TRREB’s August GTA Data.
Toronto, September 8, 2020
By Ivan Kalinin
July was an extremely busy month in the Toronto real estate industry. Property prices have increased 17% year over year, but no one expected that all hell would break loose in August. August, notoriously a slow month in real estate as people are on vacation and there is less demand on the market.
But 2020 managed to rearrange things all around and August turned out to be a wild ride. With 40% increase in overall sales, and a hefty 20% increase in prices it was a very busy month. This increase is largely due to the fact that most people who were in the market to buy, did not get to go on vacation and were active looking for properties instead. The low borrowing costs and the recovering economy have also contributed to the buyer’s confidence.
Best time to buy a condo in Toronto?
With that said, condos did not fare as well as the freehold properties. The slowing rental market, and especially that of short term leases have forced many investors to put their downtown assets up for sale creating a surplus in inventory.
Condo sales still went up by 9% year over year, however they were outweighed by a whopping 117% increase in new listings. This resulted in an ample of choices for the buyers which made the sellers compete with one another and drop prices of their listings.
I never thought I would say that, but you could actually get a really good deal on a condo downtown Toronto now. In fact, now the ball is in the court of the buyers, who face significantly less bidding wars and more sellers that are willing to offer discounts on their listings like never before.
Taking advantage of the low interest rates, oversupply in the condo market and subsequent drop in competition makes it a fantastic opportunity for those who were looking for a deal. If you are looking to purchase a condo at a great price in the city, now is the time. Contact me and let’s book a meeting to go over your options!
If you like talking real estate half as much as I do and are going to participate in the market in 2020, come chat and have a coffee. And if you are looking for a property as an investment, remember our super-popular private investment tours now booking in early 2020. Click here to book.
Ivan Kalinin is a sales agent at Key Toronto Real Estate Group. Zoocasa Realty Inc. – Brokerage independently owned and operated, He can be reached at 416 858 8085. Not intended to solicit clients already under contract.