Thank You to all of our valued clients who trust in us to help achieve their real estate goals. We look forward to being of continued service to you in 2019.
The Christensen Real Estate Group.
WHAT IS HAPPENING WITH THE REAL ESTATE MARKET?
As I mentioned in the January Update, we are entering a new phase in the Toronto Real Estate Market. The market is transitioning from the overheated market of the past several years to more of a balanced market. The real estate market in Toronto is cyclical. It goes up. It goes down. And every expert has an opinion on what the market will do next.
The way I see it, part of what sets us apart is our 30 plus years of experience and our ability to interpret the available sales data, so we can advise our clients appropriately. We have represented clients when the market was hot and when it wasn’t. When interest rates were 22 percent and where they are today. In short, we have seen it all and because of that experience, we are able to represent you in the best possible way.
The Most Recent Data
The Toronto Real Estate Board (TREB) has released the housing figures for January, and with 4,009 sales across the region, volume was up 0.6% from the same time last year. The average sales price of all transactions rose to $748,328, representing a year-over-year gain of 1.7%. Given the extreme weather conditions experienced across the region, these trends are encouraging, and they align with TREB’s 2019 forecast for an increase in sales volume.
The market is still finding its feet for 2019 and although Mother Nature has not been cooperating to make the viewing of property a little easier, we are still seeing a strong demand from qualified buyers in both the freehold and condominium markets.
The market is definitely more balanced than what we saw over the past few years and in my opinion, this is a good thing, but depending on location, it is still a market in favour of sellers.
Remember, Real Estate is a location-specific product and when you examine sales data, you must compare apples to apples and look into your specific locations. Generalized statistics can be misleading, so be sure to contact us for a personalized, neighbourhood specific opinion.
Given the affordability issue in for detached homes in Toronto, the condominium sector is extremely strong and continues to be a driving force in the overall market.
Predictions for 2019
My predictions from my last post remain the same. It will be fun to look back at the end of the year and see how it went.
- Moving into 2019 we are looking into a more balanced market with moderate price growth in most good neighbourhoods due to lack of supply.
- It will still be a Seller’s market but I predict good opportunities to buy as well.
- Listings and lack of supply are still an issue, therefore, I predict that the spring market of 2019 will continue to be a seller’s market.
- Still a seller’s market but a more balanced market than we saw last year.
- A continuing transition from a super overheated market, back to a normal market in 2019.
- I predict a slower, moderate growth for 2019 with price increases in the freehold market of around 3-5%, with higher price increases in the condominium sector.
For over 35 years, our clients have trusted us to minimize risk, offer unbiased opinions, and ensure their best interests are served. Contact us today to talk about your needs, by emailing us at firstname.lastname@example.org or calling us at 416-441-2888 ext. 772.