Uplands of swan lake . The price of the apartment has gone up strongly. According to the latest report from (TREB), the real estate association of Toronto, the real estate market in the Greater Toronto area fell 22.5 per cent to 3781 from 4876 in December last year compared with December 2017.
The number of new listings fell by 31.5% to 4308, while the average selling price rose slightly by 2.1%, from 734847 to 750180 yuan, with the price of Condo rising nearly 10%.
Overall sales and average prices in the regional property market fell in 2018, with 77426 houses traded through the computerized multiple listing system for the year, down 16.1 per cent from 92263 in 2017, the report said. The number of new listings decreased by 12.7% to 155823. The average house price fell 4.3% to 787300 yuan.
The report shows that house prices in Toronto have risen slightly, while those in the surrounding towns have fallen. This completely different market situation is affected by Condo housing. Condo accounts for a large proportion of home sales in Toronto, while Condo has a slightly better market than detached houses. Condo prices in the greater Toronto area have risen 7.8 per cent in the past year.
Garry Bhaura, chairman of the Real Estate Association, pointed out that higher loan costs and stricter stress tests on home loans have forced some families to sit on the sidelines for the time being and re-examine their home ownership options. However, since the second half of the year, market conditions have improved, with sales and prices increasing.
Jason Mercer, director of market analysis and services at the Real Estate Association, said that after a sharp rise of 2017, the number of new offerings fell significantly in 2018. The number of listings in many communities is low over the years, and it is difficult for buyers to find houses that suit their needs.
In the second half of 2018, house prices rose slowly. As many buyers seek properties that are more affordable, prices of relatively inexpensive homes have risen most strongly.
Wu Shusheng, vice president of the Ontario Chinese Real Estate Professional Association, pointed out that a few years ago, the property market was dominated by sellers and buyers competing for Offer (bids). Later, the government issued a new policy that caused the previously prosperous market to plummet and lead to great upheaval. Over the past year or so, although sales have fallen and the number of housing listings has decreased, prices have not changed much, reflecting that there is nothing wrong with the market itself.
Wu Shusheng said that this year will be a balanced market, although the opening volume will be reduced, but as many people are unable to obtain housing loans and postpone the home purchase plan, there is little difference between supply and demand, so the market will be calmer. He believes that now is the best time for long-term investors and self-occupied buyers to enter the market. Buyers have choice and bargaining space.
The rent increase for old leased properties this year is only 1.8%, while interest, land rent and management fees are basically adjusted upward, it is difficult for investment lessors to make a profit and may even have negative cash flow, and the investment market for old leased properties is unattractive. Governor Ford proposed at the end of last year that new buildings would not be subject to rent increases. If builders can increase rents, they will be encouraged to build rental apartments. This positive factor will drive the real estate market.
Wu Shusheng also said that the provincial government intends to take back the management power of the Toronto bus Bureau and to co-ordinate the traffic and overall development of the whole Golden Horseshoe area, which is also good for the property market. He claimed that the problem now is that the traffic is inconvenient and it takes too long. If the infrastructure is good, people can move to Binton, Ajax and other cheaper areas. If the transportation is convenient, many people are willing to buy a home in a faraway area.