As we welcome in the New Year, a big Thank You to all of our valued clients who have trusted in us to help achieve their real estate goals in 2018. In a real estate market that continues to thrive and provide endless opportunities for success, we look forward to sharing our expertise and helping you make the right moves in 2019.
The Christensen Real Estate Group.
WHAT IS HAPPENING WITH THE REAL ESTATE MARKET?
Out with the old and in with the new!
We are entering into a new phase in the Toronto Real Estate 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.
Much has been said of the old adage “Location, Location, Location. But the fact of the matter is that it is true.
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. Contact us for a personalized, neighbourhood specific opinion.
The Most Recent Data
The December sales data from the Toronto Real Estate Board (TREB) reports that annual 2018 sales were down year over year by 16%. At first glance, this might appear as though the market is “correcting”. If you look further though, the amount of available listings is also down by 10%.
Generally, when you see sales go down, you see active inventory go up. This has not been the case, and simple economics suggest that with decreasing inventory and stable demand, prices should increase – albeit not as dramatically as in previous years.
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
- 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 email@example.com or calling us at 416-441-2888 ext. 772.