Posted 12.13.13 @ 9:25
We’ve seen some amazing gains across the GTA in the last 2 years with housing prices – but more importantly, we haven’t seen any depreciation. This winter (like every winter season!) is expected to cool a hot market. Prices will continue to rise, but they won’t keep rapid, rabid pace like they had been this summer. Prices are expected to continue their upward swing in Spring and Summer 2014… but what does this mean for you?
Home Sales Were Up Almost 20% This Year
Home sales soared almost up 20% in September across Canada – not just the GTA. Amazingly enough, while home prices aren’t expected to fall any time soon, sales are beginning to slow down. The surge of Baby Boomers selling their homes to move South for the Winter is starting to recede, but international interest in Canada remains strong.
According to CREB (Canadian Real Estate Board) this big jump in sales came from the major metro areas of Toronto, Vancouver, Calgary and Edmonton. Sales levels are expected to return to where they were last year – before prices began to plummet.
What’s interesting is that yearly increases in home prices are about to return to normal, there may be fewer homes on the market. If you’re thinking about selling your home, you might be able to snag a heck of a sale!
Average Home Price in Canada is $385k
But the average home price in the GTA sits around $535k, and that’s just your AVERAGE home. There are many that go for anywhere up to $20m, amazing when you think about it. With home prices jumping up and up over the last 2 years, it may be a small relief that prices might slow in their meteoric climb, at least for a little while.
Amazingly, if you removed the top 3 selling cities (Toronto, Calgary and Vancouver) the home prices would have only gone up about 4% year over year – not the frantic 8.8% that we saw across Canada. But the good news is that the worries of a hard landing for the Canadian real estate market are far behind us.
Condo Market is Still at Risk
Especially in the GTA where up to 43,000 units are expected to be completed and come on the market – depending on timelines next year. If you’re planning on selling a condo, you may be out of luck… but if you’re buying a condo, you may actually be able to get a fantastic deal.
It all comes down to supply and demand. Many of the homes that were on the market have sold, and with the winter season upon us new inventory may not pop up until spring.
But most of this doesn’t apply to the luxury market, since it’s mainly insulated from the typical ebb and flow of the market.
Thinking about buying a beautiful Oakville luxury home along the waterfront? Want a little ranch of your own? We can help! Give us a call today and see what we can do for you.