Turns out that last week’s less than stellar real estate numbers were not just the result of a minor blip in the stock market. We have identified the main culprit….turkey hangover. Yes, that key ingredient of the bird itself, tryptophan, doesn’t just make you sleepy it makes you slower to buy. How do we know? Well this week that nasty amino acid has dissipated and buyers and sellers have returned in full force.
Freehold listings improved by 8% last week, reversing a 4 week trend towards lower listings. With, albeit, a few more listings to look at, buyers have hit the streets again causing a 12% increase in sales and moving the needle on multiple offers from a year-long low of 45% to nearly 65%. Nowhere is the activity more apparent than in the east core where first-time buyers have been actively looking to break into the market forcing 7 out of every 10 listings to sell at or over the list price.
We also witnessed a slight increase in resale condominium listings last week. While the increase was only marginal (3%), sales rocketed up by 26% from the previous week. It is interesting to note that multiple offers have not backed off either with over 20% of the sales happening at or above the list price. Once again, the most active markets remain the east and west cores, both in the $400k-$700K range.
HERE ARE THE TOP FIVE TRENDING STORIES OF THE WEEK:
DEVELOPERS SHIFTING SIGHTS TO TWO-BEDROOM CONDOS
More of units now up for sale are aimed at young families who can’t afford houses, report says.
BANK OF CANADA RAISES RED FLAGS OVER TORONTO, VANCOUVER, CALGARY HOUSING MARKETS
The Bank of Canada is raising red flags about the Toronto, Calgary and Vancouver housing markets.
CMHC: WE DON’T KNOW HOW MANY FOREIGN INVESTORS ARE BUYING CANADIAN HOMES
Canada’s government-run mortgage insurer has admitted it has little grasp on how much of the housing market is now owned by foreign investors, but insists the issue is not a problem.
BMO FALL HOME BUYING REPORT: TWO PERCENTAGE POINT RISE IN INTEREST RATES WOULD STRAIN AFFORDABILITY FOR MAJORITY OF HOME-BUYERS
The majority of Canadians currently in the market for a home would be forced to change their buying plans in the event of a two percentage point rise in interest rates, according to survey results in a BMO Home Buying Report released today.
WHY ARE CONDOS STILL BEING BUILT IN TORONTO, CALGARY AND VANCOUVER?
Kevin is a 27-year-old Vancouver resident who makes about $50,000 a year as a graphics designer and has $520,000 worth of debt — an amount he feels quite at peace with.