Pamela Vasiliu
Sales Representative
pvasiliu@remax.net

RE/MAX Professionals Inc.
Brokerage
Independently owned and operated.

Date: Monday May the 28th, 2018 
416-236-1241

 

   

Housing Market Outlook 2015

December 10, 2014 - Updated: December 10, 2014

GREATER TORONTO AREA

The residential real estate market in Canada’s largest city continued showing healthy market activity in 2014, with both the average residential sale price and the number of transactions showing an increase over the previous year. Inventory continued to be very low among freehold properties and average days on the market fell from 25 the previous year to 23.The average residential sale price is projected to increase four per cent in 2015. With rising prices and limited inventory, potential buyers will need to be well prepared and informed when entering the housing market next year.

In the past, modest, but under-valued, homes sold for hundreds of thousands of dollars above asking price in some areas of the city and the effect was that buyers entered the market with no certainty about what kind of home they could afford. In turn, sellers came to the conclusion that their homes were all of sudden worth more than they actually were.

More realistic pricing in 2014 has inspired confidence among buyers—a trend that
is expected to continue in 2015.Toronto should remain a seller’s market, although the condominium market is projected to be more balanced as developers release inventory and investors seek to unload their units. Many first- time buyers should continue to look to the condominium market, attracted by affordable options in convenient locations. Downsizers may not play as much of a role in this market as had once been expected, as many buyers in this group have been deterred by unpredictable assessment funds and condo fees.

The recent municipal election has brought a feeling of stability to the city, which generally proves well for local real estate. With political stability and the city set to be showcased by the 2015 Pan AM Games, pent-up demand may result in strong price appreciation in the latter portion of 2015.The luxury market will continue to display strength, as wealthy buyers are comfortable absorbing any modest price fluctuations. However, as inventory for freehold homes continues to be at historic lows, the city is projected to be poised to have another strong year of price appreciation.

MISSISSAUGA

Mississauga, which borders the City of Toronto on the west, has grown by leaps and bounds over the past several decades. While its growth is typified by suburban developments, the city also boasts leafy neighbourhoods, lakefront properties and a burgeoning downtown.These factors, along with its transit links to downtown Toronto, are driving demand for residential property in Mississauga among a range of buyers.

Mississauga’s real estate market picked up in the second half of 2014 following
a long and cold winter and historically late start to the market.Typically, the spring buying and selling season begins
in February, whereas last year it started in May. Pent-up demand made for a busy summer season and more fall activity than is typical.The average residential price is expected to rise between two and three per cent in 2015 with inventory levels remaining steady.

New luxury homes on leafy lots in neighbourhoods such as Lorne Park and parts of Port Credit are enticing wealthier buyers and bringing a more multicultural character to the area.A regular train service from Port Credit to Toronto and new condominiums in

downtown Mississauga are attracting younger buyers to those areas.

In Mississauga’s brisk housing market, well-priced homes sold within days in 2014, although properties over $1 million typically had listing periods of between one and two months.A seller’s market is expected to continue through to 2015 but soften modestly, especially in the luxury segment where it is moving closer to a balanced market.

OAKVILLE

The market for residential real estate in Oakville, an affluent community situated on the shores of Lake Ontario between Toronto and Hamilton, showed strong growth in 2014.The average residential sale price rose 12 per cent over the previous year, to approximately $800,000 in 2014 from $715,000 in 2013. With less inventory on the market than innthe previous year, days on the market fell from an average of 32 in 2013 to 27. Oakville’s residential real estate market is expected to remain robust in 2015, with the average sale price increasing by an estimated five per cent.

While Oakville remained a seller’s market in 2014, it began shifting to a more balanced market in the late summer and fall.Appropriately priced homes moved quickly and with competing offers, while homes priced above their market value were slow to sell. First-time homebuyers play a very marginal role in driving this market, as most properties are comparably expensive.

What would be considered a luxury home in many communities across Canada is typical in Oakville. Entire neighborhoods comprise homes over 3,000 square feet outfitted with premium finishes like walk-in closets and chef’s kitchens—and price tags around $1 million.The luxury market is driven by buyers who value the quality of the area’s schools, amenities and lakefront.

New Canadians from China are playing a growing role in the market as well, purchasing lakefront properties, some of which exceed $10 million.

All signs point to continued strength in the Oakville market in 2015.While the number of listings is expected to remain consistent, a decrease in inventory is projected to result in an increase in

the average residential sale price. New construction in the north end of Oakville and a soon-to-be-completed hospital is expected to play a role in driving demand. 

 

 


Tagged with: junction triangle roncessvalles village high park west toronto realestate household tips homes news ideas
| | Share

Powered by Lone Wolf Real Estate Technologies (CMS6)