No Nosedive Ahead for Canadian Real Estate Prices: RE/MAX

Canadian real estate kicked off 2020 with a bang, but there are conflicting opinions as to how we’ll finish out the year. Canada’s federal housing agency has warned that average house prices could fall by up to 18 per cent over the next 12 months – a dismal prediction that’s being challenged by RE/MAX based on market… Read More

Toronto Area Prices and Sales Plunge in April

The COVID-19 restrictions that were imposed in late March have caused both sales and prices to fall steeply in April. Sales for all property types fell by approximately 2/3 as compared with last April, while listings of properties for sale were about the same, so the inventory increased by almost a factor of three, from… Read More

Canadian Government Supporting Mortgage Market

Soon after the COVID-19 lock-downs began last month, signs started to appear that the mortgage market was headed for a credit freeze, where mortgage lenders would be unable or unwilling to keep lending to homebuyers. A credit freeze would likely crash the real estate market – if mortgage lending isn’t possible, home sales would collapse… Read More

COVID-19 Thins Out Toronto Market

Oh what a difference a month has made. Overall, results for the month of March were very good, though not quite as strong as February. Total sales were up by 10% and, while active listings were up by 20%, the overall inventory of homes for sale was only slightly higher than in February and still… Read More

2017 Redux Continues in Toronto

Prices for both condominium and freehold properties continued upward in February, following the trail blazed in early 2017. The market for condominium apartments, in particular, is on fire, with prices 22% higher than last February and 8% higher than the most recent all-time high reached last November. Prices for freehold properties (mostly detached homes) also… Read More

Changes Coming To The Mortgage Stress Test

The ‘stress test’ for mortgage qualification in Canada requires that homebuyers must qualify for a mortgage as if the mortgage interest rate were higher than the actual rate they will get. The idea is to determine that the applicant will be able to keep up with the payments if interest rates should rise.  That ‘higher… Read More

Toronto Market Continues to Accelerate

It’s beginning to look a lot like 2017. Three years ago we had an insane spring market, with house prices rocketing upward by 20% and then crashing back down to where they started. The entire process only took about five months from beginning to end. The bubble was driven primarily by extremely low inventory of… Read More

Mortgage Rates Are Falling, But This May Not Affect Prices

Largely because of the Novel Coronavirus and the resultant ‘flight to safety’ among investors, Government of Canada bond prices are being bid up, and this means that the corresponding interest rates are falling (bond prices and interest rates move in opposite directions). The major banks’ fixed mortgage rates are tied to these bond rates, and… Read More

Strong December Bodes Well For Toronto Homes In 2020

The breakout trend for Toronto area freehold properties continued in December. Prices were a stunning 11% higher than last December and sales were 25% higher. Even more surprising, prices in December were actually higher than in November, which almost never happens. Despite the relative weakness in the first 8 months of 2019, total year sales… Read More

Luxury Toronto Real Estate Sales Over $5 Million Increasing

After a soft start to the year, sales of luxury Toronto real estate is on the upswing, surpassing 2018 trough levels. Year-to-date sales in the GTA of freehold and condominium properties priced in excess of $5 million topped 100 units between January and October 31. This is up 8.5 per cent from the 94 sales… Read More