The 8,200 home sales reported for September 2015 by the members of the Toronto Real Estate Board was a new record for September’s sales! This brings the number of sales for the first nine months of 2015 to 80,331, (another record), a 9.5 per cent increase compared to the same time period in 2014. At this rate, total sales for 2015 are expected to be at or near the 100,000 mark.
I wish I could say that these numbers are a surprise to me, but the truth of the matter is that real estate has been going strong for the last 20 years and other than the media occasionally trying to stir up fear in the marketplace by predicting that there is a bubble or the bubble will burst, it has been and will continue to be a very strong market. I know that this sounds like a self-serving statement, however these results are a testament to the importance that people give to home ownership, both as the enjoyment of home ownership, as well as a long-term investment. When these factors are combined with massive immigration and investment from outside of the country by individuals who see Canada as a safe investment vehicle as well as a great place to live, these results are not surprising at all.
Two factors are fueling the demand for ownership and investment opportunity. One is the low interest rates which makes homeownership affordable to more people than ever before and second the low Canadian dollar (70 cents US) puts Canada “on sale” to overseas investors at a third off.
Despite the increased prices, real estate still remains a viable investment and I’m still strongly recommending to my customers that they invest wisely in Toronto. Without a doubt our population will continue to increase and as a population increases the demand for housing continues and……prices increase!
If you’re thinking of buying or selling or know of someone who is, please give me a call. I’ll be happy to chat.
Let’s go Blue Jays! Let’s Go!
Have a great October,
Your Friend in Real Estate.