Following is TREB’s market report for June 2016:
Toronto Real Estate Board President Larry Cerqua announced that Greater Toronto Area REALTORS® reported 12,794 residential transactions through TREB’s MLS® System in June 2016.
This result was 7.5 per cent higher than the 11,905 sales reported in June 2015.
In line with the prevailing trend so far this year, the number of new listings was down by 3.8 per cent.
Back in April, MPAC started mailing out their 2016 property assessment notices to property owners across the province of Ontario. If you don’t have yours yet – keep checking the mail; they should all be out by the fall.
I’ve spoken to a number of clients recently about their assessments, and most are asking the same two questions:
- The assessed value is significantly less than what we know our property is worth. Is this normal?
- The assessed value has increased since the previous assessment. Does the municipality increase my property taxes by the same rate?
These are both excellent questions! Below are my answers.
The market value of your property is very likely going to be higher than MPAC’s assessed value.
While some assessments in the City of Toronto do come-in fairly close to market value, MPAC’s numbers are usually quite a bit lower than what the property would sell for on the open market. Sometimes the difference is quite significant!
It’s not uncommon to see MPAC’s assessed value be hundreds-of-thousands-of-dollars less than the current market value (depending of course on price point, location, etc.).
MPAC relies on a number of factors when doing their assessments, but apparently recent comparable sale prices don’t weigh heavily in the process!
Following is TREB’s market report for May 2016:
Toronto Real Estate Board President Mark McLean announced that there were 12,870 home sales reported through TREB’s MLS® System in May 2016.
This result represented a new record for the month of May and a 10.6 per cent increase over the same period last year.
In contrast, the number of new listings was down over the same time frame by 6.4 per cent.
The decline in listings was experienced in both the low-rise and condominium apartment market segments.
How would you feel if you purchased a home in a particular neighbourhood specifically because of the school catchment, only to find later that your child would actually be going to a different (less desirable) school?
That’s basically what’s happened to a bunch of young families who live in Liberty Village.
Up until April of this year it was understood that Liberty Village was part of the Givins/Shaw catchment.
About halfway through the month though, a letter went out informing everyone of a proposed redistricting. My family got the notice because we live in the catchment (my oldest daughter is starting kindergarten at Givins/Shaw in September, and her younger sister will be following suit in another couple of years).
The letter contained a poorly detailed map showing where the new boundaries would be; the map was vague and had a lot of people unsure of whether or not they’d be affected.
None of us got any real answers until the public meeting that was held a couple of weeks later in early May.
I was at that meeting, and what it all boils down to is this:
Following is TREB’s market report for April 2016:
Toronto Real Estate Board President Mark McLean announced that there were 12,085 sales reported through TREB’s MLS® System in April 2016.
This result, which represented a record for the month of April, was up by 7.4 per cent in comparison to April 2015.
For the TREB market area as a whole, annual sales growth was experienced for all major home types except semi-detached houses.
In the City of Toronto, sales were down for detached and semi-detached houses as well as townhouses on a year-over-year basis.
This dip in sales in the “416” area code was due to a lack of low-rise listings.
Many would-be buyers were not able to find a home that met their needs.
More than once over the course of these past few months, I’ve seen a house come on the market and sell for significantly more than what it was unsuccessfully listed at back in the fall/winter.
You could argue that this makes sense – that in a rising market a house should sell for more now than it would’ve 6 months ago.
Maybe, maybe not. (More on that towards the end of this blog post).
Regardless, it’s interesting to see such a scenario play out in real time with one specific property.
Here’s a breakdown of what happened with one of the houses I’m referring to:
Following is TREB’s market report for March 2016:
Toronto Real Estate Board President Mark McLean announced record TREB MLS® home sales for the first quarter of 2016 following a strong result for March transactions.
There were 10,326 sales in March and 22,575 sales in the first quarter.
The year-over-year growth rate for sales was 15.8 per cent for Q1 2016 and 16.2 per cent for March 2016.
For the TREB market area as a whole, double-digit year-over-year rates of sales growth were experienced for all major home types during the first quarter.
The positive annual growth in sales was not mirrored on the listings front.
The number of new listings entered into TREB’s MLS® System during March and the first quarter were down compared to the same periods in 2015.
I was involved in a multiple-offer scenario last week, on a condo townhouse in the east end.
The property had a helluva view, and there was no doubt that it was going to attract plenty of interest and receive a bunch of offers.
“A bunch” ended up being an understatement.
There were 15 offers. FIFTEEN!
The property sold for 125% of the list price (it was listed at $409,000 and sold for $510,000).
With so many offers and such a high sale-to-list price ratio, you have to ask yourself, “Did they really need to under-list the property by that much?”
Following is TREB’s market report for January 2016:
Toronto Real Estate Board President Mark McLean announced Greater Toronto Area REALTORS® reported 4,672 residential transactions through TREB’s MLS® System in January 2016.
This result represented an 8.2 per cent increase compared to January 2015.
“It is clear that the handoff from 2015 to 2016 was a strong one. This is not surprising given that recent polling conducted for TREB by Ipsos suggested 12 per cent of GTA households were seriously considering the purchase of a home in 2016. Buying intentions are strong for this year as households continue to see home ownership as an affordable long-term investment,” said McLean.
Back in 2012, I wrote about the frustrating fact that builders were making kitchens smaller and less functional than they’d been in the past (read that blog post here). I noted the lack of counter & cupboard space, and I illustrated the difficulty of trying to place a dining room table in a layout where there simply wasn’t enough room for one.
Here we are, four years later, and the trend is still going strong! Prep space and storage are still tight, and European-sized appliances have become the norm.
This becomes quite an issue when I’m working with a buyer who tells me they want to be in a new condo and have a “chef’s kitchen” with all the bells-and-whistles.
Unfortunately, these two features rarely go hand-in-hand. Not unless you’re spending the big bucks!