Home prices in Brampton and Mississauga have stabilized over the last six months. No more bidding wars and no more lineups to buy new homes in Brampton and Mississauga. As per CREA, Actual (not seasonally adjusted) activity was down 11% in September 2017 compared to the record for the month in 2016. Sales were down from year-ago levels in close to three-quarters of all local markets, led by the GTA and nearby housing markets. As per CREA housing Market Forecast:
Tightened mortgage rules, higher mortgage default insurance premiums, changes to Ontario housing policies and higher interest rates are factors that will continue to lean against housing market activity over the rest of the year and into 2018.
The last five years have seen unprecedented growth in the real estate market all across the GTA. Post the introduction of a special tax on foreign buyers and two consecutive interest-rate increase as greatly stabilized real estate prices in the greater Toronto area. Some analyst and believe that Toronto is sitting on the housing bubble with pricing as high as 25%. But they also have to take into consideration that the greater Toronto area which includes growing cities such as Mississauga, Brampton, Milton, Caledon, Oakville, Vaughan are growing at a rapid rate and the construction of new houses is still very low. The immigration has always been a big boost to the real estate prices and it is also increasing every year. So the demand for homes will not take a hit. This seems to be a temporary phenomenon and lot of potential buyers are just waiting for the market to settle and eventually they will make up buy.
With the rates of detached and semi-detached homes all across the GTA have taken a hit, condo prices seem to be stable and hasn’t dropped as expected. The demand for condo especially in the Toronto area has been very consistent. Even the rental market for condo has been up on the north showing positive signs for the condo market.
Is it the right time to buy a home?
Well considering all the factors, including the latest reports that the housing market in the GTA stabilizing, this is the right time to buy a home.
An article in the Brampton Guardian published on Oct 16, 2017 says that Housing prices are on the rise in Brampton and Mississauga. The Brampton housing market, in particular, is experiencing considerable growth while Mississauga’s is in-line with the rest of the average across the GTA. Aggregate prices grew from $584,717 to $731,544 in Brampton and from $627,605 to $758,750 in Mississauga.
The home that you are going to buy for 1 million was roughly 1.2 million six months back. There is no immediate chances of interest-rate increase and buyers are slowly gathering the steam to make a call. Although the prices are not historically low, there has been a decrease of roughly 25% making it an ideal time to buy a home. If you have been waiting patiently, this is the right time as the current market is a buyer’s market and inventory is all-time high compared to last three years. Sellers are trying to entice the home buyers with great new home add-ons. You can post your home offer with several justified conditions and you have a very good chance to get all these approved at the price you want. Check out our Guide to First time home buyer if you are looking to buy a Home in Brampton or Mississauga.