Mcity condos. Moving to the suburbs is becoming more and more unaffordable. Despite the COVID-19 epidemic, domestic property prices continued to rise last year. Analysts point out that affordable housing is no longer just a problem in big cities.Please Visit: Mcity condos to Get Your VVIP Registration Today!
The number of home transactions in December 2020 was 47% higher than in December 2019, the biggest year-on-year increase in 11 years, according to data released by the Canadian Real Estate Association (CREA) on Friday. At the same time, benchmark housing prices have risen by 13 per cent.
The last time Canada had a similar property boom was in 2016, when it set a record for home sales within a year, with benchmark prices rising more than 15 per cent year-on-year in early 2017.
This time, however, faster real estate appreciation is not in Vancouver and Toronto, Canada’s two most expensive markets, but in once-affordable areas.
John Pasalis, president of Realosophy, the real estate brokerage, points out that in the suburbs of Durham and Horton, prices of detached, twin and urban homes are up about 20 per cent year-on-year. For example, the average price of a single house in Durham rose 24% from 641000 yuan in November 2019 to 795000 yuan in 2020.
The epidemic has accelerated the influx of city dwellers into the suburbs in search of bigger and cheaper houses. From early July 2019 to early July 2020, 50375 more people flocked to other parts of Ontario than moved back to Toronto, according to Statistics Canada. Montreal also lost a net 24880 people. The overall population growth in these two cities is mainly due to immigrants from outside Canada.
In Montreal, the recent housing boom has also pushed up prices, which have so far been relatively affordable. In the east of the city, for example, bungalow prices are up 19% from last year, says George Georges Gaucher, a real estate agent at Royal Royal LePage.
Buyers looking for lower prices have also flocked to maritime provinces, putting upward pressure on local prices. In Halifax, for example, there was a net inflow of 1584 people from other provinces in the year to July 2020. These figures do not yet show the influx of people in the second half of 2020, which could lead to double-digit house price growth. The price of an ordinary bungalow in Beijing is currently 335744 yuan, up more than 19 percent from the fourth quarter of 2019, according to a report released by Royal Real Estate on Friday.