Tag Archives: real estate organization
Busy spring real estate market expected
The Canadian Press
Major Canadian housing markets have continued to show “exceptional resiliency” so far this year, setting the stage for a busy spring, according to a major Canadian real estate organization.
In its market trends reports, Re/Max said its survey has found that 12 of 15 Canadian centres, or 80%, reported sales activity in January and February that was ahead of last year’s levels.
More than half of the cities reported double-digit increases, “with the strong demand and diminished supply setting the stage for a heated spring 2012.”
Re/Max said low interest rates, coupled with strong consumer confidence levels and a mild winter played a significant role in the upswing, ushering in an early start to the spring market.
Average prices climbed in 14 of 15 markets, with three markets — Toronto, Winnipeg and St. John’s, N.L. — posting gains in excess of 10%.
However, tighter inventory levels at entry-level prices have sparked bidding wars — particularly in the Winnipeg and the Greater Toronto Area — with similar conditions starting to emerge in Saskatoon, Regina, London-St. Thomas, Hamilton-Burlington, Ottawa, St. John’s and Halifax-Dartmouth.
Comment: In Toronto, we are seeing an average sale price that is 100% of asking. We are also seeing fully 50% of houses in the $600-900,000 range going for OVER asking. Demand is so far ahead of supply right now, this is the tightest sellers market I have ever seen.
“Given the current economic climate, the strength of the country’s housing market clearly reflects the value Canadians place on home ownership,” said Michael Polzler, executive vice-president of Re/Max.
In terms of sales volumes, the best performing markets heading into the traditionally busy spring period were Halifax-Dartmouth, up 35%, Saskatoon (21%), Saint John, N.B., (20%), Regina (16%), St. John’s (12.5%), Greater Toronto Area (12%) London-St. Thomas (11%) and Edmonton (11%).
Only Vancouver, Kitchener-Waterloo, and Winnipeg have experienced softening in housing activity so far this year. Sales are down 16% in the Greater Vancouver, 4.5% in Kitchener-Waterloo, and Winnipeg down 0.2%.
Meanwhile, despite expectations of continuing strong sales, price gains are likely to be “much more moderate that in years past,” said Elton Ash, regional -vice-president for Re/Max in Western Canada.
Comment: What? 14 of 15 cities have prices moving up (but for Vancouver, which is a different story entirely) with 3 – 20% – showing gains of 10% or more. We have 12 of 15 cities with higher sales volume than last year. And we are going to a moderate price growth this year? I don’t think so…
“We expect this will remain the trend moving forward, in line with the Canadian economy, as GDP growth also moves ahead at a more subdued pace.”
However, Ash said local conditions vary, with inventory shortages driving prices in some markets while others, such as in the case of Saskatchewan and Newfoundland, the local economy has shown extraordinary strength.
“On the whole, this is a very stable and healthy housing market in line with traditional norms, with few exceptions,” he said.
Re/Max said first-time buyers have been driving demand in both the smaller and major markets, in turn sparking strong sales activity among move-up purchasers at higher prices.
“As a result, the upper-end of the market has also held up well. There’s no question that the spring 2012 market will see all segments working in tandem.”
Comment: It is only low supply that will keep 2012 from breaking sales records in Toronto, trust me. And if we do not see price gains in the 8-10% range, I will eat my hat. Or your hat… I don’t wear a hat…
—————————————————————————————————–
Contact the Jeffrey Team for more information – 416-388-1960
Laurin & Natalie Jeffrey are Toronto Realtors with Century 21 Regal Realty.
They did not write these articles, they just reproduce them here for people
who are interested in Toronto real estate. They do not work for any builders.
—————————————————————————————————–
Incoming search terms
Related posts:
- Toronto Real Estate Market Expected To Remain Healthy, Declines Unlikely The most popular people in Canada are those who are...
- Balanced real estate market expected in 2011 The Toronto Real Estate Board pegged the median price of...
- Strong start to Toronto’s spring real estate market TORONTO, April 4 (Canada Newswire) - Strong resale housing activity...
- Real estate market heads into 2011 with stronger than expected momentum Low interest rates should continue to prop up sales in...
- New record for MLS real estate sales expected again in 2007 National real estate activity forecast to rise 3.6% over last year...
Home values have doubled since 2000, report says
Geoff Nixon, CTVNews.ca
A new report suggests that the average home value has more than doubled in most of Canada’s big cities since the millennium.
Re/Max says it examined the value of homes in 16 major markets across Canada, calculating the changes that occurred from 2000 to 2010.
The real estate organization found that an average home in these markets was worth $339,030 as of last year, more than double the average price of $163,951 in 2000.
Re/Max says that Canadians have spent an estimated $450 billion on renovations over the decade, while more than $340 billion in residential building permits were issued.
This heavy-duty investment has helped build value in individual properties while an increasing number of people looking for housing has helped spur demand.
“They key to Canada’s housing evolution has been an increase in population,” says Michael Polzler, the executive vice president of Re/Max Ontario-Atlantic Canada Inc.
With further sharp population growth expected in the years ahead, Polzler says that portends “continued investment and continued growth in Canadian housing values.”
The hundreds of billions poured into rejuvenating homes and properties across the country have also created new trends in urban neighbourhoods, Re/Max says in its report.
In cities where space is scarce, residents are increasingly seeing small properties snapped up and turned into new structures, whether personal residences, townhomes or high-rise apartment buildings.
Condominiums have also become more popular and more varied in terms of what they can offer. Re/Max says buyers can now choose from mixed-use residential, live-work studios, lofts, townhomes and condo bungalows in major markets.
The 16 markets that Re/Max studied were: Greater Vancouver; Victoria; Kelowna, B.C.; Edmonton; Calgary; Regina; Saskatoon; Winnipeg; Ottawa; Greater Toronto; Hamilton-Burlington; Kitchener-Waterloo in Ontario; London, Ont.; Saint John, N.B.; Halifax-Dartmouth and St. John’s.
No markets from Quebec or the Territories were included in the Re/Max analysis.
———————————————————————————————————————
Contact the Jeffrey Team for more information – 416-388-1960
Laurin & Natalie Jeffrey are Toronto Realtors with Century 21 Regal Realty.
They did not write these articles, they just reproduce them here for people
who are interested in Toronto real estate. They do not work for any builders.
———————————————————————————————————————
Incoming search terms
Related posts:
- Home prices almost doubled in past decade Reuters TORONTO — Real estate markets across Canada posted solid...
- City beats suburbs in real estate values John Morrissy, Canwest News Service Better a city mouse or a country...
- Average home price dropped $10K in July The Canadian Real Estate Association said the national average price...
- January 2011 — Monthly Report Data from the Canadian Real Estate Association show generally balanced...
- GTA REALTORS Report August Resale Market Figures Greater Toronto REALTORS reported 7,542 sales through the TorontoMLS system...
