The Blog
COVID-19 & Toronto Real Estate Market
Keep in mind the situation regarding COVID-19 is changing on a day-to-day basis. This article is a breakdown of the current COVID-19 situation (as of March 25th, 2020) and how it relates to the Toronto real estate market from the perspective of a local Toronto Realtor.
We're entering the ordinarily busy spring market for Toronto real estate, but as it stands now, everything is at a standstill. Sellers are reluctant to let any potential buyers into their homes and buyers are self-isolating, not leaving the house. Across the GTA, the number of listings is down, and the amount of demand is down - way down. I have personally experienced plenty of listings in Toronto cancelled due to the COVID-19 pandemic.
Bank of Canada cuts interest rates - what you need to know
The Bank of Canada cut the interest rate last week in an apparent bid to deal with the economic shock created by the threat of coronavirus.
The Bank reduced the national interest rate by 0.50% to 1.25% on the 4th March, following the cut by the US Federal Reserve the day before.
The threat of coronavirus has caused business activity to fall sharply in some regions and the currency to depreciate, while the Bank warned that business and consumer confidence could fall further.
Toronto Real Estate 2020 Price Growth
Now we’re into the new year it seems a good time to reflect on where house prices are likely to end up in 2020. Over the course of 2019 Toronto house prices increased by 4% (Toronto Real Estate Board), but I would expect an increase in the region of 6-7% and even 8% this year.
Why? Well if the start of the year is anything to go by, there’s a lack of properties being listed and significant demand for the ones that are available.
I’m hearing tales of properties with 30-40 offers and as much as 77 offers! – and that kind of competition is going to push prices up. Sometimes sellers price properties on the cheap to attract multiple offers, but it’s now happening on properties that seem fairly priced too.
Why You Should Consider an Apartment
Can I Afford a Condo in Toronto?
Who’s Responsible for Repairs in a Condo?
Real Estate Sales to Now Indicate School Catchment Area
Real Estate Sold Prices Made Public
Why You Might Want to Buy a House Right Now
For many people, summer is the time to hit pause, sit back, relax, take some extra time with family, and spend a few days with the kids while they are on school holidays. And while it sounds like a great thing to do, it isn’t the best plan for people looking to sell their home: in July and August, home sales slow down dramatically, coming off a busy spring, and now highly sought-after houses sit on the market, because would-be owners are on vacation.
But what is bad news for sellers is great news for buyers. If you are thinking about buying a home, August is the time to do it.