Market Update for the Week Ending September 13th, 2019 - Bosley Real Estate Ltd. Brokerage - Homes and houses for sale in Toronto including Cabbagetown, The Annex, Danforth Village, Lawrence Park and Riverdale

Market Update for the Week Ending September 13th, 2019

13 September 2019
Bosley Real Estate

Happy Friday the 13th. Ah September. Our favorite month. The kids are back at school, the days are still warm, the nights are cool and we are all getting back into a groove. For us, September means more listing and sales activity and its time to open the floodgates for new property inventory. August inventory levels were challenging at best, but there was a sales rebound in Toronto which means house prices are rising once again. With the number of homes available for sale down by 11 % over the past year, competition between buyers is heating up again and multiple offers are once again on the rise.

 Canadian homebuyers seem to be getting used to the new mortgage rules, and there have been some important changes at the federal level that are expected to help homebuyers:

  •   The mortgage stress test qualification bar was recently lowered from 5.34% to 5.19% increasing purchasing power marginally.
  •   The First Time Home Buyers Incentive (FTHBI) took effect on September 2, whereby eligible first-time buyers can get a shared equity government loan to help with the down payment.
  •   The Home Buyers Plan (HBP) withdrawal limit increased from $25,000 to $35,000, toward the purchase of a first home.
  •  Rumours of interest rate drops are circulating. Current mortgage rates can be found starting as low as 2.19% to as much as 2.89%.
The freehold sector witnessed a huge increase in new listings last week which clearly signaled the start of the fall market. There will be a week long lag in sales as the majority of these listings have offer dates for the following week.

The condominium sector performed similarly with an increase in new listings. Up 84% from the previous week with the centre of action being between $700K to $1.5M. While sales tapered off 10% over the previous week, activity continues to be strong with 42% of condos selling at or above the list price.

Bosley Real Estate Ltd. is a full service boutique brokerage operating in Toronto, Niagara-on-the-Lake, Port Hope and Cambridge Ontario since 1928. We have four centrally located offices and over 250 sales representatives selling and leasing homes and condominiums in all the vibrant communities we work in. Our brand is well recognized internationally thanks to our unique affiliation with Leading Real Estate Companies of the World. Our sales teams meet weekly to discuss market conditions, trending topics, and anecdotes that more accurately reflect the true temperature of the real estate market.

Here Are The Top Five Trending Stories Of The Week:

Toronto home sales jump 13% and prices climb 5% as demand outstrips supply

“A double-digit percentage increase in the number of Greater Toronto Area houses sold last month shows the region’s property market is “quite fine,” according to analysts, as it rebounds from mortgage controls introduced last year that sidelined some buyers.”

Real Estate In Toronto, Vancouver Sees Another Month Of Rebound

“Canada’s priciest housing markets, Toronto and Vancouver, continued their sales rebound in August, but while Toronto is seeing a return to moderate price growth, Vancouver’s steep declines in selling prices continued.”

Airbnb Made Toronto’s Housing Crisis ‘Significantly’ Worse: City

“The City of Toronto was on the hot seat at the start of a tribunal Monday that will determine the future of rules passed early last year to regulate short-term rentals like Airbnb.” 

How turmoil in Hong Kong could boost real estate prices in Canada 

“The fallout from Hong Kong residents’ months-long clash with China’s government could put further pressure on the real estate markets of Vancouver and Toronto, as well-heeled expatriates and new Chinese immigrants seek safety in Canada, say market observers.”

Interest Rates Are Plunging. Here's What That Means For Canadians' Lives

“These are strange times in the world of finance. The markets are spooked, with investors worried about the U.S.-China trade war, excessive debt levels and possibly overpriced stocks.”