There was significantly more movement in November’s real estate market than last year and the first half of December was quite active, but the signs of the holiday slowdown are definitely taking hold. Fewer properties are  coming to market and there are fewer showings on the properties that are currently available. That being said, I have just listed a cute one bedroom in the Annex!

What’s not uncommon for this time of year is that it isn’t just the new listings that are selling. What I often see at the end of a traditionally busy real estate season is that there is also an uptick in the sales of properties that have been sitting on the market for months. In my neighbourhood, one home sold that had been for sale since June! One reason for the action could definitely be attributed to the Bank of Canada rate cut in October and consumers were expecting another in mid-December. Turns out they were right!

Of course, who isn’t happy with the latest announcement from the BoC (a .50% rate reduction)? I think it will definitely help propel the market forward well into 2025, but I’m not confident it’s going to light a huge fire under people’s butts to take action during late December. Even with new mortgage rules coming into effect, I think the holidays will override the immediacy of the market taking off.

I do think we could see the spring market begin sooner than usual. I’m already meeting with homeowners to discuss what they’re going to do in the spring, so that’s a positive sign.

There’s another rate announcement due on January 29th, and if it’s a cut, or even a hold, that should give some confidence to hesitant buyers that things are settling down.

On the flip side, the other thing to consider is the incoming regime in the U.S. As much as the stock market has been doing really well, there’s a lot of talk about it being another bubble, not to mention concern about how the tariffs will affect us, along with the weakening dollar. There are still a lot of unanswered questions until Trump gets into power. Expect the next 4 years to be a bumpy ride!!

Although average home prices are actually lower than they were in 2021 (according to TRREB), the cost of living has gone up significantly and if the U.S. comes through with tariffs as threatened, affordability could get worse. So low interest rates alone won’t be enough to get the market going again.

So when is the right time to buy?

Some colleagues will always telling people that NOW is the time to buy regardless of market conditions, but with this market, they probably have a point.

If someone buys now, they won’t be closing for 60 to 90 days, which would be the end of March. There will be two more rate announcements between now and then. If rates go down, buyers get the benefit of that. It’s unlikely rates will go back up so soon, if anything, they’ll stay consistent.

I’m frequently being asked what I think will happen in 2025 and the bottom line is that it’s impossible to predict. There are lots of little things happening to encourage movement in the housing market. No single change is going to have a big impact, but at some point, we’ll reach critical mass and then we’ll see action when people feel confident enough to move forward.

I still feel like there’s restraint to the market, some hesitation, and people are just sitting on the sidelines waiting to see what’s going to happen.

If you’re curious about what’s happening in the market or are curious about what’s happening on your street, please get in touch!

The holidays will be here before you know it, as will 2025! In the meantime, there’s a tonne of happenings in the city to enjoy — in addition to holiday parties and spending time with friends and family!

Top of my list this year is STACKT where, currently, they have a winter wonderland complete with a 100-foot-long light tunnel! I suspect it's perfect for Instagramming! And speaking of light, we’re all dealing with a lack of it these days. You’ll find a great piece below with some pro tips on how to maximize the light in your home.

Also below are three listings that you don't want to miss... if you're running out of Christmas ideas maybe one of these properties would make a great stocking stuffer !?!

Toronto's real estate market is heating up, or at least it was in November! Sales surged 40% from last year. The market tends to slow in December but with the prospect of even lower interest rates expected in the New Year, buyer activity has ramped up as prices hold steady. December could still bring surprises though. There's a Bank of Canada rate announcement on the 11th and new mortgage rules being implemented on the 15th—typically a quiet month, but perhaps not this year!

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Now that it’s almost the end of November, we’re seeing fewer homes coming to market; a trend that’s likely to continue through the holidays. My guess is that you can expect to see a flurry of new listings at the beginning of the year, which is all a part of the natural heartbeat of the real estate business.

That wasn’t the story in October, though. Home sales were up significantly compared to the same time in 2023. The number of single family homes sold was up by over 37%, and even the number of condos sold was up by over 32%. Interestingly, despite increased sales, prices remained fairly steady. If you want to see specific data, click here for the TRREB press release.

I think the numbers make sense. There is a plethora of inventory out there that has to be absorbed so, even with an increase in sales, there’s more supply than demand.

But does this make it a buyer’s market? Not quite. Homeowners who don’t have to sell aren’t budging significantly from their asking price. Is it a balanced market? Not quite. The decrease in interest rates is definitely getting more people committed to buying, but buyers still have power, and the story they tell when they’re bringing in an offer is that if it’s not your place we buy, it’s going to be somebody else’s.

With so many properties available, sellers have to understand that the power is less in their hands than it is in the buyers. They still have to price competitively and worry about all the other properties that are coming onto the market.

Here’s an example. In October, I listed a co-op on Gloucester. On the same day, the identical unit two floors down was listed, for $50,000 less.

I was confident my listing was priced fairly and we ultimately sold first. (Plumbed in ensuite laundry helped, the other unit didn’t have it!) Both sold within two weeks of being listed and a little under asking. Both were listed for realistic prices and that’s among the reasons they sold quickly. Properties that are listed too high are languishing.

What’s coming down the pipeline?

The majority of buyers and sellers are going to wait until spring. Buyers are counting on interest rates to go down and sellers are counting on more buyers with the idea that home prices go up.

If you’re a buyer, I actually think that waiting is potentially a mistake. Now is the time to get into the market because there is so much to choose from and the majority of sellers are willing to negotiate. There may very well be more homes and condos available in the spring, but there will also be more competition from other buyers. With the lowering interest rates more buyers inevitably will enter the market.

I doubt condo prices are going to soften in the spring. If you run the numbers (a good mortgage broker can do this for you), you would see that the difference in your monthly payment if you buy at today’s prices and today’s interest rate compared with spring prices and rates, the difference would be under $100 per month.

If you’re a seller who has to sell first before buying, I suggest sitting back, enjoy the upcoming holiday season and think about going to the market at the beginning of 2025… rates will be lower and many more buyers will have renewed interest after the holidays are over.

Also in the news, the Globe and Mail recently reported that the number of members of Toronto’s Real Estate Board (the licensing body) went down by about 8%. Don’t panic, we’re not quite an endangered species. There are still 73,000 licensed realtors, it’s just as one person put it, ‘a culling of the herd.’ People are retiring, and some who thought they could make some easy money found out it wasn’t quite so easy. When the market picks up, we may see another increase.

Although 73,000 is a big number, there are a lot of realtors who don’t sell any properties. In October, 6658 properties sold in the GTA. So clearly, the majority of realtors aren’t making money. It’s the 80/20 rule; 20% of the realtors do 80% of the work. Quite honestly, there are a lot of realtors who don’t sell any properties.

Bottom line: choose someone who does this full time! If you ever want to discuss the market or are curious about what your home is currently worth, please get in touch! 

There was some drama in Toronto’s real estate market in September, but it didn’t have anything to do with what was bought or sold, it’s in the changes to mortgage rules that were announced to roll out in the coming months.

What we saw was normal market activity. We always see an uptick in September once people are back from summer vacations. And based on watching the market every day, I expected that both sales and listings would be up.

One change is that my phone is ringing a lot more. People are asking questions and being more engaged with the market. There’s still a somewhat low sense of urgency, but potential clients and long-standing ones too, are calling to talk about their plans for 2025 and asking about further rate decreases.

Many economists were predicting that the Bank of Canada would lower the key interest rate by another 50 basis points this month and as I write this now, the news hit all the channels. Will this be the last of the rate decreases? Chances are NO. There is talk of further future reductions as long as we’re able to keep inflation in and around the sweet spot of 2%.

So my advice to homeowners right now? Probably not a popular one in real estate circles but, unless consumers  really need to sell, I’m advising people to wait I think we’ll see a busy spring market. We’ll just have to see if the buyers will be ready to buy…

Having said that, I do think that now is a good time to buy: The average price in the 416 was down slightly from 2023, and by slightly, I mean less than one percent ($7,555). And despite so many condos being on the market at the time of writing this (7185), the average price for a condo was down by 3.5%, or just over $24,000.

You may wonder, why am I telling you about this? If you’re in the market to buy, especially a condo, you have an incredible amount of choice. Prices are actually lower than they were in 2022.

If you came here for a little drama, here it is:

In August, a rule change came into effect that allows first-time buyers purchasing new builds, (including condos) to qualify for 30-year mortgage amortizations.

The next round of changes comes into effect on December 15:

If your down payment is less than 20%, you need to have mortgage insurance. However, you can only get that insurance if your mortgage is under $1M. As of December 15th, the amount of mortgage you can insure increases to $1.5M to reflect how much prices have increased since 2012.

In theory, this is good news. It’s a move in the right direction to get people to transact in real estate. It will make homes that were less accessible more accessible – to those who can afford it.

Let’s crunch some numbers.

The minimum down payment for a $1.5M home would be $125,000.

(That’s 5% of first $500,000 plus 10% of the remaining amount)

This means that a home buyer could pick up a $1.5M home for just $125,000 down; if their income qualifies. Buyers also have to take into consideration land transfer taxes ($52,500 or $44,475 if they’re a first-time home buyer), which means the buyer has to come to the table with about $175,000, plus legal fees.

And that’s even before the carrying costs. When you’re buying a home, you have to take other expenses into consideration. Monthly, the mortgage on that property would be about $8000. Property taxes would be about $900 and the insurance would be about $50.

The carrying cost on that property would be about $9000 per month and that doesn’t include utilities or regular maintenance.

In order for this to have an impact, there would have to be a large number of buyers out there grossing at least $250K annually and currently unable to save enough for a down payment. I don’t think this is as risky as it sounds - CMHC has pretty strict requirements for approval.

Other new rules will be rolling out over the coming months, including the ability to refinance to help cover the cost of building secondary suites.

Another change coming in December, all first-time buyers and all buyers of new builds will be eligible for 30 year amortizations, lowering the monthly payment.

The next change will come into effect on January 15, 2025, when homeowners will be able to refinance their insured mortgages to access the equity in their homes and help pay for the construction of a secondary suite, such as basement rental apartments, in-law suites, and laneway homes.

As always, your best resources are a good mortgage broker and a good realtor. If you have any questions about how you can take advantage of these new rules, please get in touch.

Fall is in full swing and it’s time to embrace the vibrant season with some can't-miss local events.

The Toronto International Dance Festival is returning to the city. Experience Toronto’s diverse cultural landscape through the art of dance at this 3 day event. If you’re also looking for the best spots to grab some healthy ingredients and meals, check out the top health food spots in the city.

The market news is in and, you're not wrong, you did see a lot more for sale signs last month. Over 7,000 new listings hit the MLS last month, an increase of almost 500 more than last September. The good news is that sales were up as well. Even though the difference isn't dramatic, it's still a good indicator that buyers are gaining more confidence in the market.

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If you’re noticing a lot of For Sale signs in your neighbourhood, you’re not alone. No matter how slow the market appears to be, there are always new homes hitting the market in the fall, and this month is no exception. However, it’s SOLD signs that are actual indicator of whether the market is getting busier.

You may not be keeping track the way I as a Realtor does, but not all of the ‘new’ listings are actually new. Many properties were for sale over the summer and, when the buyers didn’t materialize, some listings were terminated and then those home were re-listed. Pick almost any street with past listing inventory, homes were taken off the market in August and re-listed since the day after Labour Day.

Currently, there are slightly more than 10,000 residential properties up for sale in Toronto. (Ranging from $250,000 for a one bedroom condo at Jane and Finch to $34,918,778, for the penthouse at 1 Bloor Street West.) How many of those are new? It’s a tough stat to follow. Realtors are able to track the listing history of an individual property but the practice of re-listing makes it hard to analyze the statistics as a whole segment of the market.

What the numbers can tell us is that there is a lot of inventory available compared to the number of properties that are selling. In August, in the City Toronto (not GTA), 4,177 new listings were entered in the system which meant there were 8625 available properties for sale. There were only 1,718 properties sold meaning only 19.9% of the properties listed actually sold.

As you’ve probably heard, the other news is that the Bank of Canada lowered the key interest rate for the third time in a row. Will this have a major impact on the market? I don’t think it’ll be MAJOR but it’s a step in the right direction. It’s still not enough to bring investors back in droves, which was a large part of what was driving the large part of the condo market and in small part single-family homes. Every decrease helps though and once we start to see a level of stability with the rates, it will create more confidence in the market and that’s when we’ll see marked increase in sales.

Of course, any decrease will really help buyers that really needs to buy. It makes buying a home that much more affordable. For buyers who are stretching their budget, every dollar counts.

Quite honestly, my guess is that it’s too soon to say this is the new bottom of the market. I think it’s still wise to take more of a conservative approach and anticipate another rate decrease… or three. The only exception would be if you’re looking for a particular kind of property, and the opportunity presents itself, it’s a good time to make a move because that opportunity may never cross your path again.

Sellers are still holding firm to what they believe the value of their home is, but if they’re serious about selling, they may be more flexible on price if and when they get an offer. Right now, it’s still not uncommon to see some major negotiating happening.

Here's what I will predict for the next few months:

• Many buyers will continue to take a wait and see attitude. They’re waiting for rates to go down further and it won’t be until rates are stable that we’ll see more activity in the market. Consumers will then accept that this is what the market is, rather than waiting to see what it will become.

• It won’t be until interest rates are under 4% that we’ll see any level of excitement coming back into the market, if at all.

• We’re going to continue to see a further uptick of listings hit the market. A lot of sellers are thinking they’ll get more money now that interest rates are a quarter point lower but, because there’s such a glut of product available, there’s possibly going to be downward pressure on prices since there is so much more product for buyers to choose from.

Toronto’s real estate market is constantly changing – if you’re curious about what’s happening in your neighbourhood, get in touch!