Toronto Sales Market
The news in January has been buzzing with stories of buyers jumping back into Toronto's condo market and bidding wars becoming commonplace again. There's been a sudden change in how people feel about buying condos. But why are people suddenly so optimistic?
Well, there's an old saying: "Actions speak louder than words." Even though the Bank of Canada's messages about interest rates at the end of 2023 were a bit confusing, many experts thought they might have set rates too high, maybe by as much as 50 basis points.
Then, in January, we had another rate hold. Now there's talk about when interest rates will drop, not "if". Fixed-rate mortgages are already getting cheaper, and more people are getting pre-approved for loans because of it.
With rates possibly going down soon, people are starting to think that maybe the worst is over. Plus, with the weather feeling like spring already in the Greater Toronto Area (GTA), it seems like the perfect time to start looking for a new home.
In early 2024, the freehold housing market, which includes townhouses, semi-detached, and detached homes, is expected to do better than condos. Usually, December is a slow month for real estate, but January often sees more houses going up for sale. Condos are popular because they are more affordable, but even they are starting to get more expensive. Right now, there aren't enough condos for all the people who want to buy them, so prices might keep going up.
Toronto Rental Market
One part of Toronto's condo market that's hot right now is rentals. Landlords have noticed that people are hesitant to pay high rents, so they're starting to lower prices. With fewer rental properties available, it's becoming a competitive market for renters.
In conclusion, Toronto's real estate market is changing fast, with more buyers coming in and prices going up. It's an exciting time for anyone looking to buy or rent a condo in the GTA.