Good Times for Buyers Has Arrived…But Won’t Last Long!
Despite the high interest rates and the “nervous” predictions of how prices will be impacted, sales stats were similar to last year, both in terms of numbers and prices.Heading in to the first quarter of 2024, we should see more inventory and some price abatement.
Toronto area realtors sold almost 4,700 homes in October, with the average home taking just 21 days to sell. Year to date the average sale price stands at $1,136,681 down 4.7% from the start of the year, but that’s not significant as one realizes that the “mix “of homes sold favors less expensive homes due to the higher cost of borrowing.
The difference today versus a year ago, is that the stock of homes for sale, the inventory, is now at almost 20,000, roughly 4 months’ supply, the highest we have seen for some time. This is a reflection of the fact that while people want to buy, both higher interest rates and fear of the unknown is keeping them on the sidelines.
This 4-month inventory, these higher interest rates, represent a great buying opportunity for those able to buy.While prices haven’t dropped drastically as some predicted, the larger inventory allows a greater choice, versus, “this is the only home so buy or lose it!”
If you can afford to buy, do so! There is no doubt that prices will continue to rise,once interest rates stabilize,due to population growth and inflation. The window of opportunity in Toronto is normally short and then prices typically resume their upward trend.
Give me a call, let’s chat about the great opportunities in this market and how I can help you achieve your goals. If you have a friend thinking of buying or selling, please let me know, I will do my utmost for them even if it’s only advice.
Have a great November!
Your Friend in Real Estate,
PS: I am never too busy for your referrals