Toronto Home Prices Expected To Rise By 4 Per Cent This Year
If January’s sales were any indication, the Toronto real estate market is stabilizing after a rocky 2018.
On Wednesday, the Toronto Real Estate Board (TREB) released their 2019 market outlook report. According to the report, Toronto home sales and prices are expected to increase this year.
TREB president Garry Bhaura said that while 2019 won’t be a record-breaking year, it will be stronger than last year.
The report forecasts 83,000 sales for 2019 compared to 2018’s 77,375 sales.
Bhaura says the number of prospective buyers is up this year since “many buyers who moved to the sidelines over the past year due to various government policies, including the OSFI-mandated mortgage stress test, have re-evaluated their positioning in the marketplace vis-à-vis home type, location and price point.”
Other contributing factors include population growth, lower borrowing costs and low unemployment rates.
According to TREB, home prices across all property types will rise by 4 per cent with condos continuing to drive price growth. Sales of detached homes in the GTA appear to remain steady.
The average selling price in the GTA should also increase from $787, 195 to $820,000 — a number quite close to 2017’s peak prices.
Unfortunately for renters, TREB reports that low vacancy rates will continue to be an issue this year due to lack of supply.