
Sales Representative ®
Bosley Real Estate Ltd., Brokerage*
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