A recent report from the Toronto Real Estate Board has revealed some interesting facts about Canada’s real estate markets. When compared to the same time last year, average home sales prices have dropped by 3.2 per cent in Toronto. In Vancouver, prices fell to their lowest since July 2016 when a 15 per cent foreign buyers tax was initiated. READ ALSO: New Brunswick’s Largest City Is Finally Getting Free Public Transit For Its Citizens
The numbers have been quite impressive and their effects are already being felt. According to Bloomberg, a recent survey from Royal Bank of Canada revealed that Canadian homebuyers are looking for more affordable homes that are priced under $500,000.
This is great news for those in smaller cities throughout the country who would love to own a home but find prices too high elsewhere. As reported by Global News, a growing number of first-time buyers are planning on purchasing homes in smaller communities such as Halifax, Regina, Winnipeg and Saskatoon. This is because they find it easier to buy.
Vancouver Real Estate Market Falls
The recent interest rate hike in Canada has caused Vancouver’s real estate market to cool off, with prices falling from their previous highs. This is good news for buyers in the Toronto market, who have been struggling to compete with Vancouver buyers in recent years.
The interest rate hike was a surprise move by the Bank of Canada, and it has caused many Canadians to reassess their financial situations. For those who were thinking about buying a home in Vancouver, the higher rates have made it more difficult to qualify for a mortgage. As a result, prices in Vancouver have started to come down from the record highs that we saw earlier this year.
This is welcome news for buyers in the Toronto market, who have been struggling to keep up with the competition from Vancouver buyers. With prices now falling in Vancouver, Toronto buyers will have a better chance of finding a affordable home.
Toronto Real Estate Market In ‘Hostile Territory’
The Toronto real estate market is in a state of flux. Prices are falling from the highs seen before the recent interest rate hike, and many are wondering what the future holds.
Some say that the market is simply cooling off after a period of frenzied activity. Others believe that the interest rate hike was the straw that broke the camel’s back, and that prices will continue to fall as buyers become more hesitant.
Whatever the case may be, one thing is for sure: the Toronto real estate market is in hostile territory. Buyers are cautious, sellers are anxious, and no one knows where things will go from here.
Comparison of Toronto Vs. Vancouver Real Estate Markets
The Toronto real estate market is often compared to that of Vancouver. Both cities are large metropolitan areas with a lot of investment potential. However, there are some key differences between the two markets.
For one, Vancouver’s real estate prices have been on a steady decline since the introduction of new mortgage rules and an interest rate hike in January 2018. This has made the market much more accessible for first-time home buyers and those looking to invest in property.
In contrast, Toronto’s real estate prices have been relatively stable over the past year. This is due to a number of factors, including a strong economy and high demand for housing. As a result, the market is still quite competitive and can be difficult for buyers to break into.
That said, there are still opportunities to be had in both markets. It’s just important to understand the key differences between them before making any decisions.
The Impact of the Bank of Canada Rate Hike on Highrise Developments in Toronto and Vancouver
It’s been a tough few months for the Canadian real estate market.
The Bank of Canada raised interest rates in July, causing prices to fall from their pre-rate hike highs in both Toronto and Vancouver.
Now, with the new mortgage stress test rules coming into effect on January 1st, 2018, many are wondering what the future holds for the housing market in Canada’s two largest cities.
In Toronto, sales of new highrise developments have already begun to slow down. According to Urbanation, a real estate research firm, sales of new condo units fell by 21% in the third quarter of 2017, compared to the same period last year.
The stress test is expected to have a similar impact on Vancouver’s highrise market. Sales of new condo units in Vancouver fell by 32% in the third quarter of 2017, compared to the same period last year.
So what does this all mean for the future of the housing market in Toronto and Vancouver? Only time will tell. But one thing is for sure: it’s going to be an interesting ride
Possible Outcomes for Toronto Real Estate Market
The Toronto real estate market is in a bit of a precarious position right now. Prices have been falling since the Bank of Canada raised interest rates in January, and there’s no telling how much further they could drop. This has many people wondering what the future holds for the market, and whether or not it will ever recover.
There are a few possible outcomes for the Toronto real estate market. The first is that prices could continue to fall, potentially reaching levels seen in other major Canadian cities like Vancouver and Montreal. This would obviously be bad news for those who have invested in the market, but it could present opportunities for first-time buyers and investors looking to get into the market at a lower price point.
The second possibility is that prices could stabilise, or even start to rise again. This would be good news for those who have already invested in the market, but it would make it harder for first-time buyers and those looking to invest to get into the market.
No one knows for sure what will happen to the Toronto real estate market in the future. However, by understanding the possible outcomes, you can make an informed decision about whether or not now is the right time to buy or sell.
