October marked a very significant change to the real estate market in the GTA! The most significant was not only that the number of sales was 44% higher than a year ago, but the number of homes available for sale dropped as more buyers entered the marketplace.
These numbers highlight the effect of the drop in borrowing costs, allowing more buyers to qualify and increasing affordability.
6,658 homes sold in October (at an average price of $1,121,871) and with 24,481 homes currently for sale means that the average buyer has a choice of 4 homes available to them.
The bottom line? It looks like the real estate market has bottomed out and the number of sales has started to increase, which will continue to reduce the number of homes available for sale, which of course leads to prices increasing.
While the above numbers show averages, the real estate market is very sensitive to location and price range.
I believe that as we go through the winter months and borrowing rates continue to drop, more buyers will get into the market. I think the increased demand and lower inventory of homes available for sale will create pressure on prices.
While there is no need to panic, if you have been waiting for things to improve, or the market to bottom out, now might be a good time to start investigating your options. I can answer all of your questions, show you the opportunities in the market, help you with all of the paperwork and take care of the process for you.
If you are thinking of buying or selling, or know of someone who is, call me I would love to help.
Have a great November!