Toronto Real Estate Market Watch 04/18
Did the bubble finally burst? Yes…..and no. If you’re asking if the market adjusted to correct from a 30%+ year over year gain, then yes. If the real estate market is in trouble, then no.
It also depends on where you’re looking. As always, the outskirts and suburbs are more vulnerable to market swings whereas hyper-local markets like the Beaches and Leslieville tend to carry more stability. In the Toronto market and specifically in the east end, we are definitely seeing a slow down in activity and prices, however we do not consider this to be a crash by any means.
We’re also still feeling the remains of government regulation in the last quarter of 2017 – a surge in activity that would typically take place in Q1 was seen unseasonable in Q4 of last year.
However inventory is still at approximately 2.5 months which means we are still in a seller’s market. Inventory would have to reach six months for it to flip over to a buyers’ market.
This rate of inventory has been consistent since last summer. The result? Despite lower average prices and lower sales activity, it’s still a competitive market, and we’re still seeing our listings going into multiple offers.
We’re here to help navigate the market so feel free to chat with us today…