Defining Hot Toronto Neighbourhoods

I’m always interested to see what search terms bring people to my site as they can be a great source of inspiration for future articles. But sometimes, the information people seek can be SO subjective. For example, how do you define “hot” or “best” in a way that’s meaningful to everyone? It’s simply not possible as one person’s “must have” is another person’s “meh”, and not just in the Toronto real estate market. In life, actually.

How.Ever …

Is Price Appreciation The Constant?

If there’s one variable in the Toronto real estate “hot” equation that I think everyone can agree on it would be price appreciation. It’s the dream: to buy just before a particular neighbourhood takes off, to buy in one that never looks back price-wise (or so it would seem), to see your neighbourhood described in the media as sought-after (which translates into chased-after), to be dazzled by the stories of the multiple offers your neighbours entertain when the time comes to sell.

Toronto Real Estate Dream Analysis

If you’d like to know how your neighbourhood has performed (read: resale prices and percentage changes) the last two years, check out this informative article in the Toronto Star.

A couple of things to note:

• Big gains in some outlying areas. No surprise as affordability issues force buyers to look outside the City of Toronto.
• Price appreciation can pull back in upscale neighbourhoods.
• Modest neighbourhoods can out-perform upscale ones.

Whether you experienced a bump or a slump, here’s to numbers that work for you in 2010!

Toronto buyers and sellers! Are you looking for a Toronto real estate agent who can handle today’s challenging market? Call Lauren at 416–550–6991, or send me an email.

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The Toronto Real Estate Board (TREB) has just reported the June 2008 numbers. Just think: we’re half-way across the wire! It’s been quite a nerve-wracking market performance to this point; off to a good start to the year but quickly encountering challenges.

Can the market stay on the wire? Let’s review the numbers; I’ll help you, just don’t look down!

Toronto Real Estate
Sales Continue To Tumble

For June 2008, 8,600 resale transactions were recorded in the Greater Toronto Area (GTA), down 18% from the 10,451 sales of June 2007. In the City of Toronto (defined as the 416 area code) sales declined 18% to 3,481 resale transactions from last June’s 4,238 sales.

When comparing the first two quarters of 2008, GTA sales declined by 14% to 43,685 transactions compared to the same period a year ago, but declined by only 5% compared to the same period two years ago. Sales for the City of Toronto declined by 15% to 17,370 transactions compared to 2007 and declined by 8% from 18,917 in 2006.

Feeling a little unsteady on the wire? Look straight ahead and keep in mind that 2007 was the Best Year Ever for the Toronto real estate market. If it makes sense for you to buy or sell at this time, don’t let the sway undermine your confidence!

Don’t Trip Over The Inventory!

In June 2008, inventory increased by 22% to 27,000 listings. This translates to more selection for buyers. The increase in listings has also resulted in a longer Days On Market (DOM). As the Toronto real estate market works through inventory we are seeing well-priced (note: well-priced!) homes on the market 34 days compared to 29 days a year ago. Sellers who over-price their homes are sitting far longer! And keep in mind DOM does vary by neighbourhood.

Will Toronto Real
Estate Prices Hold?

The market anomaly continues to be price appreciation. With sales dropping by 18% year-over-year, the average price in the City of Toronto increased by 3% to $433,082 over the same period last year. This could be attributed to the fact that sales, while falling, are still at historically high levels and continued low interest rates. Nonetheless, as the market transitions how long can prices continue to climb?

Is Toronto Real Estate
A Balanced Market?

Are we trending towards a more balanced market? TREB reports that we are; however, I believe the numbers indicate we are currently experiencing a buyer’s market based on increase in inventory and DOM, plus fewer sales year-over-year. We certainly have some listings to work through before there’s balance in the market.

Are you thinking of buying or selling in today’s market? Call Lauren at 416–550–6991 to find out how I can help you walk the Toronto real estate wire. My balance is excellent!

I suspect this is how many Toronto home sellers are feeling these days with respect to the Toronto real estate market. Looking for some indication that buyers are back in the market and ready to write those offers. Looking, ever looking, for that red blinking light.

The Toronto Real Estate Board (TREB) has just reported the May 2008 numbers. Let’s dump the LUDs and see what useful information we can pull from the numbers.

Toronto Real Estate
Sales Can’t Stop Falling

The Toronto real estate market just experienced its fifth consecutive month of declining year-over-year sales since the beginning of the year.

For May 2008, 9,411 resale transactions were recorded in the Greater Toronto Area (GTA), down 16% from the 11,146 sales of May 2007. In the City of Toronto (defined as the 416 area code) sales declined 19% to 3,711 resale transactions from last May’s 4,578 sales.

Is the “skinny mirror” at work again, making these numbers look leaner than they actually are when compared to the record-breaking numbers of 2007? If you can’t keep breaking records, what becomes the definition of respectable market performance?

Are We Looking At A
Toronto Buyer’s Market?

In May 2008, inventory increased to 27,267 listings, a 15% increase over last year at this time. Although not what the Toronto home seller wants to hear, potential buyers now have more listings to consider, an opportunity to actually make offers, and possibly fewer listings that go for over asking. No doubt a welcome break for weary Toronto home buyers.

Toronto Real Estate Market
Continues Price Appreciation

In the City of Toronto, prices increased by 3% to $434,271 from $422,163 the same period last year. This is what’s a little baffling. If we are moving to a Toronto buyer’s market, how can price continue to appreciate when sales are steadily declining? Some experts believe this is due to the fact that sales, while declining, are still at historically high levels. But for how much longer can prices continue to climb? People still have to eat!

Is There A Message For
Toronto Real Estate Market?

Yes, the red light is blinking. If you’re a home seller, don’t ignore how the market turns on consumer confidence. In the blink of an eye. Economic uncertainty and housing affordability are major issues facing the Toronto real estate market. Don’t approach the market with last year’s mind set. Understand market activity in your neighbourhood, because market performance varies according to District.

If you’re a home buyer, be open to opportunity. Don’t miss out on a house that would be great for you simply because you’re married to the idea of buying only at the bottom of the market. Pick the timing that works for you. If you find that well-priced house in a great location that you can carry, will you really care in 10 or 20 years exactly where in the cycle you bought it?

You CAN buy and sell successfully in today’s Toronto real estate market. Call Lauren at 416–550–6991 to find out how! Messages returned promptly.