Real Estate Market for Toronto and GTA (Mississauga, Brampton, Vaughan, Caledon, Milton and other cities) has been super hot in 2016 and year 2017 is looking no different. As per report by TREB, 2016 saw both record home sales and accelerated annual sales growth and therefore Strong rates of price growth and a short supply of listings will continue to make headlines in 2017. TREB MLS® System sales are expected to range between 104,500 and 115,500, with a point forecast of 110,000. 2016 was a record year for high-rise sales, with sales up throughout the GTA, while strong demand for lowrise product, combined with the lack of product available to purchase, pushed prices higher in 2016.
Highlights 2016:
- Record home sales and accelerated annual sales growth occured in 2016.
- Foreign buying activity in the GTA, represented a minimal 4.9 per cent of transactions
- 25% of foreign buyers purchased a property as an investment to rent out to tenants.
- 51% of recent sales were from first time home buyers
- 29% Average down payment on a single family dwelling*
- 15 Years+ Years since the listing supply was as low as it was in December 2016
Outlook 2017:
- In 2017, nearly 28 per cent of GTA residents are somewhat likely or very likely to purchase a home
- A surcharge of 10-15% might be introduced by Ontario Govt by mid of 2017
- The Surcharge will have a big impact unless the rate of interest doesn’t rise
- A small rise in the rate of interest will have a big impact on Toronto Real Estate Market and house price might come down by 20% if this happens.
- 53% GTA intending buyers who identified as first-time buyers
- 14% Likely buyers who expect to pay $1 million or more for their 2017 purchase
- Sales on TREB’s MLS® System are expected to range between 104,500 and 115,500, with a point forecast of 110,000
- Despite the possibility of a decline in sales, first-time buyers will continue to account for more than half of home sales in the GTA.
- The most popular home type for would-be home buyers in 2017 was the detached house
- Double digit growth in home prices to continue
- 60% Households that would use a fixed rate, closed mortgage*
- 80% Intending GTA home buyers who plan to use a Real Estate Agent
*Source Ipsos