10 Insights Into the Toronto Real Estate Market
Are you looking to buy, sell, or invest in a home in the Toronto area? Are you interested in knowing about trends in the Toronto real estate market?
The Canadian housing market has been taking some interesting turns lately. It’s important to know what you’re getting into before you make a major move or investment.
Here’s what you need to know.
1. Home Prices Will Increase Steadily
If you’re looking to downsize or move out of town, this may be a good time to sell your home. You’ll also want to know about appreciating value if you’re looking to invest.
The national average in real estate prices is expected to rise by over 9% in 2021. This is due to a number of trends that include a shift in the job scene.
2. Single-Family Homes Are Becoming Popular
As young professionals settle down and begin families, the demand for single-family homes continues to increase. If you’re looking to sell, now could be a great time to get top dollar for your home. If you’re looking to purchase a home, know that you may have to be patient before you find something you’re happy with at a price you can afford.
Similarly, investors can know that they will have no shortage of folks who are willing to rent while they’re waiting for their dream house to come on the market. Families need places for everyone to sleep, as well as separate entertaining and work areas. While detached homes are typically more expensive than condos, they are an investment that homebuyers are willing to make for the future of their families.
3. Toronto Neighborhoods Have Different Home Types
If you’re familiar with the area, you know that each Toronto neighborhood boasts a unique flavor. Yorkville, for example, is a popular and quickly growing upscale neighborhood. You can find lovely gems of single-family homes as well as condos. The neighborhood is known for its exclusive shopping.
The Annex, by contrast, is a student neighborhood known for its coffee shops and independent bookstores. You’ll find a lot of condos and unique historical homes.
Before investing in the Toronto area, know where you’ll be able to find the type of home you’re looking for at the right price. Look at the companies that are moving in, as well as amenities like schools, parks, and transportation. You’ll want to know that you’ll get your investment will really pay off when the time comes to sell.
4. Lower Interest Rates Will Continue
If you’re looking to take out a mortgage in Canada, know that lower interest rates are expected to continue.
Lower interest rates are used when the Bank of Canada is looking to encourage spending. They predict that rates will continue to remain low until 2023.
5. Available Listings Are Dropping
August saw a huge drop in listings available in the area of 43%. This means that the price of single-family homes will continue to rise, but you’ll also see an increase in condo prices.
What this means is that buyers will be competing for a little more than half of the number of available listings there were before. If you’re a buyer, you’ll need to hustle.
6. Home Designs Are Changing
COVID saw a rapid increase in the number of remote and hybrid workers. This means that home is now a place where homeowners are spending more and more of their time.
There is an increasing demand for highly functional home offices, as well as multi-functional spaces that can get used as gyms. As with traditional office spaces, close-by neighborhoods to walk for coffee or a lunch out have become a great selling point for homes.
7. Big Decisions Are Being Made Online
In today’s increasingly seller-friendly market, many buyers and renters are making important decisions based on virtual plans and photos. Interested parties will then narrow down their decision and only visit a few properties.
If you’re a seller, you’ll want to take advantage of all mediums possible if you want to attract the highest-quality buyers.
8. Transactions Are Being Completed Virtually
Much of the offer-making and signing that have traditionally been done online are now moving into the virtual realm. For example, you may be able to submit an offer amount and move-in date right on the listing. This can give buyers an edge in an extremely competitive market.
9. Prices In Cities Remain High
Since the pandemic lockdown, many individuals, couples, and families have made a move to the suburbs because of the change in commuting requirements. Demand for urban housing in Toronto, however, remains high.
While mellenials may be looking for walkout properties a little further away from downtown, many are still interested in buying urban units. Condos are still popular among first-time homebuyers.
10. Be On The Lookout for Semi-Detached Homes
Semi-detached, or row, homes are quite popular in the market this year. They give first-time homebuyers the opportunity to own multi-level homes without being solely responsible for exterior property upkeep.
Semi-detached homes provide more space than a condo with a more affordable price point than single-family units. Their sales are expected to be fast at the end of 2021.
The Booming Toronto Real Estate Market
Housing prices are soaring as we near the end of a pandemic lockdown, and the Toronto real estate market is no exception. With so many convenient, adorable homes in the area, it’s a great time to sell or invest. Toronto is a city that will continue to be popular with homebuyers for years to come.
Don’t stop getting smart about your home and lifestyle now. For more great advice, read our blog today.