Strong Sales and Price Growth in May

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Greater Toronto Realtors reported 10,850 sales through the MLS in May 2012. The number of transactions represented an 11.0% increase compared to May 2011.  The strongest sales growth was reported in the single-detached market segment in the 905 region where transactions were up by 13.0% compared to a year ago.

New listings, at 19,177, were up by a whopping 20.2% compared to May 2011.

“Sales growth in the ‘905’ area code was stronger than growth in the City of Toronto across all major home types. While lower average prices are certainly one factor that has contributed to this trend, recent polling also suggests that the City of Toronto’s land transfer tax has also prompted many households to look outside of the City for their ownership housing needs,” said Toronto Real Estate Board President Richard Silver .

With market conditions remaining tight in the GTA, the average selling price continued to grow in May up by 6.5% from the same time last year to $516,787. Price growth continued to be driven by the low-rise market segment.

“Strong competition between buyers seeking to purchase low-rise home types drove strong price growth in May. However, if new listings continue to grow at the pace they did in May for the remainder of 2012, the annual rate of price growth should begin to moderate on a sustained basis,” said the Toronto Real Estate Board’s Senior Manager of Marker Analysis Jason Mercer. ”

“TREB’s baseline forecast for 2012 is for an average price of $485,000, representing a more moderate 4.0% annual rate of price growth. This baseline view is subject to a heightened degree of risk given the uncertain global economic outlook,” continued Mercer.

Sales of Toronto ( 416 area code) condominium apartments increased by 5.0% from May 2011. The average price of a Toronto condo increased by 4.0% from the same time last year.

 Condominium apartments accounted for 21.5% of total sales in the the GTA for May 2012 while detached homes accounted for 49.3% of the total sales.

Other notable statistics include the average days on the market for May at 21 days . Active listings were 20,462 in May 2012-up 10.0% from May 2011. The sales-to-listings ratio for May was 53.0% which is classified as a STRONG seller’s market . A ratio from 24%-28% is considered a balanced market.  

Sellers are looking for market value for their property . I prepare a comparative market analysis (CMA) for all of my Buyer clients prior to submitting an offer to determine the property’s market value range.

Real estate is very neighbourhood specific and even very street specific in some areas. The numbers as reported above are GTA averages. Results in one neighbourhood or on one street do not indicate that all other neighbourhoods or streets are experiencing the same results. We are still seeing multiple offers in some areas for the best homes.  

Please contact me direct at 416-520-6746 or by email, David@TorontoRealEstate.ca

Record Quarter For Toronto Condo Sales

Urbanation Inc., the leading source of information and analysis on the Toronto condominium market since 1981, today released its Q1-2012 market overview.

The new condominium apartment market in the Toronto CMA saw 6,070 sales in Q1-2012, the highest of any first quarter on record. The 338 active projects and 84,698 active units were also record highs. The average of 18.0 sales per project, however, was lower than in Q1-2011 (18.3) and Q1-2010 (20.4)

“Despite the record sales in Q1-2012, Toronto CMA brokers and developers still report anxiety about the future health of the condo market,” says Ben Myers, Urbanation Executive Vice President and Editor. “The probability of a market crash or major price correction is very small, but the prevalence of media coverage for this outcome remains high.”

Click here for the press release.

Click here for the Downtown Toronto Condo Market Overview

Please contact me direct at 416-520-6746 or by email, David@TorontoRealEstate.ca

Fair or Fear? Mortgage Lending Officially Tightens Up

Great article in BorrowBetter

This morning the Minister of Finance will announce new parameters to insured mortgage lending in Canada. According to press releases, the minister will announce that the maximum amortization period will be reduced from 30 years to 25 years for insured mortgages. Also, the amount of home equity that can be borrowed will be reduced from 85 per cent to 80.

How is this considered “tightening”? Simply put, the shorter amortization period will increase the mortgage payment calculation; in order to qualify for the same mortgage as you did yesterday, you will either need to be making more money, put more money down as a downpayment, or reduce the price you are willing to pay for real estate.

These are different payment scenarios for a $300k mortgage at 3.95% for 3 years:

– 30 year amortization: payment is $1418/mth, you pay $34,327 in interest over three years and your principal balance is $283,276 at renewal.

– 25 year amortization: payment is $1570/mth, you pay $34,003 in interest over three years and your principal balance is $277,485 at renewal.

Click here for more.

Click here for Flaherty on CTV news.

Please contact me direct at 416-520-6746 or by email, David@TorontoRealEstate.ca

New Rental Apartments Proposed for Yonge-Davisville Area as Competition to Condos

Great article in www.TheStar.com

It’s a sight that hasn’t been seen in North Toronto for decades, perhaps since Greenwin Inc.’s towering white brick apartment buildings sprouted up near Yonge and Davisville, earning the area the moniker “Young and Eligible.”

Toronto housing developer Shiplake Management Co. is proposing a 500-unit, two-tower apartment complex on Davisville Avenue and Balliol Street. That’s the biggest rental project constructed in the city in decades.

The 12- and 29-storey towers will be bookended by two 29-storey former Greenwin buildings and, in a nod to that history, likely be covered in the same white-glazed brick.

Given that condos have become the de facto downtown home for a new generation of young renters, there are lots of people wondering: Does this make any sense?

Click here for more.

Please contact me direct at 416-520-6746 or by email, David@TorontoRealEstate.ca

E Condos at Yonge and Eglinton…..Wholesale Access

I have exclusive access for my Clients for Platinum Pricing at :

E Condos

I believe in this project so much I just purchased a unit!

What is Platinum pricing? Click here. ( c/o Toronto Condo Boutique)

This is an amazing development located at the North-East corner of Yonge and Eglinton one of Toronto’s most desirable areas to live .

Currently I have 12th and 48th Floors are on hold for select Buyers

Occupancy in August 2017

Prices from the high $290,000’s.

Prices per sq. ft as low as $643/sf

Development fees capped

Connection/Meter charges capped

Reduced assignment fees

The Platinum event will get you in on the ground floor before the regular agents and the public. Prices will increase after this event.

The most successful investors make a healthy investment return by placing their orders from Platinum Realtors only.  A select number of Realtors only have access to Platinum pricing.

** Click here for the Price List and Relevant information

** Click here for Floor Plans

** Click here for the Worksheet

** Click here for the Brochure

 ** Signing will begin by appointment only . Units are selling fast.

No line ups!! No headaches!! First class concierge service!

Do you need assistance in your unit selection?

Please contact me at 416-520-6746 or send me an email to David@TorontoRealEstate.ca for more information.  

 

Luxury Housing Sales Surge Forward

The Canadian appetite for all things luxury continues to fuel demand for high-end housing, with first quarter 2012 sales well ahead of 2011 figures for the same period in most markets across the country, according to a report released by Re/Max.

The Upper-End Report found that 81 per cent (13) of the 16 major Canadian centres examined—including Victoria, Edmonton, Calgary, Regina, Saskatoon, London-St. Thomas, Kitchener-Waterloo, Hamilton-Burlington, Greater Toronto, Ottawa, Quebec City, Greater Montreal, and Halifax-Dartmouth—posted an increase in homebuying activity, with the vast majority reporting double-digit appreciation.  Records were set for upper-end sales in ten markets in Saskatchewan, Ontario, Quebec and Nova Scotia.

The greatest percentage increase was reported in Regina, where first quarter sales of luxury homes priced over $500,000 climbed 56 per cent year-over year (50 units vs. 32 units).  Quebec City placed second, posting a 50 per cent (48 units vs. 32 units) upswing in activity, while Toronto followed closely with a 49 per cent gain (412 units vs. 277 units).  The mid-sized markets of London-St. Thomas (43 per cent) and Kitchener-Waterloo (39 per cent) rounded out the Top Five—demonstrating that upper-end enthusiasm is not exclusive to Canada’s larger centres. 

Click here for the full report.

Please contact me direct at 416-520-6746 or by email, David@TorontoRealEstate.ca

 

Sex Appeal: How Condo Investors Can Attract Single Women

Great article in www.CanadianRealEstateMagazine.ca 

Now may not be the time for condo investors to cheap out on those purchases, even as a glut of inventory makes it harder to flip at a profit or rent for an excess of cash flow.

With single women now accounting for 20 per cent of all real estate purchases – and well over 30 per cent of condos – investors may have to spend more to win those well-heeled buyers.

It’s likely worth it, say analysts: Most women buyers want to see a unit before they buy, so they’re much less likely to buy a pre-build, making them the perfect target market for condo investors.

But they have to love what they see.

Their significant buying power and exacting standards have helped drive the move to granite and stainless steel designer kitchens, better bathroom storage and even lighting — especially over the makeup mirror, according to Jim Ritchie, president of Canada’s biggest condo builder, Tridel.

From fixtures and fitting to location, here’s a list of the  top four things condo investors have to consider in order to clinch the deal with single women buyers and, indeed, renters.

Click here for more.

Please contact me direct at 416-520-6746 or by email, David@TorontoRealEstate.ca

How to Avoid Renting to a Tenant From Hell

Great article in www.Moneyville.ca

A recent Toronto Star story exposed a problem tenant who was successful in abusing the Ontario landlord and tenant process to avoid paying rent. It can take landlords up to nine months to evict these types of ‘professional’ tenants.

However, it would be wrong to paint all tenants with the same brush. Over 95 per cent of Ontario tenants pay their rent on time and take care of their rental units. For every problem tenant, there are also problem landlords who do not properly maintain their buildings.

Here is how landlords and tenants can avoid problems:

Qualify your tenant in advance

Click here for more.

Please contact me direct at 416-520-6746 or by email, David@TorontoRealEstate.ca