Last week the real estate industry took a slight pause while several major religions celebrated their holiest of days all in the same week. In real estate the coming of spring normally heralds the beginning of the annual game of trying to show houses while the city, in an apparently random manner, shuts down streets and neighbourhoods for prolonged construction projects – BEEEEEEEEEEEEEEEEEEEEEP – We interrupt this regularly scheduled Bosley Insight for breaking news from the Provincial Government. It seems that the powers that be at Queen’s Park will be making changes to ‘slow down’ the real estate market in the GTA. We wish we could tell you what this means but, like you, we will need a week or so to see how it all shakes out. Stay tuned next week when we can report back on how pending legislative changes will affect Toronto’s buyers and sellers.
Last week the Freehold market continued with steady sales just above 200 units. For the first time that we can recall there was not a single freehold property listed below the $700,000 price point in the central core and an astounding 85% of all listings sold over their advertised price last week. While homes continue to sell above their list price we have seen a backing off of the amount above list that buyers are paying. Homes under $1,500,000 are selling for about 125% above list, down from highs of 135-140% above list a month or so ago. With most of the city celebrating Easter and Passover it was not a surprise to see a steep decline in listings last week, down from 383 in the first week of April to less than half that number last week with 181 new listings.
The condo market also witnessed a decline in listings last week from 386 to 258. Sales remained steady at 224 compared to 234 the previous week and condos continue to be snapped up above their list price at a rate close to the freehold market. Over the past two weeks condos have sold over their list price 75% of the time down slightly from the peak three weeks ago of 80% of all condos selling above their advertised price. With all these new rules coming from our provincial government, including potential changes to rent control exemptions, the condo market will bear watching for the next few weeks.