It’s been a BUSY start of the week: I thought I’d finally get a moment to breathe and leisurely sip my coffee now that my son is back in school. But as soon as I pour me a cup, buyers and sellers are reaching out:
Expats mostly from the USA want to come back to Canada, the mortgage rates dropped…again (like 1.75% on a 5-yr fixed) and the number of homes mushroomed up for sale and rent increased dramatically within the past couple days (see the numbers below).
Here is a cheat sheet providing highlights of you need to know about the current fall market:
- The GTA benchmark house price has continued to rise, however condo prices are beginning to drop and the market is running into strong headwinds.
- Homebuyers were sidelined March through May, but in June through August they jumped back into the market with both feet. House purchases in July and August where the highest ever for those months! The market hasn’t yet settled into a ‘new normal’.
- The pandemic has had a severe impact on employment, but the full impact of job losses will not be felt until October when CERB and the mortgage payment deferral programs have expired.
We are watching several KEY RISKS:
- There are is a record number of condo apartments for sale and supply is trending higher at an alarming rate. A flood of supply could cause an acceleration of price declines.
- Ongoing COVID-19 containment efforts in Ontario. In early September, new cases were low but rising.
- How well the U.S. manages the pandemic – roughly 25% of the Canadian economy relies on US exports south of the border. As well, most tourists to Canada are American. The U.S. has topped 190,000 COVID-19 related fatalities.
- The impact of expiring eviction freezes, CERB program, and the mortgage payment deferral program. These have delayed the true impact of the pandemic on housing, but they can not be extended indefinitely.
- Short-term rentals in Toronto (now vacant due to Coronavirus) may be converted to long-term apartment rentals or sold, and this could add unexpected supply to the market.
For more insight into these highlights, read the full article HERE.
Toronto Stats this Past week
MLS activity from September 9 to 15 for residential properties:
For Sale right now:
Under Power of Sale (GTA):
Compare the above to the week before from September 2 to 8 when there were 7,806 for sale, 1,365 newly listed, 313 Sold & 17 under power of sale.
Just listed in Toronto within the last 24hrs
(Email or call me directly for off-market properties)
If you would like me to look up any other numbers for you, just call me 647-804-8601. Let me know how I can help with your (RE)search.