Verity’s Market Update – January 2020
Brandon Ware highlights some of the most poignant facts and figures about Toronto’s ‘core’ real estate figures.
Notable stats from this past month:
1. Toronto’s unemployment dropped to 5.7%
2. Inflation jumped to 2.2%
3. GDP Growth (over previous quarter) – 1.3%
Toronto’s ‘downtown’ real estate values for the month of December, 2019:
1. Average Detached Home Price – $1.57mil
2. Average Semi-Detached Home Price – $1.325mil
3. Average Condo Price – $723,000
Of particular interest:
There were very, very few active listings in Toronto’s east end (Riverside, Riverdale and Leslieville) which will likely result in bidding wars for most home types in Jan 2020.
The rental market was lagging and some properties are sitting on the market for longer than most landlords expect. An interesting turn from the quick/rapid lease of most properties throughout 2019. The rental market is still quite active but there is some resistance as rents have increased at a much faster rate than the average income of Torontonians.
B’s final comment:
Be careful buying new construction condos at $1300-$1500psf this late in the housing cycle. Many buyers are buying based on their past experience and not accounting for potential interest rate increases and future rental rates when investing.
Happy home hunting!