August 2013 Sales and Average Price Up Over 2012

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Greater Toronto Realtors reported 7,569 sales through the MLS in August 2013. The number of transactions represented a 21.1% increase compared to August 2012.

The number of new listings reported in August was up 4.5% compared to the same period in 2012.

“Sales were up strongly this past August for all major home types compared to last year. Many households have accounted for the added costs brought on by stricter mortgage lending guidelines and have reactivated their search for a home. These households have found that a diversity of affordable ownership options exist throughout the GTA ,” said Toronto Real Estate Board President Dianne Usher.

The average selling price continued to grow in August up by 5.4% from the same time last year to $503,094.  Note, the average selling price for 2012 as a whole was up by almost 7% to $497,298!! The annual rate of price growth was driven by
single-detached and semi-detached home transactions in the City of Toronto.

“Despite an increase in borrowing costs during the spring and summer, an average priced home in the GTA has remained affordable for a household earning an average income. With this in mind, tight market conditions are expected to promote continued price growth through the remainder of 2013,” said Jason Mercer, TREB’s Senior Manager of Market Analyses.

“We will undoubtedly experience some volatility in price growth for some market segments in 2013. However, months of inventory in the low-rise market segment will remain low resulting in average price growth above 3% for the TREB market area this year. Our current average price forecast is $515,000 for all homes combined in 2013,”continued  Mercer

Sales of Toronto (416 area code) condominium apartments increased by 21.4% from August 2012. The average price of a Toronto condo increased by 2.3% from the same time last year.

Condominium apartments accounted for 23.6% of total sales in the GTA for August 2013 while detached homes accounted for 48.0% of the total sales.

Other notable statistics include the average days on the market for August at 29 days. Active listings were 18,788 in August-down 1.3% from August 2012. The sales-to-listings ratio for august was 40.3% which is classified as a 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@DavidStoddard.ca.

Toronto Trump Tower: Hotel-Condo Owner Goes Auction Route

Great article in www.TheStar.com

A local investor has decided to try to sell off his $1-million-plus hotel-condo suite in Toronto’s Trump hotel like a piece of fine jewelry or aging farm equipment — by auction.

After watching listings for about a dozen similar units in the beleaguered luxury project languish on the MLS for more than a year without a single taker, the owner of the 12th-floor suite — himself a veteran realtor — has turned to Ritchies Auctioneers.

The unusual event, slated for Sept. 22 in the sumptuous ballroom of the Trump International Hotel & Tower, is expected to generate buzz among the world’s wealthy.

Click here for more.

(Note only one bid came in at the auction for $550,000. The Seller has not responded to the bid yet)

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

David’s Insight, Advice and Honesty Made it Easier

“As first time home buyers, the prospect of tackling Toronto’s housing market was  daunting… or daunting until we sat down with David.  Although we were pre-approved for our mortgage, David re-worked all of our numbers so that we  had a realistic sense of what a house in Toronto was going to cost us – and  what we could actually afford without overextending ourselves.  David was  always quick and responsive to our numerous questions and helped us feel  confident in our decisions, never pressuring us in one direction or the other,  but rather patient and supportive. Based on our experience, finding the  right home is a full time job, but one that was made infinitely easier with  David’s insight, advice and honesty. We won’t hesitate to refer David to our friends and enlist his services in any future housing adventures!”

– Mark & Lianne

Toronto Condo Outlook Summer 2013

Genworth Canada (www.Genworth.ca ) has come out with it’s Summer 2013 Toronto condo outlook report.

Demand in the Toronto resale apartment condominium market increased from 2009 to 2011, boosted by a growing economy, strong population gains, and lower interest rates. Unit sales rose by an annual average of 8.1 percent, reaching a record 22,900 units in 2011. Higher demand translated into stronger price growth as well—median apartment condominium prices increased an average of 7.8 per cent per year to top $300,000 for the first time. Sellers, encouraged by the higher prices, also flocked to the market. Active listings grew nearly 24 per cent, in total, over 2010 and 2011, lowering the sales- to- active-listings ratio from 45.2 per cent to an average of 36.3 per cent.

More modest economic growth and tighter mortgage rules served to reduce demand in the resale apartment condominium market last year. Sales slipped 11.5 per cent, although they were still healthy in level terms by historical standards, at just over 20,000 units.

Click here for the full report.

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

 

Toronto Condo Rental Market Reaches New Heights

Urbanation Inc. (www.Urbanation.ca ) the leading source of information and analysis on the Toronto condominium market since 1981, released its Q2-2013 rental market
results.

A record high 5,315 condominium apartments were rented on the MLS system
during the second quarter of 2013, up by 20% from a year ago. Demand was able
to keep pace with a surge of listings, driving average rents up by 4.1% from
last year to $2.35 per square foot, or $1,847 per month.

Rental transactions continued to eclipse sales of condominium apartment
units in both the resale market (4,689 units) and new home market (3,903 units)
in the second quarter.

“These results show that in one form or another, demand for condominiums in
Toronto remains very stable. The growth in condo rental activity reflects a
greater movement of younger households into the core, and a lack of growth in
traditional rental supply” said Shaun Hildebrand, Urbanation’s Senior Vice
President.”

The number of units listed for rent on the MLS system in the second quarter
grew by 22% from last year. Out of the 3,652 units that registered in Q2-2013,
682 units (19%) were listed for rent, 92% of which were rented out during the
quarter.

“Most investors are proving to have longer-term intentions by holding onto
their units. While rental yields, in general, have come down for new units,
many properties continue to achieve strong returns with almost no vacancies”
added Hildebrand.

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