It seems we were bombarded with doom-and-gloom real estate reports all winter long, unending forecasts of a real estate crash in Toronto. As real estate agents, we know that the spring season (defined more by the calendar than the actual weather) is the busiest season of the year – and an excellent barometer of the health of the real estate market.
While we await the latest official statistics, here’s what we’re seeing and feeling on the front lines:
- There isn’t enough inventory of homes for sale – from semi-detached and detached houses, to cool lofts, fixer-uppers and investment properties, there isn’t much of a selection out there. Buyers are ready to buy, but aren’t able to find what they want – and if they do, it’s sold in less than a week.
- Bidding wars aren’t guaranteed – while high-demand styles and locations are still selling in multiple offers, the bidding wars for the most part aren’t nearly as vicious as years past.
- There are lots of traditional condos on the market – they’re taking longer to sell, but they’re still selling. We haven’t seen a mass exodus of investors looking to sell. Sellers who aren’t able to sell their condo for the price they want are simply turning to the rental market.
- Toronto’s real estate market has NOT CRASHED – I predict prices will be up again in April, and based on the traffic to our websites and the number of calls and e-mails we’re getting, I suspect we’re in for a continued busy spring.
- New condo builders are slowing down – fewer new condo projects are being announced and it seems construction timelines for existing projects are being pushed back. Builders are responding to the concerns about over-supply and are helping curtail the number of new units coming on the market.
- Partially built condos are looking to move their remaining inventory – there are some exceptional deals to be had.
- The rental market is kind of nuts – rents are up and landlords are controlling the market now more than ever.
Our best advice?
If you’re looking to sell: take advantage of the low inventory before your neighbours decide to sell too
If you’re looking to buy a house or loft in downtown Toronto: be ready to move quickly and work with an agent who understands the game and strategy
If you’re looking to buy a traditional condo: make sure you’re working with an agent who knows how to negotiate in a Buyer’s market
If you’re thinking new construction: buy a condo that’s already begun construction and has inventory to sell
If you’re lost and don’t know where to start: give us a call or send us an email, we’d be happy to help!