Spring Real Estate Predictions for Toronto

Written by  //  2019/06/11  //  Buying Search  //  No comments

toronto real estate

Toronto real estate is a hot topic for anyone who lives in the area. As many know, prices in the past few years have skyrocketed as more and more people move to the Greater Toronto Area for work, culture, and city life.

It has been a seller’s market for some time, which has been great for current area homeowners. However, for those looking to break into the market to buy, home prices have become prohibitive. Many can no longer afford to buy in the city at all. And now, with stricter federal regulations for getting a mortgage, even fewer buyers are seeing a future for themselves in the big city.

But could things be changing? Are you wondering what to expect from the Toronto real estate market in the coming months? There are some big changes foreseen to come through this spring that have many current and potential homeowners keeping a close eye on the market. Here are just a few of the predictions made by experts for the Toronto real estate market this spring.

A Balancing Act

For a while, home prices in the GTA were skyrocketing, pricing many out of the Toronto real estate market completely. But this rise in home prices is slowing, which could be good news for buyers. However, sellers aren’t likely to be as happy with this change; the home prices in cities like Ottawa and Montreal are growing at a much faster rate.

Slow Growth

While prices may not be increasing as rapidly as they had been, it doesn’t mean that there isn’t still growth to be seen. However, the growth will be much slower and subtler than it had been in previous months. Prices went up from $748,325 in January to $780,397 in February, and more modest gains should be expected into the spring.

Higher Demand for Luxury Homes and Condos

All over Toronto, Canada, and much of North America as a whole, cities are more and more becoming places for the wealthy. That’s why when it comes to Toronto real estate, there will be a much higher demand for luxury homes and condos within the coming months. For those who can afford higher prices both for real estate and cost of living, rising prices shouldn’t be too much of a problem.

Relatively Steady Interest Rates

Any current or prospective homeowner looking at Toronto real estate should keep an eye on interest rates. The Bank of Canada is unlikely to raise interest rates more than once this year, which is good news for many. The current rate for a 30-year fixed mortgage is 4.375 percent, and this figure should remain relatively steady.

If you are looking into investing in some Toronto real estate, you are going to want to keep a close eye on all of these factors as you move forward with your sale or purchase. Having an idea of what the market is expected to look like in the coming months is important for buyers and sellers alike.

image credit: Pixabay

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