page contents
Sunday , 26 March 2017

Category Archives: Market News

Feed Subscription<

News with a focus on real estate, finance and the marketplace

Condo sales soar to record highs as low-rise inventories drop to “almost inconceivable” lows: BILD

There is no mistaking the rising urgency in tone in the voice of the Building Industry and Land Development Association (BILD). The new-housing supply crisis in the GTA is not only “unprecedented,” it is now “almost inconceivable.” BILD president Bryan Tuckey said in his latest statement on new home sales in Toronto that the number of new homes for sale reached unprecedented levels of scarcity in February, with just 1,001 new low-rise homes in builder inventories at the end of the month. That includes single detached, semi-detached, and townhomes. A decade ago there were 17,304. According to Tuckey, the industry is building more mid- and high-rise housing, in accordance with ... Read More »

Exceptional year ahead for high-end Toronto condos; speculators and investors more active than previously thought

Spring is here and it is going to be a good one for the high-end condominium market in Toronto, if Sotheby’s International Realty Canada is right. Already this year sales of condos worth more than $1 million are up—“soaring” to use their word—exceeding 2016 levels for the same period by 104 per cent. To date, four condos have sold for more than $4 million in Toronto, one-third more than in the first two months of 2016. Sotheby’s Spring Forecast says that the “exceptional” performance in the top-tier condo market is being driven by a combination of factors, including shifts in demographics, strong consumer and investor confidence, and comparative affordability compared ... Read More »

More families likely to choose condo living if available: report

Whatever their personal preference might be, in the end people have to live where they can afford to live. Asked where they would choose to live if money were no object—in this instance that meant having a budget of $750,000—about half of respondents to a Fortress Real Developments poll picked a single-family home in the outer/inner suburbs; another 10 per cent chose a bungalow “in the country”; and 27 per cent opted for a spacious condo of 1,000–1,500 square feet, either downtown or outside the core. Where people currently live is also an important factor in where they would consider moving to if they needed to move. Nearly two-thirds of ... Read More »

More purpose-built rental units needed to avoid affordability crisis in Toronto: economist

Toronto’s housing market is not a normally functioning market. Legislation-driven land constraints suggest that we are in a classic case of market failure. The invisible hand, that enigmatic force mentioned by enlightenment economist Adam Smith, whereby self-interest is somehow transformed into public good, will not work in Toronto. These are the arresting opening thoughts in a new analysis by the always interesting Benjamin Tal at CIBC. Never mind wasting time speculating about how “bubbly” the Toronto housing market is. Instead, find the optimal policy mix to prevent a “full-blown affordability crisis.” And these must be GTA-specific policies, not blunt instrument national ones. Could one of these policies be a foreign ... Read More »

Supply or demand problem? Foreign buyers tax or not? No unanimity in Toronto’s housing price debate

After years of rapidly rising Toronto home prices and endless debates among real estate and building industry stakeholders about the causes thereof, the mayor has asked for a report on the subject and plans to call together a panel of experts for advice about what to do. One possible action could be to impose a foreign buyers tax in Toronto, as was done in Vancouver last summer. The purpose of such a tax would be to dampen demand for housing, and thus ease upward pressure on prices. To impose such a tax, he would need the approval of the province. The mayor’s comment that there has not been “any kind ... Read More »

Scroll To Top