Sunshine, heat and a cooling market: June 2023 Market Update
The summer heat might finally be here but June's data from the Toronto Regional Real Estate Board tells us that the GTA real estate market isn't faring the same. Let's take a closer look...
Breaking It All Down
What do the number of sales, new listings and prices all have in common with the GTA’s June real estate report?
Up. They are all up.⬆️ All of them.🤩
But don’t get too excited just yet. Here’s why.
The number of sales are up year over year (the sign of active buyers and sellers - yay!) but we are down since last month. Alot. 20.46% to be exact. This was largely due to uncertainty that loomed around the Bank of Canada’s forecast on rates.
And new listings? Well they are up a bit too. Both since last year and since last month (although there really aren’t enough options for motivated buyers to find what they are looking for). An increase in listings could also be a sign that some sellers might be concerned about another looming interest rate increase and want to get ahead of the effect it could have on sale prices.
The Price Is (Not As) Right💰
Speaking of prices. We are still up a bit year over year by 3.2% however June was the first month (since January) that prices didn’t continue to climb. We saw a drop from May to June and all signs are indicating that a downward price trend may continue throughout the summer market. Condos, townhomes and detached houses all saw a slight dip in average prices, whereas semi-detached homes, especially two kinds (the fully renovated to the nines or the gut me to the studs kinda semis) are holding strong with a small uptick in pricing in that home type.
The Key Issue: Supply🏘️
Even with a slight upswing in the number of homes for sale, the GTA’s ongoing housing shortage and affordability is still a hot topic in the news, rampant on social media and took priority in our recent municipal election. The government says they are committed to solutions; let’s hope we see some results sooner than later.
What Does This Mean For Me
Now more than ever, please don’t try to navigate real estate on your own. Lean on the expertise, skill and experience of professionals to ensure you are protected and make smart, effective decisions based on your personal plans. PS - that’s where we come in!😉