Real Estate in the GTA: Spring 2018
Last summer, Toronto's real estate market was unlike any year before. Houses were selling at record speeds, for record prices. Common buyer protection measures like home inspections went out the window with offers containing conditions not even being considered. Even outlying areas on the outskirts of the GTA were skyrocketing, with many homebuyers going further and further out to find affordable houses. Durham, York, and Peel regions all enjoyed record real estate markets, which have continued to stay strong, despite the recent changes brought into effect by the Ontario government, in an effort to curb what is described as the housing bubble.
So, what do things look like now? Did the changes force the market downwards? It would seem that it has, at least in the city of Toronto, but not drastically. It's still far above what experts would consider normal. And although it's managed to slow the market down, it hasn't brought the prices down. Average home prices are still expected to rise this year, but only slightly, in comparison to last year's soar. Because of these high prices, condo sales are expected to do well this year as opposed to freehold houses, as people look for affordable accommodations.
Things are looking up in outlying areas as well. The new rules have forced property investors to look elsewhere under the strict guidelines in the GTA, so market projections for areas such as Ottawa are expected to rise. And, since fewer people expect to buy houses as a result of the high prices and higher down payment requirements, that means the rental market is expected to stay strong! So those income properties will be in high demand! Luckily for renters, though, the changes in rules regarding how income properties generate that income - such as restrictions on short term rental sharing sites like airbnb - long term housing should be easier to find.
With forecasts being fulfilled up to now, 2018 looks like it's going to be a strong and steady - albeit slower - year for real estate.