TORONTO AND AREA REAL ESTATE MARKET NEWS BLOG

Toronto real estate. Countdown begins to interest rate hikes

2010-03-08T18:00:00Z

The Bank of Canada took its first steps in March toward returning the country to more normal interest rate levels by signalling a more hawkish tone on inflation and acknowledging the economy is performing better than expected on “vigorous” consumer demand. The messages were conveyed in the Bank of Canada’s latest interest-rate statement, which kept its record-low benchmark rate of 0.25% as is and pledged to keep it there until July. But most bank watchers took note of subtle changes...(read more)

MORTGAGE NEWS. February 2010

2010-02-23T06:10:00Z

The average Canadian's debt-to-income ratio amounted to 145% after the home prices hiked five times, the average persons' after-tax income. The report from Vanier Institute said that the mortgage arrears were up by 50%, although the absolute number of arrears was still ultra-low by international standards. The media suggests increase in defaults. The housing market has seen prices and sales activity rise rapidly. Finance Minister Jim Flaherty tightened mortgage rules. Mr. Flaherty's changes...(read more)

Toronto real estate. Bank of Canada keeps rates the same...again

2010-02-02T05:55:00Z

Once again, the Bank of Canada announced it would keep the key interest rate at a record-low 0.25 per cent to achieve its inflation target of two per cent. While the Bank said economic growth in Canada resumed in the third quarter of 2009 and there has been a slightly higher than expected rate of inflation in recent months, it reiterated that the economy is still lagging, particularly due to factors like a strong Canadian dollar and low levels of U.S. demand. Repeating many of the same projections...(read more)

Toronto real estate. Sales growth is widespread in Ontario

2010-01-26T01:13:00Z

Greater Toronto-area house hunters were out buying up real estate, to the tune of 1,749 sales of existing homes in the first two weeks of this year, the Toronto Real Estate Board says. This was almost double the 888 sales recorded for the same period last year (granted that was when the market was suffering the agonies of the recession). "It is important to consider that base-year effect. We're comparing a market well into recovery versus a market that was going through a recession,"...(read more)

Toronto real estate. GTA REALTORS Report December Mid-Month Resale Housing Market Figures

2009-12-20T07:14:00Z

Greater Toronto REALTORS reported 3,079 existing home transactions in the first two weeks of December compared to 1,487 in 2008. The strong growth represents both increased home ownership demand and the fact that we are comparing the recovery phase of the sales cycle this December with the contraction phase experienced last winter. Year-to-date sales, at 84,888, were up 16 per cent compared to the same period last year and have moved in line with the healthy levels experienced in the 2004 through...(read more)

Toronto real estate. TORONTO REAL ESTATE MARKET CONTINUE TO SURPRISE

2009-11-27T05:23:00Z

Toronto housing starts have risen for three months in a row, CMHC says in a report released this week. The seasonally adjusted annual rate of total housing starts rose 13% in October from the month prior, Canada Mortgage and Housing Corp. says, to a total of 34,200 units. Single-detached starts have remained stable, but condo starts have once again started to inch ahead. But those figures are still well below the starts posted in October 2008. For Ontario, starts in urban areas (those with a population...(read more)

Toronto real estate. GTA home sales up 64%, prices up 20%

2009-11-10T06:29:00Z

GTA home sales skyrocketed 64%, with gains at every price point, says the Toronto Real Estate Board. Nearly 8,500 homes were sold, up 64% from last October, with the average price at $423,559 - up by 20% compared to the same month last year. “It has been GTA-wide,” Jason Mercer, TREB’s senior manager of market analysis, said today. ‘‘The 416 neighbourhoods versus the 905 neighbourhoods are all pretty much in line and the same applies when we’re talking about price.’’...(read more)

Toronto real estate: Interest rates to remain at historic lows

2009-10-26T20:21:00Z

Interest rates will likely stay at their current historic lows through June 2010 in an effort to meet the Bank of Canada's inflation target of two per cent, says governor Mark Carney. Speaking to CTV's Question Period Sunday, Carney confirmed speculation that interest rates would remain at 0.25 per cent, the lowest rate Canada has ever seen, well into next year. When asked if Canadians should lock in to five-year mortgage terms on the news, Carney demurred. "It's not my job to give...(read more)

October 2009 mid-month real estate statistics from TREB

2009-10-20T02:57:00Z

In the first two weeks of October, Greater Toronto REALTORS® reported 3,631 sales – up 34 per cent compared to the first two weeks of October 2008. The average price for these transactions was up 17 per cent year-overyear to $414,479. "While demand for existing homes has remained strong, it is important to recognize the context of current statistics. We are now making comparisons to the fall of 2008 when we experienced a marked decline in sales and average price," said TREB President...(read more)

TORONTO REAL ESTATE MARKET, ONTARIO REAL ESTATE MARKET IN SEPTEMBER 2009

2009-09-22T21:42:00Z

August numbers continued the positive trend set in July with sales and average prices up, year over year. 2009 has thus far continued to surprise market watchers. “We are seeing an upward revision of our housing market forecasts at the national level,” says Bonnie Wegerich, President of the Calgary Real Estate Board. “I think it is fair to say the recovery in the market has been a little brisker than first expected—and all signs indicate the rebound, all be it gradual, will...(read more)

TORONTO MORTGAGE NEWS

2009-08-20T16:24:00Z

As the economy begins to creep out of its economic rut, the market has begun to speculate on when interest rates will rise. The Bank of Canada pledged in April to hold interest rates at 0.25% until the end of June, 2010. The move was designed to ease credit pressures on financial institutions and consumers as the recession intensified. However, the pledge -- an unconventional monetary policy tool used to keep short-term interest rates and mortgage rates low -- came with an exit clause. If price inflation...(read more)

Toronto real estate. TORONTO HOUSING MARKET IS RECOVERING

2009-06-16T02:13:00Z

According Canadian Real Estate Association housing prices are recovering, with the average resale price in May – skewed by an increase in sales activity in the country's most expensive markets – reaching the highest level on record. “National resale housing market activity returned to pre-recession levels in May, 2009. The rebound in activity is being led by an increase in transactions in some of the most expensive markets in the country, which is skewing the national average...(read more)

Toronto Real Estate Market Sets Records in early May 2009

2009-05-21T05:35:00Z

There are more signs of stabilization in the local real estate market. Interest rates are at a record low for a five-year, fixed-term mortgage, still the most popular product among homeowners. Some banks are offering rates as low as 3.75%, if the buyer locks in for a full five years. But variable rates, tied to prime, have also continued to drop as the Bank of Canada has lowered rates. The average house price of a single family home in Toronto has reached record levels. Last year, in the first two...(read more)

Canada housing more affordable than ever

2009-04-20T20:14:00Z

The global economic downturn is a mixed blessing for home buyers - if you're lucky enough to hang on to your job, you should be in a much better position to buy a house, according to a report released Thursday by RBC Economics. "Declining consumer confidence amid dimming employment prospects and the turmoil in credit markets have had a predictable impact on Canada's housing markets -- home sales have dropped, prices have given into intense downward pressure and residential construction...(read more)

NOW IS A GREAT TIME FOR 1 ST-TIME TORONTO AND GTA BUYERS

2009-04-15T00:07:00Z

When the Toronto and GTA housing market was hot, bidding wars forced many buyers to put in offers without conditions to increase their chances of being accepted. This, combined with unprecedented increases in home prices, scared many first-time buyers out of the market. But the economic downturn changed all that. As housing prices fell and lenders lowered their mortgage rates to attract borrowers, the Toronto market became much more attractive to people looking to buy their first homes. The average...(read more)