February 6, 2018 -- The Toronto Real Estate Board announced that Greater Toronto Area REALTORS® reported 4,019 residential transactions through TREB's MLS® System in January 2018. This result was down by 22 per cent compared to a record 5,155 sales reported in January 2017.
Sounds bad right? But if you remember that last January we were in the craziest market in the history of this country then a 20% dip in number of sales doesn't sound so bad. It's actually pretty normal which is not something you can say about the Toronto market very often.
There were still more than 4,000 sales and if you consider that the number of new listing in January 2018 was the second lowest for the month of January in the past 10 years.
"TREB released its outlook for 2018 on January 30th. The outlook pointed to a slower start to 2018, especially compared to the record-setting pace experienced a year ago. As we move through the year, expect the pace of home sales to pick up, as the psychological impact of the Fair Housing Plan starts to wane and home buyers find their footing relative to the new OSFImandated stress test for mortgage approvals through federally regulated lenders," said Toronto Real Estate Board President Tim Syrianos.
The overall average selling price was down by 4.1 per cent year-over-year to $736,783. This decline was weighted toward the detached segment of the market. In the City of Toronto, the average selling price was up for all home types except for detached houses. Condo prices were robust throughout the last year.
A year ago, detached home prices in the GTA were getting way out of hand. The fact that there is more inventory for buyers to choose from is a good thing. The fact that prices have stabilized is a good thing. Mark my words though, this will not last.
When the market is in flux like it is now, there are plenty of opportunities for investors and shrewd home buyers. If you're contemplating a purchase this year let me show you where and what you should be buying and what neighbourhoods to avoid.
Contact me now!