page contents
Wednesday , 26 October 2016

Category Archives: Market News

Feed Subscription<

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

Toronto condo sales, rental stats show tightening, under-supplied market


It is clear that the rental market in Toronto is frustratingly tight. Bidding wars among would-be tenants have become common, and rents for condos, which are becoming an increasingly essential part of the rental stock available, are skyrocketing. Depending on whose numbers one accepts, the average one-bedroom condo rent was $1,777 per month in the third quarter of 2016 (Toronto Real Estate Board), an increase of 7.2 per cent compared to a year ago, or $1,986 (Urbanation). There is little doubt about why rents are rising so fast. “There’s virtually no vacancy in the marketplace,” said Urbanation’s Sean Hildebrand. Lack of supply is fueling the surge in prices. As well, ... Read More »

New home sales, mostly condos, soared in September, and so did prices


A new record for new home sales in the GTA could be set this year. As of the end of September, total new home sales for 2016 stood at 34,736, beating the previous record (34,413 in 2007) and well above the ten-year average (27,871). Of those, 14,140 were low-rise homes, the third highest number in the last ten years. Compared to one year ago, total September sales were up 48 per cent. High-rise sales for the month were up 85 per cent over last year. Is this then a good news story for the Building Industry and Land Development Association (BILD)? Not entirely. In its monthly release on the state ... Read More »

Luxury home sales surging in Toronto, but are they foreign buyers?


Since early August, when Vancouver imposed a 15 per cent tax on foreign buyers of residential real estate, there has been a lot of speculation about where those foreign buyers would go, assuming they would flee the Vancouver market. Toronto, naturally, is one option, but there has been scant data so far to confirm any major shift eastwards. A TD economist said last week that “the million dollar question” was whether Toronto was becoming the new Vancouver, foreign investor-wise. That would mean that up to 20 per cent of home buyers would be foreigners. But Diana Petramala said foreign investment and speculation are likely playing a smaller part in Toronto ... Read More »

Mortgage brokers want exemptions, changes to new eligibility rules


Canada’s mortgage brokers are hopeful that the minister of finance, Bill Moreau, will take heed of their concerns and recommendations regarding the new mortgage eligibility rules that went into effect today. The Canadian Mortgage Brokers Association (CMBA) issued a statement earlier this month expressing its concern that the new rules would disqualify many preapproved mortgage borrowers who had not yet bought a home, and “disproportionately” impact first-time buyers by limiting their mortgage qualification. The brokers are also worried that the new rules will reduce lender competition and harm consumers. Now, as reported in Mortgage Broker News, CMBA has had a meeting with the minister, having sent him a letter containing ... Read More »

CREA warns of cascade effect as first-time buyers may be priced out of housing market


How short is the supply of resale housing in the GTA? At current rates of sales activity, all available housing inventory would be “liquidated” in less than a month. The Canadian Real Estate Association says that this “tight balance” between housing supply and demand in the Toronto area is “without precedent.” In the wider Greater Golden Horseshoe region (Hamilton-Burlington, Oakville-Milton, Guelph, Kitchener-Waterloo-Cambridge, Brantford, Niagara, Barrie and cottage country), inventory stands at between one and two months. In the rest of the country, the number of months of inventory is a more solid 4.7 months, a number that has remained unchanged since April. Prices, of course, tend to rise in such ... Read More »

Scroll To Top