The market stats for June 2020 have been published by all the real estate boards, and the results may surprise you… prices across the GTA for single family residential (excluding condos) are UP significantly over the same time frame last year. And by significantly, they are up 8-16% depending on neighbourhood and type of home. Wow, right??
So the million dollar question is, WHY??
A couple of reasons that are really obvious when we look at the sales data – the number of new listings in June was still down, anywhere from 30-40%, from June 2019 and also year-to-date compared to the same timeframe last year. The number of people willing to buy homes hasn’t gone down the same way. People have been coming out of isolation, taking advantage of historically low mortgage rates to get into the market, or to move to a larger home. Supply & demand has resulted in upwards pressure on prices.
Second question – will this continue? Nobody has a crystal ball, so there is no way to predict what will happen the rest of this year. Mortgage brokers and financial analysts that I work with, all seem to agree that interest rates won’t increase any time soon. And people need a roof over their heads.
Here is the Oakville chart prepared by my brokerage for June 2020. And take a look at the average price increase… crazy, right? Keep in mind, that is AVERAGE prices of ALL types of homes and condos. Bringing up that average were a number of sales in higher price points, and fewer condo sales at lower price points.
Want to know what happened in your neighbourhood in June?? I love number crunching and am happy to dive into the sales in your area to give you a clear picture of the real story, not just the click-baity media headlines. From Brampton to Burlington, I have you covered.
To make it easy to talk with me, just use this link to pick the day and time that works for you and let’s get started.
As always, I am here to help and answer any questions you have, and I am never too busy for your business and referrals to friends and family.
Stay cool and healthy.