Although we are only into the first two weeks of June, a close eye has been kept on the real estate market in Toronto. House sales are still dropping and new listings are still hitting the market.
Realosophy has found that home sales (detached, semi-detached, and towns) across the region were down 44 per cent last week compared to the previous week.
With our market being so volatile, John Pasalis, Realosophy President, has been tracking weekly sales. To compare, the Toronto Real Estate Board (TREB) only tracks statistics on a monthly basis. Pasalis is noticing a downward trend week after week.
John has found that:
- York Region is showing a 60 per cent decline
- Condo sales have dropped for the 5th week by 22 per cent; 11 per cent increase in listings
- Re-sale homes on the market rose 43 per cent last month compared to the previous year
- Last week was the 8th consecutive week that sales declined
- 7 per cent decline in sales in York from April to May; prices increased 1.1 per cent
In addition, a number of sources are still saying there is no hard evidence that limiting foreign buyers are the reason for this decline, and that there is an influx of inventory coming into a busy market.
With more supply, it is allowing buyers to have choice and the ability to request conditions (such as home inspections), which they may have not included in their offers prior to government involvement in Toronto's market.
Again, the city of Toronto and it's inhabitants will have to wait it out and see, as it is still too early to identify what is working for the city, and what will need to be improved. With changes in the market happening week after week, buyers will have to determine when they feel they are safe to purchase and/or sell. Do they wait it out, or jump in? Many believe we'll have to wait until September to see what people truly think about the market.
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