What Housing Market Slump?
Amid all the speculation that we were headed toward a crash, well based on the Toronto housing market numbers in May, this could not be further from the truth. Toronto home prices reached a record high this past month, again reassuring homeowners that there is no need to worry and now is as good of a time as ever to think about selling.
Record Home Prices in May
Toronto’s housing market continues to buck the national trend and beat all the predictions from experts in the industry. The average price of a house in the GTA hit a record $542,174 in May – this is more than a 5 per cent increase when compared to the same time last year, which saw an average sale price of $514,567 in 2012.
Many were concerned about the performance of the market leading into the spring, especially since the weather was not co-operating as we have been experiencing lower than average temperatures and more rain than normal – all factors that usually slow activity in the real estate market.
Both detached and semi-detached homes saw an increase in numbers, while the only area to slow down was townhomes. So, if you are looking to get a good deal, now is the time to think about investing in a townhome if you are looking for a starter home.
What about the Condo Market?
The condo market has been scrutinized considerably over the past few months and skeptics continue to wait for it to crash – but it refuses to co-operate as even condos saw price gains of 1.2 per cent in the City of Toronto and in the 905 region, which is good news for the industry.
These numbers again reaffirm that there is no sign of a crash in the near future and many experts believe that this trend is leading toward a rebalancing of the condo market. More first time buyers are seeking out condos and many developers have wisely re-strategized and cut back on new developments in the GTA.
What does this all Mean? It’s a Great Time to Sell!
So, housing prices have gone up and there is a shortage of homes in the market. What does this mean for homeowners? Now is a great time to sell as home values are up and there are fewer homes available on the market.
Toronto is currently experiencing a large shortage of available homes at a time where the demand continues to be strong. New listings are not growing as fast as they need to, in order to meet the demand. Therefore, homeowners should not have a problem getting their asking price as long as it is fair market value.
If you are one of those people that was waiting for the right time to sell, this information should be all the reassurance you need to give your agent a call and put your home on the market – it probably won’t be on the market for long as homes are quickly being snatched up by buyers across the city.