25 Nov Market Notes: A real estate mixed bag
Last week there were many interesting listings given the time of year. This week was more typical of what to expect in late November; very few listings with some price reductions. I am looking forward to seeing November’s sales figures. I wouldn’t be surprised to see sales up again month over month, as there still appears to be a healthy demand. On the price side, I expect appreciation has continued to moderate. Going into December, the market is trending back towards being more of a mixed bag, rather than a broader recovery. Sale prices can be sporadic depending on who shows up on offer night.
I have written previously about the Toronto real estate market turning back into a more traditional seasonal market, with Spring & Fall highlighting sales growth and competition. The shoulder seasons, Summer & Winter, which over the last few years have shortened, may now lengthen in-step with a more balanced market. This Winter should be more buyer friendly then ever, as the uncertainty from the new mortgage regulations have a negative effect. The new regulations themselves will have an impact on pricing. It has been estimated that 10% of buyers truly need that extra 20% credit approval or can’t make up the difference through other means. Stay tuned if you are looking for that perfect opportunity.