Have you heard? The Toronto spring real estate madness is underway. Several significant home sales happened this week including 32 offers on a $650k house in the west end and 6 offers on a $2M in the central core. We were right in the middle of both offers with several of our agents. What’s causing this excitement? Simple math…pent up demand plus a lack of inventory. Well, as with any spring market, the tide seems to be turning on the inventory problems. Freehold listings increased to 289 units in the core, nearly 250% higher than the previous week while condo listings increased by 147 units (or a 73% increase) over the same period.
The pressure on available freehold homes appear to be easing although that seems hard to believe given the recent highlighted sales. Sales have kept a strong pace, with nearly double the activity over the previous week. The busiest part of town this week is the central core (in the $700K to $1.5M range) where over 50% of the sales happened in multiple offers.
Condominiums have followed suit with a rise in listings particularly in the slower moving higher end ($1.5M to $3M range). Though not as extreme as the freehold sector, we think it is prudent to keep a watchful eye on inventory levels over the next few weeks. Sales remained strong however with a jump of 70% across the core this week and nearly 20% of those sales occurred at or above the list price.
We also want to make our readers especially aware of our recent inclusion in The Leading Real Estate Companies of the World. This relationship gives us and our listings global exposure to over 500 of the finest residential real estate firms which produce more annual sales than any other affiliation or network. This is a truly exceptional honor for us.
HERE ARE THE TOP FIVE TRENDING STORIES OF THE WEEK:
REAL ESTATE CHEAT SHEET: WILL HOUSE AND CONDO PRICES EVER FALL?
All the laws of Newtonian physics suggest that a thing simply can’t go up and up forever. And yet, Toronto’s real-estate market seems to exist in a universe where “down” isn’t even a concept.
ROYAL BANK QUIETLY CUTS SOME MORTGAGE RATES
Royal Bank of Canada, the country’s largest mortgage lender, has quietly cut some of its mortgage rates this weekend. The move appears to be part of a broader dip in rates, although economists generally still expect an increase in 2014.
IN HOT TORONTO MARKET, ONE HOME DRAWS 32 BIDS
Despite frigid temperatures in Canada’s biggest city, Toronto’s housing market continues to be on fire.
130 HIGHRISE BUILDING PROJECTS IN TORONTO LEAD NORTH AMERICA
Toronto still has more highrise buildings under construction than any other city in North America, but the gap between Canada’s largest city and second-place New York City is getting smaller.
HOUSING MARKET ‘STRONGER THAN EXPECTED’
The latest real estate results look impressive for seven-figure homes but the story is not as dramatic once you factor out Canada’s two most expensive cities and look at three months of falling sales.