Prices Hold As Inventory Builds ??

You’d have to dig pretty far back in GTA real estate to find a market comparable to the one we’re witnessing today. After all, the traditionally ‘busy’ fall season has been anything but. With barely 2,100 transactions so far this month, we’re seeing some of the lowest sales numbers for an October market in years.

Some good news on the horizon — the recently announced inflation numbers for September came in better than expected at 3.8%. This signals that our economy, while still in rough shape, is headed in the right direction.

As households grapple with higher interest rates and a cost-of-living that’s becoming harder to maintain — Canada’s economic climate is having an impact on Ontario real estate. Buyers have more negotiating power, especially in the condo market, where prices have plateaued.

In the current GTA landscape, condo buyers have a slight advantage over sellers. House buyers, on the other hand, find themselves on equal footing. Of course, these trends can vary considerably by city and neighbourhood.

As the number of overall listings continues to rise, we could see the price plateau eventually break, and values ultimately decline. We have not seen that happen as of yet, though.

Condos are sitting on the market for an average of 26 days, while houses are sitting for 18. Although freeholds are performing a bit better, the reality is true for sellers across the board: Multiple offers are not happening.

If you're a buyer waiting for the right moment, keep in mind there's a greater selection of listings available now than we’ve seen in years. For those renting and hoping for prices to fall, it's worth noting that sale prices would have to decline by an amount that outpaces your lease for you to truly benefit from a market downturn — with the average annual rent at about $30,000 for Torontonians.

Condos are currently selling for $818 per square foot, relatively unchanged from last October. Freeholds are actually up slightly with the average sold price at $1,390,000 — an increase of $31,000 since last year.

The GTA rental market has cooled off, with the average lease declining ever so slightly. Tenants are typically paying $2,944 per month, down $26 since August. But looking year-over-year, leases are still up by 4%.

With that we sign Off!