A new year and a new decade! I don't know about you, but I find it hard to believe we are in 2020 already.  Before we start making predictions for the new year ahead, let's look back and recap what a year 2019 has been!

Going into the year, there was a lot of panic and indecision for both sellers and buyers.  They were left wondering what the impact of government intervention would be on the real estate maket.  As 2019 progressed and sellers adjusted their expectations, buyers made their way off the sidelines and once again the market began to pick up.

In some areas of the GTA bidding wars were still common place, but it was not crazy like the first quarter of 2017 (I'm sure you all remember that). The market seemed to balance out. Most  sellers did well, even exceptionally if their homes warranted it. It was also a good year for buyers and there were some nice deals to be found.

Toronto Real Estate Board President Michael Collins reported: Total TREB sales for the calendar year of 2019 amounted to 87,825 - up 12.6 percent compared to the decade low 78,015 in 2018.  On an annual basis, 2019 sales were in line with the median annual sales results for the past decade.  For the calendar year 2019, the average selling price was $819,319 - up by four percent compared to $787,856 in 2018.

3 Top Stories That Dominated The Real Estate Headlines in 2019

1. CMHC First Time Buyer Incentive Program

The FTBIP is a shared equity mortgage with the government of Canada. It offers 5 - 10 percent for a first time buyers purchase depending on the type of home. The homebuyer  must repay the incentive within 25 years, or when the property is sold, whichever comes first. There are other caveats involved in this plan.  In my opinion this program is a bust and was mostly political, but if you would like more information, please reach out and we can discuss it further.

2. Airbnb Regulations

Airbnb properties must be your principle residence. Short term rental operators can rent 3 bedrooms or their entire property for a total of 180 days and there will be a %4 tax on rentals less than 28 days. The city will be licensing short term rentals.  We will have to wait and see how this is enforced and what if any impact it will have on the Toronto rental market.

3. Updating The Real Estate and Business Brokers Act (REBBA)

The Ontario government has introduced the Trust In Real Estate Services Act, a bill which proposes changes to the REBBA,  2002 and if passed by legislature, the changes would support and strengthen consumer protection and professionalism in the real estate sector.  This is good news for consumers and the profession as both will benefit from modernized legislation. (reco, 11/19)

My Thought's

Looking back over the year and decade, it has been a great time to be living and owning real estate in the GTA.  We have enjoyed helping our clients find their forever homes, downsize, upsize and purchase investment properties.  We are excited about the new year and decade in front of us.  We can't wait to help you with all of your real estate endeavours!

Stay tuned for our 2020 outlook blog.

HAPPY NEW YEAR!

Everyone loves to chat about real estate and people often refer to TREB's monthly market statistics, but what do they actually mean and do they paint an accurate picture of what's happening in your neighbourhood market place?

Well, yes and no.  It depends on what stats you are looking at and for what purpose.  The market stats shown above are a fantastic tool to get a broad sense of what's happening in the Durham region and City of Toronto. They look at the average sale prices of different types of homes, average days on market and whether we have seen growth or decline in price year over year.  

Although helpful, these stats won't give you an accurate assesment of your particular market segment.  For example, in Toronto the average sale price in October for a detached home was $1,323,015.00.  If you look at the area of Bridle-Path, Sunnybrook and York Mills the average selling price for a detached home in October was over $4,500,000.00.  That's a huge difference.  We can dive deeper and see that the lowest sold price for a detached home in this area was $1,448,000.00 and the highest was $6,850,000.00.  This tells us that even within a specific geographic location there can be a wide range of values.  

When determining the value of a property it is important to look at market trends in its specific area as well as what features and benefits the property has compared with others that are currently on the market or recently sold.  If you have been thinking of making a move, investing in real estate or are just curious about the value of your home, dont just make assumptions based on the stats you see online.  Give us a call. As professional real estate agents we study homes and prices on a daily basis and can give you an accurate assesment of your home's current value and indepth insights into your neighbourhood's distinct market.  

The overall real estate market in the GTA is doing well, with more sales and an increase in prices this October than in 2018.  With most areas still lacking in inventory and interest rates remaining low, the overall market will likely continue to see prices increase moving forward.  Give us a call or drop us a line to find out what is happening in your neighbourhood.