There is no question in our minds that the mild winter has moved the spring market well into February. One problem still exists however...Sellers didn't get the memo. Like most of last year we continue to struggle with low inventories, a situation that has many puzzled. There is some strength to the arguement that economic uncertainty plays a part in the lack of listings but that seems to be a national concern rather than a local issue. Affordability seems more likely as the culprit within the freehold sector, as the average home across the GTA has increased over $100,000 in the last year.
Despite a continued increase of listings over the last few weeks it is important to note that overall listings for freehold homes are down significantly from last year at this time despite the influences of a brutal winter of polar vortexes. Sales are marginally higher than a year ago but the percentage of sales at or over the list price is somewhat lower hinting at the idea that while inventories are down, listing prices are generally being set closer to market value. One notable market segment is the $700K-$1.5M segment in the central core where last week all sixteen sales sold above the list price.
We believe the condominium sector is filling in the gaps left by an ever appreciating freehold market. While listing inventory levels are similar to those recorded one year ago it is clear, by the 22% increase in sales, that the downtown core is seeing a Manhattanization of the housing stock. Increasing demand continues to push condo values higher as well as the number of suites selling at or over the list price (now sitting at 29.1% compared to 13.7% a year ago).
Bosley Real Estate Ltd. is a full service boutique brokerage operating in Toronto, Niagara-on-the-Lake and Jordan, Ontario since 1928. We have four centrally located offices and over 250 sales representatives selling and leasing homes and condominiums in all the vibrant communities we work in. Our brand is well recognized internationally thanks to our unique affiliation with Leading Real Estate Companies of the World. Our sales teams meet weekly to discuss market conditions, trending topics, and anecdotes that more accurately report on the true temperature of the real estate market.