Title: A Closer Look at TRREB’s September Housing Stats: A Reason for Optimism
The Toronto Regional Real Estate Board (TRREB) has just released its housing statistics for September, and while it’s clear that the third quarter of this year has seen a quieter sales volume from a macro-economic perspective, there are several reasons to remain optimistic. In this real estate blog, we’ll delve into the key takeaways and promising trends that underlie the current market conditions.
Despite a dip in sales, the real estate market remains active. In our office, we’re scheduling 100 showings every day, a testament to the enduring interest in real estate. Buyers are actively exploring the market, carefully seeking the right opportunities. Single-family detached and ground-level properties are particularly sought after, and well-priced homes in desirable neighborhoods are selling promptly.
After a brief decrease, prices rebounded in September, with a 3.0% year-over-year increase. Notably, a recent headline in the Toronto Star featured a member of the Harvey Kalles sales team selling a home in the Yonge and Eglinton area for a million dollars over the asking price, showcasing the strong demand in the market.
While the condo market has experienced somewhat softer sales activity, this is likely due to increased investor caution as interest rates rise. Well-priced condominium units, however, continue to attract eager buyers. A prime example is CentreCourt Developments’ Pickering City Centre, a 55-acre master-planned community near Pickering Town Centre, where competitively priced units have seen orders soar. The first building achieved an impressive 95% sales rate in just about a week, with the second building following suit. Buyers remain discerning, but there’s still a strong appetite for condos, especially when prices align with expectations.
One notable statistic is the increase in housing supply, reaching 4.07 months of inventory. This level of supply hasn’t been seen in decades, harkening back to September 1998 when it was at 4.42 months. This surge in inventory presents an encouraging opportunity for prospective buyers. The limited selection in recent years has been a challenge for buyers, but today, the market offers more choices than we’ve seen in recent memory. Stable prices, along with increased inventory, provide an ideal scenario for buyers to conduct thorough research and make well-informed decisions. With reduced competition from competing offers, the home-buying process is becoming more enjoyable, predictable, and less stressful.
Bank of Canada’s Decision
Later this month, the Bank of Canada is set to make its latest announcement, and many anticipate that interest rate hikes may be behind us. The hope is that they will allow their efforts to reduce inflation to work through the system without adding additional pressure on homeowners.
For any inquiries or if you’d like to discuss these market trends further, don’t hesitate to reach out. Your real estate goals are important to us, and we’re here to provide guidance and support in this evolving market.