Average selling price +10% in the GTA
Many, if not all of you have likely seen the headlines this week about the ongoing strong recovery of the Toronto real estate market. Sales have continued to post excellent gains from June right through to September when unit sales were up 28% in the GTA and +31% in the central 416 area. The changes by area are shown in the table below.
As in the previous few months, sales increases were strongest in the lower price ranges and in condominiums. We are also now seeing increasing, and steady strength in the market above one million dollars.
While sales are up, the available listings in September were -42% vs the levels of last September. This is definitely creating a seller’s market and resulting in a lot of ‘multiple offers’.
If you are looking to sell, this is an ideal time to take advantage of this very strong market.
Give me a call to talk about selling your home.
Sincerely,
Armand
Summary of September Sales and Average Prices by Area
September 2009 vs 2008
Sales
%chge
Average Price
% chge
City of Toronto ("416")
3,341
+31%
$437,182
+11%
Rest of GTA ("905")
4,855
+25%
$386,022
+10%
Total GTA
8,195
+28%
$406,871
+10%
Source: Toronto Real Estate Board
District
Area
Sales % chge Sept ’09 vs Sept ‘08
Avge Selling Price Sept 2009
Price %chgeSeptg’09 vs Sept ‘08
Total GTA
+28
$406,871
+10%
C01
Downtown
+38%
$406,163
+13%
C02
Annex/Bloor W, etc
+47%
$790,425
+29%
C03
Midtown
+3%
$577,839
-13%
C04
North Toronto
+8%
$767,426
+25%
C08
Cabbagetown/D’town
+56%
$374,572
+2%
C09
Rosedale
+91%
$1,048,314
+20%
C10
Davisville/ L. Park
+52%
$701,242
+13%
C11
Leaside/Old East York
+95%
$608,012
+/-0%
C12
Bayview/York Mills
+61%
$1,171,743
+1%
E01
Riverdale/Leslieville
+49%
$474,846
+8%
E02
The Beach/Leslieville
-7%
$573,495
+4%
E03
Danforth/East York
+4%
$401,036
+16%
Wednesday, October 21, 2009
Sunday, September 6, 2009
September 2009 Market Update
The Summer strength continues into August.
In August 2009, Greater Toronto REALTORS® reported 8,035 sales, up 27% per cent from August 2008. The average price for August transactions was $387,921 – up by six per cent compared to the same month last year.
"The increase in demand for existing homes has been widespread across different housing types and price ranges," said TREB President Tom Lebour. "This suggests many categories of home buyers have chosen to make a long-term investment in housing, from first-time buyers to move-up buyers or buyers who are seeking a lifestyle change."
"We have heard more positive economic news lately. The improved housing market has played a key role,” explained Jason Mercer, TREB's Senior Manager of Market Analysis. "Home sales have helped other sectors of the economy through home buyers’ spending on things like financial and legal services, moving, renovations and home furnishings."
Available listings are down significantly as a result of the solid sales activity in each of the last 3 months. There are a lot of buyers in the marketplace who are still looking for their next home and September will be an ideal time to list your home if you are looking to sell. Call me for a customized update for your neighborhood.
Summary of August Sales and Average Prices by Area
August 2009 vs 2008
Sales
%chge
Average Price
% chge
City of Toronto ("416")
3,109
+25%
$402,246
+6%
Rest of GTA ("905")
4,926
+27%
$378,880
+65
Total GTA
8,035
+27%
$387,921
+6%
Source: Toronto Real Estate Board
District
Area
Sales % chge Aug ’09 vs Aug ‘08
Avge Selling Price Aug 2009
Price %chge Aug’09 vs Aug ‘08
C01
Downtown
+25%
$375,410
+4%
C02
Annex/Bloor W, etc
+54%
$624,757
-4%
C03
Midtown
+3%
$670,014
-7%
C04
North Toronto
+17%
$580,496
+3%
C08
Cabbagetown/D’town
-6%
$367,388
+5%
C09
Rosedale
-7%
$823,200
+12%
C10
Davisville/ L. Park
+58%
$775,807
+32%
C11
Leaside/Old East York
+33%
$419,920
+11%
C12
Bayview/York Mills
+75%
$1,308,567
+13%
E01
Riverdale/Leslieville
+19%
$445,776
+/-0%
E02
The Beach/Leslieville
+2%
$478,396
-6%
E03
Danforth/East York
+55%
$358,919
+6%
In August 2009, Greater Toronto REALTORS® reported 8,035 sales, up 27% per cent from August 2008. The average price for August transactions was $387,921 – up by six per cent compared to the same month last year.
"The increase in demand for existing homes has been widespread across different housing types and price ranges," said TREB President Tom Lebour. "This suggests many categories of home buyers have chosen to make a long-term investment in housing, from first-time buyers to move-up buyers or buyers who are seeking a lifestyle change."
"We have heard more positive economic news lately. The improved housing market has played a key role,” explained Jason Mercer, TREB's Senior Manager of Market Analysis. "Home sales have helped other sectors of the economy through home buyers’ spending on things like financial and legal services, moving, renovations and home furnishings."
Available listings are down significantly as a result of the solid sales activity in each of the last 3 months. There are a lot of buyers in the marketplace who are still looking for their next home and September will be an ideal time to list your home if you are looking to sell. Call me for a customized update for your neighborhood.
Summary of August Sales and Average Prices by Area
August 2009 vs 2008
Sales
%chge
Average Price
% chge
City of Toronto ("416")
3,109
+25%
$402,246
+6%
Rest of GTA ("905")
4,926
+27%
$378,880
+65
Total GTA
8,035
+27%
$387,921
+6%
Source: Toronto Real Estate Board
District
Area
Sales % chge Aug ’09 vs Aug ‘08
Avge Selling Price Aug 2009
Price %chge Aug’09 vs Aug ‘08
C01
Downtown
+25%
$375,410
+4%
C02
Annex/Bloor W, etc
+54%
$624,757
-4%
C03
Midtown
+3%
$670,014
-7%
C04
North Toronto
+17%
$580,496
+3%
C08
Cabbagetown/D’town
-6%
$367,388
+5%
C09
Rosedale
-7%
$823,200
+12%
C10
Davisville/ L. Park
+58%
$775,807
+32%
C11
Leaside/Old East York
+33%
$419,920
+11%
C12
Bayview/York Mills
+75%
$1,308,567
+13%
E01
Riverdale/Leslieville
+19%
$445,776
+/-0%
E02
The Beach/Leslieville
+2%
$478,396
-6%
E03
Danforth/East York
+55%
$358,919
+6%
Sunday, August 9, 2009
August 2009 Market Update
July sales very strong in the GTA, following a record setting June.
TORONTO, August 1, 2009 - In the month of July, Greater Toronto REALTORS®
reported 9,967 sales up 28 per cent compared to July 2008.
The average price for these transactions was up six per cent year-over-year to $395,414.
The resurgence in home ownership demand experienced in the spring has continued into the
Summer as home buyers continued to take advantage affordable market conditions. The cost of borrowing has been a key factor, as well as a more positive attitude among buyers about the economy.
Summary of July Sales and Average Price
July 2009 vs 2008
Sales %chge Average Price % chge
City of Toronto ("416") 3,880 +24% $421,110 +7%
Rest of GTA ("905") 6,087 +31% $379,035 +6%
GTA 9,967 +28% $395,414 +6%
Source: Toronto Real Estate Board
June also a record high.
This follows June when sale were also +27% vs a year ago. Many of the buyers that we are seeing now are first time buyers or those who are trading up from a condo into the freehold housing market. As a result of this, we are seeing the most activity in the mid price range and are just starting to see some increases in activity at the higher price points above one million dollars.
Details by area for July are shown in the following table.
District
Area
Sales % chge July ’09 vs July ‘08
Avge Selling Price July 2009
Price %chge July ’09 vs July ‘08
Total GTA
+28
$395,414
+6%
C01
Downtown
+35%
$355,431
-4%
C02
Annex/Bloor W, etc
-5%
$596,979
-12%
C03
Midtown
+89%
$668,776
-12%
C04
North Toronto
+40%
$780,943
+13%
C08
Cabbagetown/D’town
+17%
$355,845
+1%
C09
Rosedale
+43%
$979,174
+31%
C10
Davisville/ L. Park
+48%
$733,849
+22%
C11
Leaside/Old East York
+7%
$491,110
+6%
C12
Bayview/York Mills
+59%
$1,418,007
-8%
E01
Riverdale/Leslieville
+/-0%
$463,248
+7%
E02
The Beach/Leslieville
+9%
$514,958
+8%
E03
Danforth/East York
-30%
$377,489
+4%
Overall, the results are very encouraging is, however, there is a shortage of listings and a lot of buyers are still waiting for that right house to come available.
If you would like an update on your specific neighborhood, just let me know and I will prepare a custom package for you.
Sincerely,
Armand
TORONTO, August 1, 2009 - In the month of July, Greater Toronto REALTORS®
reported 9,967 sales up 28 per cent compared to July 2008.
The average price for these transactions was up six per cent year-over-year to $395,414.
The resurgence in home ownership demand experienced in the spring has continued into the
Summer as home buyers continued to take advantage affordable market conditions. The cost of borrowing has been a key factor, as well as a more positive attitude among buyers about the economy.
Summary of July Sales and Average Price
July 2009 vs 2008
Sales %chge Average Price % chge
City of Toronto ("416") 3,880 +24% $421,110 +7%
Rest of GTA ("905") 6,087 +31% $379,035 +6%
GTA 9,967 +28% $395,414 +6%
Source: Toronto Real Estate Board
June also a record high.
This follows June when sale were also +27% vs a year ago. Many of the buyers that we are seeing now are first time buyers or those who are trading up from a condo into the freehold housing market. As a result of this, we are seeing the most activity in the mid price range and are just starting to see some increases in activity at the higher price points above one million dollars.
Details by area for July are shown in the following table.
District
Area
Sales % chge July ’09 vs July ‘08
Avge Selling Price July 2009
Price %chge July ’09 vs July ‘08
Total GTA
+28
$395,414
+6%
C01
Downtown
+35%
$355,431
-4%
C02
Annex/Bloor W, etc
-5%
$596,979
-12%
C03
Midtown
+89%
$668,776
-12%
C04
North Toronto
+40%
$780,943
+13%
C08
Cabbagetown/D’town
+17%
$355,845
+1%
C09
Rosedale
+43%
$979,174
+31%
C10
Davisville/ L. Park
+48%
$733,849
+22%
C11
Leaside/Old East York
+7%
$491,110
+6%
C12
Bayview/York Mills
+59%
$1,418,007
-8%
E01
Riverdale/Leslieville
+/-0%
$463,248
+7%
E02
The Beach/Leslieville
+9%
$514,958
+8%
E03
Danforth/East York
-30%
$377,489
+4%
Overall, the results are very encouraging is, however, there is a shortage of listings and a lot of buyers are still waiting for that right house to come available.
If you would like an update on your specific neighborhood, just let me know and I will prepare a custom package for you.
Sincerely,
Armand
Tuesday, March 24, 2009
Feb March 2009 Market Update
There is lots of uncertainty out there
The last few weeks have seen a lot of new buyers coming out to look at open houses, both first time buyers as well as people considering trading up or down from their present home. Many, if not most, are just starting their research into the market and are not ready to act just yet.
The main holdup I am hearing from people is a lack certainty about what is going to happen in the economy. When you are not comfortable about the future it’s very difficult to make such a major commitment such as buying a new home.
The encouraging thing about this activity is that it is showing that there is a lot of demand in the market that is waiting for the right signals to take action. This bodes very well for the state of the real estate market in Toronto as the spring market develops.
Once we start seeing a few positive signs we will definitely be seeing an increase in buyer activity.We are already seeing some signs of recovering at our sales office, as our weekly sales for the last half of February have been running ahead of last year and we have seen five sales in the last two weeks that attracted multiple offers.
The recovery in our area has been centered largely in the Leaside and Davisville neighborhoods as the following numbers show.Unit sales and average price change
– Feb 2009 vs Feb 2008
Leaside - Unit sales were identical to last year.
Average sale price -12%
Davisville – Unit sales +/-0%,
Average price -8%
In the Central District, we continued to see sales and prices well below last year’s levels, but versus last month, January 2009, we saw a strong surge of activity.
Sales in Central Toronto increased by 64% and the average price in February, while -5% vs last year, showed a +7% increase from January to an average of $473,971.
The reality, at this point, is that there are some very well priced houses available. If you are thinking about trading up, this could be an ideal time to take a look at what’s available.
Mortgage rates are fantastic and there are a number of homeowner incentives included in the latest Federal Budget that are discussed later in this newsletter.Every neighborhood and every price range is different.
Call me if you would like a custom report on your own neighborhood.
The last few weeks have seen a lot of new buyers coming out to look at open houses, both first time buyers as well as people considering trading up or down from their present home. Many, if not most, are just starting their research into the market and are not ready to act just yet.
The main holdup I am hearing from people is a lack certainty about what is going to happen in the economy. When you are not comfortable about the future it’s very difficult to make such a major commitment such as buying a new home.
The encouraging thing about this activity is that it is showing that there is a lot of demand in the market that is waiting for the right signals to take action. This bodes very well for the state of the real estate market in Toronto as the spring market develops.
Once we start seeing a few positive signs we will definitely be seeing an increase in buyer activity.We are already seeing some signs of recovering at our sales office, as our weekly sales for the last half of February have been running ahead of last year and we have seen five sales in the last two weeks that attracted multiple offers.
The recovery in our area has been centered largely in the Leaside and Davisville neighborhoods as the following numbers show.Unit sales and average price change
– Feb 2009 vs Feb 2008
Leaside - Unit sales were identical to last year.
Average sale price -12%
Davisville – Unit sales +/-0%,
Average price -8%
In the Central District, we continued to see sales and prices well below last year’s levels, but versus last month, January 2009, we saw a strong surge of activity.
Sales in Central Toronto increased by 64% and the average price in February, while -5% vs last year, showed a +7% increase from January to an average of $473,971.
The reality, at this point, is that there are some very well priced houses available. If you are thinking about trading up, this could be an ideal time to take a look at what’s available.
Mortgage rates are fantastic and there are a number of homeowner incentives included in the latest Federal Budget that are discussed later in this newsletter.Every neighborhood and every price range is different.
Call me if you would like a custom report on your own neighborhood.
Home ownership tax benefits
The Federal Government is now offering a lot of incentives to renovate, improve or even buy a house.
The Federal Budget 2009 introduced several incentives to get Canadians spending by buying a first time home, or renovating the one they are already in. But do the government measures go far enough and will they help to spur the real estate market?“At first blush, the incentives related to housing seem very positive,” says 2008 OREA President, Gerry Weir. “However, we shouldn’t expect to see these programs stimulate the economy immediately like people hope they will. We are probably looking at two to three years before we see the benefits.”
As for the 2009 budget in general, Weir says the billions of dollars the government plans to spend on municipal infrastructure will likely do volumes to create jobs and boost the economy.
“We are grateful that the government recognizes that the housing industry moves the economy, but we must have consumer confidence. Job creation and low interest rates will help people – especially first time buyers – feel secure about buying a home,” says Weir. “Then we will also see people spending more on renovations.”RRSP Home Buyers Plan changed
The changes to the RRSP Home Buyers Plan introduced in the new budget are not only good for potential home buyers, they are also seen as a victory for OREA and CREA. “It’s gratifying to see that our lobbying efforts at the national level for enhancements to this program have paid off,” says Weir.The 2009 budget increases the withdrawal limit for the RRSP Home Buyers Plan to $25,000 from $20,000 providing first-time home buyers with additional access to savings to purchase or build a home.
The eligibility and repayment rules remain pretty much the same. The money withdrawn from the RRSP must be repaid over a period of no more than 15 years to retain its tax deferred status. The repayment period starts the second year following the year the first withdrawals were made. If a participant pays less than the scheduled annual payments, the amount that they don’t repay must be reported as income on their tax return for that year.
For example, in October 2009 a first time buyer withdraws $24,000 from his or her RRSP to finance the purchase of a home. Their first annual repayment of $1,600 ($24,000 divided by 15 years) is due by December 31, 2011.
Buyers get a tax creditFor 2009 and subsequent years, the budget also introduced a new non-refundable tax credit to help first-time home buyers with some of their closing costs. This Home Buyer Tax Credit (HBTC) will provide up to $750 in tax relief on the purchase of a first home. The HBTC is calculated by multiplying the lowest personal income tax rate for the year (15% in 2009) by $5,000.
For 2009, the credit will be $750.To qualify for the HBTC, an individual must purchase a qualifying home and neither the homebuyer or the homebuyer’s spouse or common-law partner can have owned and lived in another home in the year of purchase or any of the four preceding years.A qualifying home is a housing unit located in Canada including existing homes and those being constructed. Single-family homes, semi-detached homes, townhouses, mobile homes, condominium units, and apartments in duplexes, triplexes, fourplexes, or apartment buildings, all qualify.
A share in a co-operative housing corporation that entitles the individual to possess and gives an equity interest in a housing unit also qualifies. However, a share that only provides a right to tenancy in the housing unit does not qualify.
Grants for eco-friendly upgradesThe ecoENERGY Retrofit program provides home and property owners with grants of up to $5,000 to offset the costs of making energy-efficiency improvements. Grants apply to a variety of measures that reduce energy consumption – anything from increasing insulation to upgrading a furnace. Building on the success of the existing program,
Budget 2009 provides an additional $300 million over two years to the ecoENERGY Retrofit program to support an estimated 200,000 additional home retrofits.Home Renovation Tax CreditThe proposed Home Renovation Tax Credit (HRTC) will provide a temporary 15 per cent income tax credit on eligible home renovation expenditures for work performed, or goods acquired, after January 27, 2009 and before February 1, 2010.
The credit may be claimed for the 2009 taxation year on the portion of eligible expenditures exceeding $1,000, but not more than $10,000, and will provide up to $1,350 in tax relief.For more information on all of the home ownership and housing related stimulus in Budget 2009, go to http://www.budget.gc.ca/2009/plan/bpa5a-eng.asp#Personal or to the Canada Revenue Agency Web site at www.cra-arc.gc.ca and search for “Home Buyers Plan.”What’s eligible and what’s not for the Home Renovation Tax Credit?
The federal government hopes the Home Renovation Tax Credit (HRTC) will get Canadians spending now to help create jobs in industries typically hurt by an economic downturn. Now through January 31, 2010, homeowners can claim a tax credit for 15 per cent of renovation expenses between $1,000 and $10,000. Here’s a sample of what qualifies under the program and what does not.Eligible
renovating a kitchen, bathroom or basement
new carpet or hardwood floors
building an addition, deck, fence or retaining wall
a new furnace or water heater
painting the interior or exterior of a house
resurfacing a driveway
laying new sod Ineligible
purchase of furniture and appliances (e.g. refrigerator, stove, and couch)
purchase of tools
carpet cleaning
maintenance contracts (e.g. furnace cleaning, snow removal, lawn care, and pool cleaning)
The Federal Budget 2009 introduced several incentives to get Canadians spending by buying a first time home, or renovating the one they are already in. But do the government measures go far enough and will they help to spur the real estate market?“At first blush, the incentives related to housing seem very positive,” says 2008 OREA President, Gerry Weir. “However, we shouldn’t expect to see these programs stimulate the economy immediately like people hope they will. We are probably looking at two to three years before we see the benefits.”
As for the 2009 budget in general, Weir says the billions of dollars the government plans to spend on municipal infrastructure will likely do volumes to create jobs and boost the economy.
“We are grateful that the government recognizes that the housing industry moves the economy, but we must have consumer confidence. Job creation and low interest rates will help people – especially first time buyers – feel secure about buying a home,” says Weir. “Then we will also see people spending more on renovations.”RRSP Home Buyers Plan changed
The changes to the RRSP Home Buyers Plan introduced in the new budget are not only good for potential home buyers, they are also seen as a victory for OREA and CREA. “It’s gratifying to see that our lobbying efforts at the national level for enhancements to this program have paid off,” says Weir.The 2009 budget increases the withdrawal limit for the RRSP Home Buyers Plan to $25,000 from $20,000 providing first-time home buyers with additional access to savings to purchase or build a home.
The eligibility and repayment rules remain pretty much the same. The money withdrawn from the RRSP must be repaid over a period of no more than 15 years to retain its tax deferred status. The repayment period starts the second year following the year the first withdrawals were made. If a participant pays less than the scheduled annual payments, the amount that they don’t repay must be reported as income on their tax return for that year.
For example, in October 2009 a first time buyer withdraws $24,000 from his or her RRSP to finance the purchase of a home. Their first annual repayment of $1,600 ($24,000 divided by 15 years) is due by December 31, 2011.
Buyers get a tax creditFor 2009 and subsequent years, the budget also introduced a new non-refundable tax credit to help first-time home buyers with some of their closing costs. This Home Buyer Tax Credit (HBTC) will provide up to $750 in tax relief on the purchase of a first home. The HBTC is calculated by multiplying the lowest personal income tax rate for the year (15% in 2009) by $5,000.
For 2009, the credit will be $750.To qualify for the HBTC, an individual must purchase a qualifying home and neither the homebuyer or the homebuyer’s spouse or common-law partner can have owned and lived in another home in the year of purchase or any of the four preceding years.A qualifying home is a housing unit located in Canada including existing homes and those being constructed. Single-family homes, semi-detached homes, townhouses, mobile homes, condominium units, and apartments in duplexes, triplexes, fourplexes, or apartment buildings, all qualify.
A share in a co-operative housing corporation that entitles the individual to possess and gives an equity interest in a housing unit also qualifies. However, a share that only provides a right to tenancy in the housing unit does not qualify.
Grants for eco-friendly upgradesThe ecoENERGY Retrofit program provides home and property owners with grants of up to $5,000 to offset the costs of making energy-efficiency improvements. Grants apply to a variety of measures that reduce energy consumption – anything from increasing insulation to upgrading a furnace. Building on the success of the existing program,
Budget 2009 provides an additional $300 million over two years to the ecoENERGY Retrofit program to support an estimated 200,000 additional home retrofits.Home Renovation Tax CreditThe proposed Home Renovation Tax Credit (HRTC) will provide a temporary 15 per cent income tax credit on eligible home renovation expenditures for work performed, or goods acquired, after January 27, 2009 and before February 1, 2010.
The credit may be claimed for the 2009 taxation year on the portion of eligible expenditures exceeding $1,000, but not more than $10,000, and will provide up to $1,350 in tax relief.For more information on all of the home ownership and housing related stimulus in Budget 2009, go to http://www.budget.gc.ca/2009/plan/bpa5a-eng.asp#Personal or to the Canada Revenue Agency Web site at www.cra-arc.gc.ca and search for “Home Buyers Plan.”What’s eligible and what’s not for the Home Renovation Tax Credit?
The federal government hopes the Home Renovation Tax Credit (HRTC) will get Canadians spending now to help create jobs in industries typically hurt by an economic downturn. Now through January 31, 2010, homeowners can claim a tax credit for 15 per cent of renovation expenses between $1,000 and $10,000. Here’s a sample of what qualifies under the program and what does not.Eligible
renovating a kitchen, bathroom or basement
new carpet or hardwood floors
building an addition, deck, fence or retaining wall
a new furnace or water heater
painting the interior or exterior of a house
resurfacing a driveway
laying new sod Ineligible
purchase of furniture and appliances (e.g. refrigerator, stove, and couch)
purchase of tools
carpet cleaning
maintenance contracts (e.g. furnace cleaning, snow removal, lawn care, and pool cleaning)
Monday, December 8, 2008
December 2008 Toronto Market Report
Greetings!
I would like to take this opportunity to wish you a happy time over the Holidays and a healthy and prosperous journey throughout the New Year. This past year has been a very good one for me both personally and in business, thanks to the many loyal customers and friends who have given me their vote of confidence. My sincerest thanks go out to all of you.
The slow market we are in right now is a combination of the world financial situation as well as a correction cycle following the long run that we have experienced in the Toronto real estate market. The pessimists in our world are expecting that this softness will continue well into next year, and even beyond, while the optimists are anticipating that some good news on the world financial front will help things to turn around. Our Canadian government does not seem to be helping in this regard at this moment. The delay and confusion that is being created by their collective ineptitude seems certain to delay any good news that we might have hoped for.
Personally, I am hopeful that we will see some resolution starting to take effect early in 2009 and that we will see some positive things happening on the world front.
From a Toronto real estate market perspective, my colleagues and I have a lot of buyers hovering and waiting for the right time to buy. Some are waiting for the next shoe to drop, while many others are waiting for a sign of some sensibility returning to the world economic markets.
I believe that in Toronto we will continue to see price pressure on properties over a million dollars, but will start to see some signs of recovery in the 500,000 to 800,000 dollar range.
Condos are still enjoying a positive market, likely a factor of the lower price point being more affordable to first time buyers. In addition, investors are able to get reasonable returns in a good rental market, making condos a solid long term investment.
For buyers, right now I would recommend taking a good look at what is available. There is an excellent selection of properties available at all price levels. Prices are down from last year and interest rates are also very low. This week, the 5 year rate has come back down to 5.25%. If you are able to find a home that suits your needs, this is an excellent time to buy.
For sellers, if you are looking to trade up there are some excellent prices and a fantastic selection out there. If you price your home competitively it will sell, even in the current market. You will then have a great selection to choose from, and you may even be able to negotiate an offer on a new home that is conditional on selling your property. I’ll be pleased to talk directly with you about how to do that.
If you are moving out of the market area, or selling for some personal reason, I’ll be pleased to talk through the options that are available to you, and the pros and cons of selling now vs. waiting for the Spring market.
Again, my best wishes to all. I hope you are able to enjoy the Holidays and find a bit of time to relax.
Best regards,
Armand
I would like to take this opportunity to wish you a happy time over the Holidays and a healthy and prosperous journey throughout the New Year. This past year has been a very good one for me both personally and in business, thanks to the many loyal customers and friends who have given me their vote of confidence. My sincerest thanks go out to all of you.
The slow market we are in right now is a combination of the world financial situation as well as a correction cycle following the long run that we have experienced in the Toronto real estate market. The pessimists in our world are expecting that this softness will continue well into next year, and even beyond, while the optimists are anticipating that some good news on the world financial front will help things to turn around. Our Canadian government does not seem to be helping in this regard at this moment. The delay and confusion that is being created by their collective ineptitude seems certain to delay any good news that we might have hoped for.
Personally, I am hopeful that we will see some resolution starting to take effect early in 2009 and that we will see some positive things happening on the world front.
From a Toronto real estate market perspective, my colleagues and I have a lot of buyers hovering and waiting for the right time to buy. Some are waiting for the next shoe to drop, while many others are waiting for a sign of some sensibility returning to the world economic markets.
I believe that in Toronto we will continue to see price pressure on properties over a million dollars, but will start to see some signs of recovery in the 500,000 to 800,000 dollar range.
Condos are still enjoying a positive market, likely a factor of the lower price point being more affordable to first time buyers. In addition, investors are able to get reasonable returns in a good rental market, making condos a solid long term investment.
For buyers, right now I would recommend taking a good look at what is available. There is an excellent selection of properties available at all price levels. Prices are down from last year and interest rates are also very low. This week, the 5 year rate has come back down to 5.25%. If you are able to find a home that suits your needs, this is an excellent time to buy.
For sellers, if you are looking to trade up there are some excellent prices and a fantastic selection out there. If you price your home competitively it will sell, even in the current market. You will then have a great selection to choose from, and you may even be able to negotiate an offer on a new home that is conditional on selling your property. I’ll be pleased to talk directly with you about how to do that.
If you are moving out of the market area, or selling for some personal reason, I’ll be pleased to talk through the options that are available to you, and the pros and cons of selling now vs. waiting for the Spring market.
Again, my best wishes to all. I hope you are able to enjoy the Holidays and find a bit of time to relax.
Best regards,
Armand
Monday, August 18, 2008
GTA Resale Housing Prices Stable in July
In viewing the current market it is important to try to keep it in perspective. The current changes are vs. an amazing year in 2007. To look at a broader picture I have also included a few comparisons with 2006, which was also a record year.
Prices remained stable throughout the GTA in July. In Central Toronto the average price of $467,743 was virtually unchanged from July 2007 and up 9 per cent from the July 2006.
In the City of Toronto 3,132 sales were recorded, in July, down 14 per cent from the record July 2007 but up 10 per cent from the sales recorded two years ago in 2006.
With more inventory available to choose from, and very few multiple offer situations, buyers are taking longer to decide on which house that they want to purchase. As an exanple, the average ‘Days On Market’ in Central Toronto increased from 24 days in June to 28 days in July.
This means that sellers are having to be more patient to achieve their desired selling price. The average home in Central Toronto still sold for 99 per cent of the asking price.
If you have any questions about the market or would like to discuss the best approach to your own real estate needs, please call me or email me. Also, have a look at the following articles and the selected listings that I am including with this newsletter.
Sincerely,
Armand
In This Issue...What to Expect When Selling Your Home PrivatelyThere's No Place Like HomeThe Shoe's on the Other FootHealey Lake Retreat $295,000New home in North Toronto $1,249,000Leaside Semi Detached $565,000
What to Expect When Selling Your Home Privately
If you're considering selling your home, you've probably thought about trying to do it yourself. Although some FSBO's (For Sale by Owners) sell their own homes, it's unclear whether they actually come out ahead financially in the end. Here are a few advantages of enlisting the services of a professional Realtor:
Exposure - A sign on the lawn's only visible to those who see it, so buyers aren't going to know your home's for sale unless they drive by. Your pool of potential buyers will be very limited whereas agents are able to expose it to the masses through the real estate board's MLS system. It's supply and demand – the more buyers (supply), the more demand which means more money!
Commission Sharing - The only reason a person would choose to sell on their own is to try and save money. Everyone knows that, including buyers, and most will expect to get a deal when buying privately as they know there's no commission built into the price. Half of the commission typically goes to the buyer's agent so if the buyers don't use an agent, they'll expect to pocket that portion for themselves.
Third Party Negotiator - Buying or selling a home is an emotional roller coaster so a Realtor's help is invaluable when it comes to mediating as an impartial voice. Some buyers may be reluctant to deal directly with the seller as emotions will certainly get in the way of negotiating an offer. All it takes is one wrong remark to make a deal fall apart. Having a third party negotiator provides a much needed buffer between the buyer and seller.
Experience - Real estate transactions are fraught with potential problems. An agent can advise you on many matters such as legal issues and inspection questions as well as rallying prospects to try and generate multiple offers. Do-it-yourself jobs are great under certain circumstances but when it comes to your biggest asset, you may want to think twice.
Convenience - If you're selling privately, you'll have to be available to show your home to complete strangers on short notice. You'll likely find yourself canceling important plans only to have no one show up. This process is frustrating and time consuming as many prospects are simply not that serious, haven't been qualified or are just plain nosy. An agent only works with qualified buyers so they don't waste their time or compromise their personal safety.
Selling a home privately can be risky which means you're gambling with your biggest asset. Although some FSBO's sell their own homes, there are many advantages to having a professional represent you in this complex transaction. Real estate agents are paid on commission so it's in their best interest to get you top dollar for your home and to provide you with exceptional service during the entire process.
There's No Place Like Home
With the price of gas skyrocketing, why not vacation closer to home this year. Going away can be stressful as you have to arrange for someone to collect your mail and look after your pets plus there's the worry of your home's security. Then when you return, there's all that laundry and yard work waiting for you. Here are a few ideas to consider when vacationing around home:
Contact the local tourist board and plan your trip as if you were visiting your area for the first time. This way, you'll be able to see all the places you take for granted and say you'll “get to one day”.
Go to a restaurant you've never been to before. To save some cash, find out when specials such as “2 for 1” and “kids eat free” are on and plan around the deals!
Your local library should have maps of community trails. Pick one you've never been to before and enjoy a relaxing day outdoors.
Visit an unfamiliar place an hour or so from home to experience a true getaway. If you really want to get into the spirit, book a night at a hotel -- you'll get a better deal if you go mid-week.
Involve your kids by letting them pick a playground they've never visited before. Nearby amusement parks and local farms are also great fun!
Staying home and seeing your area through the eyes of a tourist will give you a new appreciation of where you live and is often much more relaxing. By not having the stress that goes along with planning a vacation, you'll be able to return to work relaxed and with more money in your wallet. Not only will you save on gas but you'll also reduce your carbon footprint while supporting your local economy.
The Shoe's on the Other Foot
If you've ever been sitting around with friends and someone asks “What's that smell?”, you know it's time to take some action! There are easy, natural ways to deodorize your shoes, sneakers or boots that cost next to nothing. Here are a few great ideas:
To prevent bacteria build up, put your shoes outside on a warm day to thoroughly dry out.
To kill off the bacteria, pop your shoes in an airtight bag and put them in the freezer overnight.
Sprinkle baking soda into smelly shoes and leave them for a few days to absorb both odor and moisture.
With the embarrassment of smelly shoes a thing of the past, you'll no longer have to double bag them or toss them into the fire! Just follow one or two of these tips and the stench will be solved – at least for a little while.
Healey Lake Retreat $295,000
A wonderful summer getaway on a quiet bay on beautiful Healey Lake in the heart of Muskoka/Georgian Bay.This is an ideal summer cottage with exposed rafters and a stone fireplace for those cool fall evenings.There is also a winterized Bunkie for those times when you want to visit in the winter.Located across from Crown Land, you have a quiet retreat away from the city.
Prices remained stable throughout the GTA in July. In Central Toronto the average price of $467,743 was virtually unchanged from July 2007 and up 9 per cent from the July 2006.
In the City of Toronto 3,132 sales were recorded, in July, down 14 per cent from the record July 2007 but up 10 per cent from the sales recorded two years ago in 2006.
With more inventory available to choose from, and very few multiple offer situations, buyers are taking longer to decide on which house that they want to purchase. As an exanple, the average ‘Days On Market’ in Central Toronto increased from 24 days in June to 28 days in July.
This means that sellers are having to be more patient to achieve their desired selling price. The average home in Central Toronto still sold for 99 per cent of the asking price.
If you have any questions about the market or would like to discuss the best approach to your own real estate needs, please call me or email me. Also, have a look at the following articles and the selected listings that I am including with this newsletter.
Sincerely,
Armand
In This Issue...What to Expect When Selling Your Home PrivatelyThere's No Place Like HomeThe Shoe's on the Other FootHealey Lake Retreat $295,000New home in North Toronto $1,249,000Leaside Semi Detached $565,000
What to Expect When Selling Your Home Privately
If you're considering selling your home, you've probably thought about trying to do it yourself. Although some FSBO's (For Sale by Owners) sell their own homes, it's unclear whether they actually come out ahead financially in the end. Here are a few advantages of enlisting the services of a professional Realtor:
Exposure - A sign on the lawn's only visible to those who see it, so buyers aren't going to know your home's for sale unless they drive by. Your pool of potential buyers will be very limited whereas agents are able to expose it to the masses through the real estate board's MLS system. It's supply and demand – the more buyers (supply), the more demand which means more money!
Commission Sharing - The only reason a person would choose to sell on their own is to try and save money. Everyone knows that, including buyers, and most will expect to get a deal when buying privately as they know there's no commission built into the price. Half of the commission typically goes to the buyer's agent so if the buyers don't use an agent, they'll expect to pocket that portion for themselves.
Third Party Negotiator - Buying or selling a home is an emotional roller coaster so a Realtor's help is invaluable when it comes to mediating as an impartial voice. Some buyers may be reluctant to deal directly with the seller as emotions will certainly get in the way of negotiating an offer. All it takes is one wrong remark to make a deal fall apart. Having a third party negotiator provides a much needed buffer between the buyer and seller.
Experience - Real estate transactions are fraught with potential problems. An agent can advise you on many matters such as legal issues and inspection questions as well as rallying prospects to try and generate multiple offers. Do-it-yourself jobs are great under certain circumstances but when it comes to your biggest asset, you may want to think twice.
Convenience - If you're selling privately, you'll have to be available to show your home to complete strangers on short notice. You'll likely find yourself canceling important plans only to have no one show up. This process is frustrating and time consuming as many prospects are simply not that serious, haven't been qualified or are just plain nosy. An agent only works with qualified buyers so they don't waste their time or compromise their personal safety.
Selling a home privately can be risky which means you're gambling with your biggest asset. Although some FSBO's sell their own homes, there are many advantages to having a professional represent you in this complex transaction. Real estate agents are paid on commission so it's in their best interest to get you top dollar for your home and to provide you with exceptional service during the entire process.
There's No Place Like Home
With the price of gas skyrocketing, why not vacation closer to home this year. Going away can be stressful as you have to arrange for someone to collect your mail and look after your pets plus there's the worry of your home's security. Then when you return, there's all that laundry and yard work waiting for you. Here are a few ideas to consider when vacationing around home:
Contact the local tourist board and plan your trip as if you were visiting your area for the first time. This way, you'll be able to see all the places you take for granted and say you'll “get to one day”.
Go to a restaurant you've never been to before. To save some cash, find out when specials such as “2 for 1” and “kids eat free” are on and plan around the deals!
Your local library should have maps of community trails. Pick one you've never been to before and enjoy a relaxing day outdoors.
Visit an unfamiliar place an hour or so from home to experience a true getaway. If you really want to get into the spirit, book a night at a hotel -- you'll get a better deal if you go mid-week.
Involve your kids by letting them pick a playground they've never visited before. Nearby amusement parks and local farms are also great fun!
Staying home and seeing your area through the eyes of a tourist will give you a new appreciation of where you live and is often much more relaxing. By not having the stress that goes along with planning a vacation, you'll be able to return to work relaxed and with more money in your wallet. Not only will you save on gas but you'll also reduce your carbon footprint while supporting your local economy.
The Shoe's on the Other Foot
If you've ever been sitting around with friends and someone asks “What's that smell?”, you know it's time to take some action! There are easy, natural ways to deodorize your shoes, sneakers or boots that cost next to nothing. Here are a few great ideas:
To prevent bacteria build up, put your shoes outside on a warm day to thoroughly dry out.
To kill off the bacteria, pop your shoes in an airtight bag and put them in the freezer overnight.
Sprinkle baking soda into smelly shoes and leave them for a few days to absorb both odor and moisture.
With the embarrassment of smelly shoes a thing of the past, you'll no longer have to double bag them or toss them into the fire! Just follow one or two of these tips and the stench will be solved – at least for a little while.
Healey Lake Retreat $295,000
A wonderful summer getaway on a quiet bay on beautiful Healey Lake in the heart of Muskoka/Georgian Bay.This is an ideal summer cottage with exposed rafters and a stone fireplace for those cool fall evenings.There is also a winterized Bunkie for those times when you want to visit in the winter.Located across from Crown Land, you have a quiet retreat away from the city.
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