Waterfront Living has an Almost Magical Appeal

I’ve always said that Toronto is one of the most beautiful and cosmopolitan cities in the world, and one of Toronto’s best features is a gorgeous waterfront. Condominium shoppers who love the year-round feeling of peace and contentment that comes along with living on Lake Ontario have some lovely buildings to choose from, but will want to act soon. There are few properties left along the shoreline, so the opportunity to own a new condo suite there will soon be a thing of the past.

Waterfront living has an almost magical appeal. Just looking out at a massive expanse of water is relaxing and fascinating in all kinds of weather. Waves lapping onto the shore, sun-drenched vistas of sailboats, breathtaking sunsets over the horizon — the views are incredible. Even in the winter, there are birds skipping along the ice, and at night the city lights reflected in the water are absolutely breathtaking.

Today’s lakeside condominiums are built to make the most of their exceptional location, with massive windows and generous balconies and terraces providing interaction with the outdoors.

And even if your condominium suite faces north, you still have wonderful views peppered with lush greenery. Our Toronto skyline is phenomenal, and you have the lakeside lifestyle at your doorstep. Remember, too, that you don’t have to add blinds or drapes to any of your windows facing the water!

There are investment reasons why a lakeside condo is a smart move as well. Waterfront properties along the shoreline in any city around the world command excellent resale value.

And our Toronto waterfront is a particularly vibrant one, which is perfect for active residents of any age. We have the 22-km Martin Goodman Trail for walking, jogging, bicycling and inline skating with lovely parkland along the way.

There are also marinas, yacht clubs, and an assortment of parks that offer both passive and active recreational opportunities. And speaking of active, sports-lovers appreciate the fact that many new condominiums in downtown Toronto are located within walking distance to Air Canada Centre and Rogers Centre. It’s the best of all possible worlds.

You can purchase with confidence nowadays, too, as construction techniques such as advanced methods for shoring ensure that condominiums situated close to the lake are solid and secure.

And whatever the economy, waterfront condos command a premium. It’s not just downtown Toronto. Over the past few years, Humber Bay Shores in Etobicoke has been undergoing redevelopment. The gorgeous Humber Bay Park is one of the additions, along with enhanced wetlands, scenic trails and more.

Soon, Graywood Developments Ltd. and Beaverhall Homes will introduce a brand new condominium, Ocean Club, to this hot lakeside locale. This fantastic condo will feature a trendy bistro at the base of the building, which is something new in these surroundings.

What’s fascinating is that lakeside condos appeal to a cross-section of buyers of all ages. Most everyone today needs a respite from hectic work lives, and living on the water is perfect.

Coming home to such a calming setting adds to quality of life — and without having to drive for hours to get to a cottage. When you add in the fabulous array of amenities included in most of today’s new condominiums, it really is resort living all year long.

Add to that the easy access to world-class entertainment venues, shopping, cultural institutions and other spectacular amenities, and the combination is irresistible. And when you look at Canada as a whole, Toronto is one of the few cities with waterfront that has residential development at all.

Lake Ontario is beckoning with tempting views, water sports and a shoreline that is alive with activity and excitement. Right here at home, you can own a piece of paradise on a waterfront that holds its own on the world stage — if you act before the opportunities come to an end.

Click here for more information on Toronto Condos

Toronto Condos

Toronto Real Estate

Waterfront Living has an Almost Magical Appeal

I’ve always said that Toronto is one of the most beautiful and cosmopolitan cities in the world, and one of Toronto’s best features is a gorgeous waterfront. Condominium shoppers who love the year-round feeling of peace and contentment that comes along with living on Lake Ontario have some lovely buildings to choose from, but will want to act soon. There are few properties left along the shoreline, so the opportunity to own a new condo suite there will soon be a thing of the past.

Waterfront living has an almost magical appeal. Just looking out at a massive expanse of water is relaxing and fascinating in all kinds of weather. Waves lapping onto the shore, sun-drenched vistas of sailboats, breathtaking sunsets over the horizon — the views are incredible. Even in the winter, there are birds skipping along the ice, and at night the city lights reflected in the water are absolutely breathtaking.

Today’s lakeside condominiums are built to make the most of their exceptional location, with massive windows and generous balconies and terraces providing interaction with the outdoors.

And even if your condominium suite faces north, you still have wonderful views peppered with lush greenery. Our Toronto skyline is phenomenal, and you have the lakeside lifestyle at your doorstep. Remember, too, that you don’t have to add blinds or drapes to any of your windows facing the water!

There are investment reasons why a lakeside condo is a smart move as well. Waterfront properties along the shoreline in any city around the world command excellent resale value.

And our Toronto waterfront is a particularly vibrant one, which is perfect for active residents of any age. We have the 22-km Martin Goodman Trail for walking, jogging, bicycling and inline skating with lovely parkland along the way.

There are also marinas, yacht clubs, and an assortment of parks that offer both passive and active recreational opportunities. And speaking of active, sports-lovers appreciate the fact that many new condominiums in downtown Toronto are located within walking distance to Air Canada Centre and Rogers Centre. It’s the best of all possible worlds.

You can purchase with confidence nowadays, too, as construction techniques such as advanced methods for shoring ensure that condominiums situated close to the lake are solid and secure.

And whatever the economy, waterfront condos command a premium. It’s not just downtown Toronto. Over the past few years, Humber Bay Shores in Etobicoke has been undergoing redevelopment. The gorgeous Humber Bay Park is one of the additions, along with enhanced wetlands, scenic trails and more.

Soon, Graywood Developments Ltd. and Beaverhall Homes will introduce a brand new condominium, Ocean Club, to this hot lakeside locale. This fantastic condo will feature a trendy bistro at the base of the building, which is something new in these surroundings.

What’s fascinating is that lakeside condos appeal to a cross-section of buyers of all ages. Most everyone today needs a respite from hectic work lives, and living on the water is perfect.

Coming home to such a calming setting adds to quality of life — and without having to drive for hours to get to a cottage. When you add in the fabulous array of amenities included in most of today’s new condominiums, it really is resort living all year long.

Add to that the easy access to world-class entertainment venues, shopping, cultural institutions and other spectacular amenities, and the combination is irresistible. And when you look at Canada as a whole, Toronto is one of the few cities with waterfront that has residential development at all.

Lake Ontario is beckoning with tempting views, water sports and a shoreline that is alive with activity and excitement. Right here at home, you can own a piece of paradise on a waterfront that holds its own on the world stage — if you act before the opportunities come to an end.

Click here for more information on Toronto Condos

Toronto Condos

Toronto Real Estate

Toronto Home Sales Cooling Off

The weather is cooling, and so are sales in Toronto’s existing home market. Sales were down by 22 per cent in the first half of September, according to figures released Thursday by the Toronto Real Estate Board.

“Home sales are nursing a bit of a hangover from the real estate party in the first half of the year, ” said Doug Porter, deputy chief economist for BMO Capital Markets.

“Looking ahead, sales are expected to remain on the soggy side with consumer confidence dimming, but should find support in still low rates and steady job growth.”

The board reported that 2,623 sales were recorded in the first two weeks of the month compared with the 3,361 sales in 2009.

Nationally, the Canadian Real Estate Association reported on Wednesday that sales were actually up for the first time in months by 4.1 per cent in August.

The forward-looking data for September suggests that the trend line nationally will be on a downward slope as Toronto is responsible for a large share of the overall Canadian market.

“Sales remain below the record pace we experienced in the second half of 2009,” said TREB president Bill Johnston. “The prospect of higher interest rates and new mortgage lending guidelines resulted in higher than normal sales in the first few months of the year.”

Year to date, sales are still 6 per cent higher than they were in 2009.

Average prices are also 5 per cent higher than the same time last year to $412,367, compared with $393,818.

Breaking down the suburbs verses the Toronto area: Prices in the 416 area remained higher at $453,643. Prices in the 905 suburbs averaged $398,529.

While Toronto prices showed appreciation, average prices nationally remained flat year-over-year.

“The flat year-over-year rate is the weakest since April 2009,” David Rosenberg, chief economist at Gluskin + Sheff & Associates, said in an economic note Thursday.

Rosenberg said national average prices could go into negative territory by the end of the month:

“In our view, we could see year-over-year comparisons turn negative as early as September.”

- This news is actually very good news to perspective home buyers. If you didn't have an opportunity to take advantage of the previous real estate downturn, here comes your second opportunity to capitalize on some very affordable deals. Let's keep in mind, if house prices do indeed start to fall - as forecasted in the article above, not only will you be able to find some great deals on some spectacular properties, but, you'll also be able to attain a mortgage with 'record' low interest rates.

If your interested in more information please click here to contact me today!

- Marco

Toronto Condos

Toronto Real Estate

DNA3 sneak peak.

This past week DNA3 launched with spectacular fashion, as a renowned realtor I have been granted VIP access to the project in advance of the wider openings later this month. If you are interested in getting a unit at this project, contact me right away for your best opportunity to buy.

Details on the project are now in. Standout suite features include:

• Built-in, integrated stainless steel European sized appliances including: fridge, range, microwave, range hood (very sexy)
• Engineered hardwood throughout including bedrooms and dens (say good bye to carpet forever!)
• All bedrooms have windows – no ‘buried’ bedrooms without windows in the building!
• Exposed concrete 9′ ceilings
• Balconies or terraces on all units

Exciting building features include:

• 6000 square feet of retail on the ground level including one very exciting anchor tenant (TBA)
• 3 outdoor roof-top terrace areas including a Las Vegas/South Beach inspired “Misting Station” (HOT!)
• Massive gym, multiple party rooms, yoga room, business centre, theatre room (very extensive amenities)

King West has arrived as one of the premier neighbourhoods downtown. DNA3 offers amazing value for the location and features/finishes of the building. Visit iloftcondos.com for more information

Toronto Condos

Toronto Real Estate

Fear of housing bubble seems overblown

One of the country's leading economics think-tanks, the Conference Board of Canada, has become the latest entrant in the long-running debate over Canadian housing prices. Its take: no bubble. This contrasts sharply with a report last week from the Canadian Centre for Policy Alternatives, which said Canada's "housing bubble" is "an accident waiting to happen."

Back at the Conference Board, economist Mario Lefebvre acknowledges that home sales have fallen sharply this year, but points out that this is hardly a sign of distress after a period when sales were far too high to be sustainable. Instead, he concludes, it's just a return to normal.

More important, on the price front, "there's been no decline to talk about," Lefebvre said.

Prices rose in July from June in 19 of 28 Canadian cities and all 28 had prices that were above year-ago levels.

That's not to say that prices will keep rising.

Lefebvre expects to see a "pause" in price growth for most cities in the next year or so as Canada's economic growth slows. And prices could edge down by two to four per cent in the hottest western markets, like Vancouver, Calgary, Edmonton, Regina and Saskatoon. But that's hardly a bust.

This is a stark contrast to the truly frightening housing outlook published last week by the Canadian Centre for Policy Alternatives, a left-leaning non-profit group that said a worst-case scenario for the bursting of the housing "bubble" would see prices plummet by 20 to 38 per cent in the biggest Canadian cities. Even its best-case scenario would envision drops of between 19 and 29 per cent.

This is a truly horrendous scenario. The catastrophic recent U.S. housing meltdown saw a national drop of about 30 per cent.

It's hard to accept that people looking at the same Canadian housing market could come to such wildly different conclusions, but if you look behind the numbers, a clearer picture begins to appear.

The Centre for Policy Alternatives analyst, David Macdonald, begins with the assumption that there's a reasonable range of housing prices determined mostly by people's median income. (Median income is the level at which half the population is above and half is below.)

Macdonald looked back at the 1980s and 1990s and found that during the whole period, home prices stayed between three and four times the median income, while home prices today seem badly out of whack at between 4.7 and 11.3 times this measure.

But maybe that's because the yardstick is out of whack. Lefebvre of the Conference Board wouldn't dream of using this measure.

That's because it doesn't take into account the huge impact of mortgage interest rates, which have varied greatly over the years, directly affecting people's ability to pay for a home.

At today's low mortgage interest rates, housing affordability is pretty good in most Canadian markets, Lefebvre said, and he's not too worried about a rise in interest rates, since rates are rising only gradually.

As well, he said, Macdonald's concern that home prices have risen faster than incomes over the past decade overlooks a crucial fact: that home prices lagged badly during the previous decade.

Robert Hogue, a senior economist at the Royal Bank of Canada, has worked out the numbers on affordability in some detail, and his conclusion is essentially the same as Lefebvre's: there's no bubble today and little prospect of significant price declines tomorrow.

Hogue suggests that a possible exception is Vancouver, where prices are sky-high, and maybe Montreal, where prices are still fairly low, but have shot up rapidly in recent years.

While it's true that interest rates will put a little more stress on homeowners over the next year or two, Hogue simulated this by calculating the impact of adding 1.5 percentage points to today's mortgage rates. He found little cause for concern.

His finding: affordability would deteriorate only moderately, with home ownership costs representing about 46 per cent of median income for a typical bungalow, up from 41 per cent today.

This would still fall far short of the 54-per-cent home ownership burden that helped spur a severe housing bust in 1990. And the 46-per cent estimate is probably high, since rising Canadian incomes will partly offset rising interest rates.

Toronto Condos

Toronto Real Estate

Ways to Invest in Real Estate

Buying real estate is about more than just finding a place to call home. Investing in real estate has become increasingly popular over the last fifty years and has become a common investment vehicle. Although the real estate market has plenty of opportunities for making big gains, buying and owning real estate is a lot more complicated than investing in stocks and bonds. In this article, we’ll go beyond buying a home and introduce you to real estate as an investment. Basic Rental Properties

This is an investment as old as the practice of landownership. A person will buy a property and rent it out to a tenant. The owner, the landlord, is responsible for paying the mortgage, taxes and costs of maintaining the property. Ideally, the landlord charges enough rent to cover all of the aforementioned costs. A landlord may also charge more in order to produce a monthly profit, but the most common strategy is to be patient and only charge enough rent to cover expenses until the mortgage has been paid, at which time the majority of the rent becomes profit. Furthermore, the property may also have appreciated in value over the course of the mortgage, leaving the landlord with a more valuable asset.

There are, of course, blemishes on the face of what seems like an ideal investment. You can end up with a bad tenant who damages the property or, worse still, end up having no tenant at all. This leaves you with a negative monthly cash flow, meaning that you might have to scramble to cover your mortgage payments. There is also the matter of finding the right property – you will want to pick an area where vacancy rates are low (due to demand) and choose a place that people will want to rent.

erhaps the biggest difference between a rental property and other investments is the amount time and work you have to devote to maintaining your investment. When you buy a stock, it simply sits in your brokerage account and (hopefully) increases in value. If you invest in a rental property, there are many responsibilities that come along with being a landlord. When the furnace stops working in the middle of the night, it’s you who gets the phone call. If you don’t mind handyman work, this may not bother you; otherwise, a professional property manager would be glad to take the problem off your hands – for a price, of course. Real Estate Investment Groups

Real estate investment groups are sort of like small mutual funds for rental properties. If you want to own a rental property, but don’t want the hassle of being a landlord, a real estate investment group may be the solution for you. A company will buy or build a set of apartment blocks or condos and then allow investors to buy them through the company (thus joining the group). A single investor can own one or multiple units (self-contained living space), but the company operating the investment group collectively manages all the units – taking care of maintenance, advertising vacant units and interviewing tenants. In exchange for this management, the company takes a percentage of the monthly rent.

There are several versions of investment groups, but in the standard version, the lease is in the investor’s name and all of the units pool a portion of the rent to guard against occasional vacancies, meaning that you will receive enough to pay the mortgage even if your unit is empty. The quality of an investment group depends entirely on the company offering it. In theory, it is a safe way to get into real estate investment, but groups are vulnerable to the same fees that haunt the mutual fund industry. Once again, research is the key.

Real Estate Trading

This is the wild side of real estate investment. Like the day traders who are leagues away from a buy-and-hold investor, the real estate traders are an entirely different breed from the buy-and-rent landlords. Real estate traders buy properties with the intention of holding them for a short period of time (often no more than three to four months), whereupon they hope to sell them for a profit. This technique is also called flipping properties and is based on buying properties that are either significantly undervalued or are in a very hot market.

Pure property flippers will not put any money into a house for improvements – the investment has to have the intrinsic value to turn a profit without alteration or they won’t consider it. Flipping in this manner is a short-term cash investment. If a property flipper gets caught in a situation where he or she can’t unload a property, it can be devastating because these investors generally don’t keep enough ready cash to pay the mortgage on a property for the long term. This can lead to continued losses for a real estate trader who is unable to offload the property in a bad market.

A second class of property flipper also exists. These investors make their money by buying reasonably priced properties and adding value by renovating them. This can be a longer-term investment depending on the extent of the improvements. The limiting feature of this investment is that it is time intensive and often only allows investors to take on one property at a time.

REITs

Real estate has been around since our cave-dwelling ancestors started chasing strangers out of their space, so it’s not surprising that Wall Street has found a way to turn real estate into a publicly-traded instrument. A real estate investment trust (REIT) is created when a corporation (or trust) uses investors’ money to purchase and operate income properties. REITs are bought and sold on the major exchanges just like any other stock. A corporation must pay out 90% of its taxable profits in the form of dividends to keep its status as an REIT. By doing this, REITs avoid paying corporate income tax, whereas a regular company would be taxed its profits and then have to decide whether or not to distribute its after-tax profits as dividends.

Much like regular dividend-paying stocks, REITs are a solid investment for stock market investors that want regular income. In comparison to the aforementioned types of real estate investment, REITs allow investors into non-residential investments (malls, office buildings, etc.) and are highly liquid – in other words, you won’t need a realtor to help you cash out your investment. Leverage

With the exception of REITs, investing in real estate gives an investor one tool that is not available to stock market investors: leverage. If you want to buy a stock, you have to pay the full value of the stock at the time you place the buy order. Even if you are buying on margin, the amount you can borrow is still much less than with real estate. Most “conventional” mortgages require 25% down. However, depending on where you live, there are many types of mortgages that require as little as 5%. This means that you can control the whole property and the equity it holds by only paying a fraction of the total value. Of course, your mortgage will eventually pay the total value of the house at the time you purchased it, but you control it the minute the papers are signed.

This is what emboldens real estate flippers and landlords alike. They can take out a second mortgage on their homes and put down payments on two or three other properties. Whether they rent these out so that tenants pay the mortgage or they wait for an opportunity to sell for a profit, they control these assets despite having only paid for a small part of the total value.

Conclusion

We have looked at several types of real estate investment. However, as you might have guessed, we have only scratched the surface. Within these examples there are countless variations of real estate investments. As with any investment, there is much potential with real estate, but this does not mean that it is an assured gain. As with any investment, make careful choices and weigh out the costs and benefits of your actions before diving in. 

Toronto Condos

Toronto Real Estate

Statistics!! How to Sift Through the Fluff

In preparing for a BNN interview earlier this week where I was to provide instant reaction to the monthly release of the housing starts statistics by Canada Mortgage and Housing Corporation, it occurred to me that homebuyers face a continuous barrage of statistical information that can be downright confusing at the best of times. CMHC releases national, provincial and local reports on housing starts each month. At a different point each month, Statistics Canada issues data on building permits. Figures on resale home transactions are released twice a month by theToronto Real Estate Board and monthly by the Canadian Real Estate Association.

As for new home sales, the Greater Toronto market is served by RealNet Canada Inc., which provides detailed monthly statistics to BILD for release to the public via the media.

That’s four potential housing market information sources you could be hearing about or reading about on any given day, and not surprisingly, they rarely align. For example, it’s not uncommon to see housing starts up locally, down province-wide and treading water nationally, but depending upon which report you catch, you could get a completely different perspective.

The most important thing to be aware of is which data source is being quoted and whether it’s a lagging or leading indicator. In a market like the GTA where the vast majority of new homes are pre-sold, the sale comes first, then the builder obtains a building permit, then the “start” construction.

While housing starts are a great indicator of future jobs and spending, they are telling you what was happening in the market three-six months ago in the case of low-rise housing and nine-15 months ago in the case of high-rise. In essence, housing starts offer a rearview mirror projection of the market.

My best advice to readers is not to get too hung up on monthly stats and if you’re going to follow anything, keep an eye on the RealNet new home sales stats as the leading indicator of local housing market activity.

Toronto Condos

Toronto Real Estate

Six Golden Rules to Buying a Home!

In our current market, it's important to take as much information as possible into account when making one of the biggest purchases of your life! Being resourceful, patient and doing as much research in advance as you can will go along way in avoiding costly mistakes when purchasing your new home. Here are six 'Golden Rules' I recently came across @ money.ca.msn.com. Enjoy.

1. Build your team You transaction will require a knowledgeable real estate agent, lawyer, and mortgage lender.

References from friends can help you pinpoint experts to surround yourself with.

2. Get a pre-approval This will lock in a mortgage rate for about 90-120 days. Keep in mind that pre-approvals are almost always subject to certain conditions that you will need to meet before financing is confirmed. To protect and give yourself a way out in case of any oversights, it is a good idea to have a condition for financing on any offers to purchase a house. This is especially true if we're no longer in a red hot real estate market that is seeing multiple offers and forcing buyers to remove conditions from their offers.

3. Set a budget and stick to it. It's hard not to let emotions take over during the home buying process. Your pre-approval amount is what the bank is willing to lend you and may not necessarily be an amount you can comfortably afford to pay, after taking into consideration your lifestyle needs. Do you have an active social life? Do you enjoy eating out? Are you planning on having kids? Are you saving for your RRSPs? When a bank provides an approval, they are based on CMHC guidelines, not the costs associated with your lifestyle.

For example, your financial institution will examine your gross debt servicing. Your monthly housing costs should not exceed 32% of your gross monthly household income. Housing costs include monthly mortgage payments, taxes, heating expenses and half of monthly condominium fees (if applicable). Your mortgage lender will also examine your total debt servicing ratio. This is your entire monthly debt load and it should not exceed 40% of your gross monthly income. This includes housing costs such as property taxes, heating costs and condo fees and other debts such as car payments, personal loans, and credit card payments.

4. Factor in closing costs Far too often people are surprised when they get the final statement of adjustments from their lawyers and are left scrambling to come up with thousands of dollars to cover the shortfall. On top of the purchase price, there are also land transfer tax and legal fees. For example in Toronto, in addition to the Provincial Land Transfer Tax, there is also a recently implemented Municipal Land Transfer Tax, which will add approximately 1% to the closing costs (first time purchases are eligible for a rebate up to a maximum of $3,725).

If it is a new development, you may also be responsible for development charges, such as Education levies and fees for enrolment in Tarion Warranty Corporationand installation of hydro meters. My advice? When negotiating the purchase of a new development, your agent should put a cap all these extra charges. For example, if you capped all your development charges and levies at $3,000, this is the maximum the developer could end up charging you upon closing, regardless of what the actual fees should be.

5. Title insurance Title insurance and identity theft coverage offer peace of mind and protection. Although real estate title fraud is far less frequent than other forms of identity theft, it is a violation that can have devastating and long lasting effect on its victims.

Toronto Condos

Toronto Real Estate

PDI - A Pre delivery Inspection

After recently closing on one of my pre construction condominium purchases, I decided to actually sit back and compose a little list of what to look out for (a) when purchasing that brand new condominium in the sales office and (b) when attending your pre delivery inspection. Purchasing a Condo: It is very important to know who the builder is. Visit some of the previous buildings or residential low-rise projects the builder has completed in recent years. One of the best tools to conduct research on a builder is actually found at tarion.com

1. Who is the builder of your new condo?
2. Their reputation: visit tarion.com for a list
3. Their reputation: Ask your realtor (preferably me) to take you to see previous projects that the builder has completed. Often times, you'll get a great sense of the quality and craftsmanship the builder puts into their projects.
4. Ask around - word of mouth and the power of referrals are usually the best way to figure out if something is well constructed or a lemon

PDI's: What to Bring and What to Prepare for:

1. Bring your purchase agreement and upgrade list for the inspection as a checklist.  For those looking for a more complete checklist, you can also visit the Tarion website.  This checklist is designed for both house and condo inspection, and can be used as a guideline for review.
2. Bring a small electronic device, such as a nightlight, to test the electrical outlets.  Chris discovered four outlets that were not operable.
3. Set your expectations and be prepared that there will be unfinished items.  This way, you won't be disappointed.
4. If items were missed during PDI, you can include them in the 30-Day Warranty Form to be sent to Tarion and the builder. There is also a final opportunity to report items on the Year-End Warranty Form. You can now complete and submit the Warranty Forms to Tarion through their website.
5. Be prepared that the builder will require access to the suite, with notice, to complete any outstanding PDI items.

I know this is a very complicated procedure, so if you need some help or would like me to walk you through the process feel free to contact me. Being a consumer/investor myself, I know how tricky some of these steps can be.

For more information on Toronto Condos and New Condos click here

/Market Report/July Sales Down Price UP!

Greater Toronto REALTORS® reported 6,564 sales in July – a 34 per cent dip from the record 9,967 sales reported in July 2009. New listings, at 10,825, dropped to the lowest level for the month of July since 2002. “The level of July sales remained below the expected long-term trend. The market has become more balanced following record monthly sales through most of the winter and early spring,” said Toronto Real Estate Board (TREB) President Bill Johnston.

Total sales through the first seven months of 2010 were up by 12 per cent compared to the same period in 2009.

Notwithstanding the fact that price trends vary at the neighbourhood level in GTA, the average price for July transactions was $420,482, representing a six per cent increase over July 2009. Over the first seven months of 2010, the average selling price was up 12 per cent annually to $432,253.

“Market conditions promoting annual growth in the average selling price have remained in place. While July sales were down compared to last year, the number of new listings in the marketplace also fell. This means there was enough competition between buyers to exert upward pressure on price,” said Jason Mercer, TREB’s Senior Manager of Market Analysis.

for more information on:

Toronto Real Estate

Richmond Hill Real Estate

Toronto Condos

Q2 New Condo Sales Figures

New condominium sales of 4,991 in Q2/10 represent a decline of eight per cent from the 5,415 sold in Q1/10, and for the first time since 1994, second quarter sales declined from the first quarter. Despite the quarter-over-quarter decrease, sales during the past four quarters were near record highs. The 21,318 new condominiums sold in 2010 is actually slightly fewer than the furious pace achieved in late 2007/early 2008.

At the end of Q2/10 the 12,638 unsold units in the CMA were being offered at $529 psf, a 12 per cent annual increase. In the former City of Toronto, unsold units averaged $639 psf.

As the new market shows signs of slowing, the existing condominium market remains very strong. The resale market set a quarterly record of 5,076 sales in Q2/10 – besting the previous high of 4,854 set in Q3/09.

The record represents an 18 percent increase over Q1/10 (4,290 resales) and five per cent over the same quarter in 2009 (4,853 resales).

A flush resale supply coming into the second quarter — at a record high 10,997 listings in Q1/10 — kept resale pricing in check, with the average resale end-selling price rising less than 1% this quarter to $331,000. Many of these resale listings were absorbed during the quarter, bringing the number of resale listings down to 8,714 units, which allowed the strong demand during the spring months to be met without further impacting affordability due to rising resale prices.

With almost 6,000 occupied and not yet registered units in the CMA at the end of Q2/10, and the potential for as many as 12,000 completions over the remaining quarters of 2010, it’s possible the addition of that many units to the market will force resale prices to remain relatively flat.

Toronto Condos

Toronto Real Estate

/market report/ June Brings Balanced Marked

Greater Toronto REALTORS® reported 8,442 sales through the Multiple Listing Service® (MLS®) in June. This represented a 23 per cent decrease compared to the record 10,955 sales reported in June 2009. Sales for the second quarter of 2010 amounted to 28,810 – up one per cent annually. Year-to-date sales through June were up 23 per cent to 50,455 compared to the first six months of 2009. "We experienced a record number of existing home sales during the first half of 2010, but these sales were weighted more towards the beginning of the year," said Toronto Real Estate Board President Bill Johnston. "The pace of home sales has moderated from record levels over the past two months with the prospect of higher mortgage rates."

The average price for June transactions was $435,034 – up eight per cent compared to the average of $403,972 recorded for June 2009.

"With more homes to choose from in the second quarter, many home buyers have been making less-aggressive offers. This has resulted in less upward pressure on the average selling price," said Jason Mercer, TREB's Senior Manager of Market Analysis. "The annual rate of average price growth in the second half of 2010 will be in the single digits." *To Read the Entire Market Report Click Here

To Begin Looking for your new home or Real Estate in Toronto visit: www.cmarco.com

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Realistic Pricing Key To Selling Home

Home buyers can expect more choice and lower prices in the second half of 2010, while sellers can expect fewer offers for their homes, says one of Canada's leading real estate brokers.

"Accurate pricing is going to be really key," said Phil Soper, CEO of Royal LePage Real Estate Services.

In its latest housing survey, Royal LePage said yesterday the real estate market will start to slow in the second half of 2010 with the number of sales expected to fall compared with the hot activity early in the year.

"I would say if you're a seller, the first thing you should expect is fewer multiple offers on your home," Soper said from Toronto.

Sellers who try to squeeze extra money out of their homes will likely have their homes "languish" on the market, unless they're exceptional properties, he said.

"I believe we are through the highly volatile spiking of prices and activity levels, both up and down," Soper said. "We'll see a much a more stable, but frankly less exciting in a good way, real estate market in the next 18 months," he said.

Soper said a lot of buyers were frustrated by a tight supply and "overexuberant competition," particularly in the first quarter, but that's easing with increased listings.

In the first half of this year, about half of real estate transactions were from people who were looking to buy a home, but weren't necessarily selling one, he said.

"It took a while for sellers to get comfortable that the recovery from the recession was real. We had an all-time record number of new homes come on the market in the first quarter of 2010. It started to impact prices in the second half (of 2010)."

Soper also noted that "fiscally aware 20-somethings," especially women, are now much more interested in buying homes than they were in the past.

Royal LePage said some markets will see a decline in home prices and sales volumes toward the end of 2010, but they should be seen more as a reflection of the highs reached late last year rather than a major slowdown.

Prices for detached bungalows and two-storey houses were up about 9 per cent in the April-June quarter, compared with the same time last year. Condominiums were up 7.3 per cent.

Royal LePage is forecasting that by the end of 2010, home prices will rise an average 6.8 per cent over last year, while the number of home sales will increase by just over 1 per cent from 2009.

Vancouver and Toronto showed some of the largest increases in the second quarter of 2010.

Average prices in Vancouver were up 16.6 to 19.1 per cent while prices in Toronto rose by an average of 7.7 to 11.4 per cent.

However St. John's, N.L., had the country's biggest increase with prices up an average of 18.4 per cent to 9.6 per cent.

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Record Numbers are in For the Month of April!

Well, April numbers are in and things continue to look rosy for the toronto real estate market. Over the fourth month of the year 10,898 sales through the Multiple Listing Service were recorded, representing a 34% increase compared to April 2009. It's important to add some perspective into these numbers - April 2009 represented the first month of recovery from the potent economic downturn. Thus at that point, the economy was far from fully recovered. There were also, 20,689 new listings processed in the Greater Toronto Area. a 59 percent annual increase. With both the sales and listings results in Apri, this resulted in a new recored for the month.

The average price for April transactions was $437,600 - up 13% - compare that with 2009's average price of $385,641.

I reckon there are many factors prevalent in the continued strength of the Toronto housing sector. Primarily low interest rates have played a huge factor in propelling the housing market to continued growth. The HST (Harmonized Sales Tax) does play a bit of a role in this, however, the full extent won't fully be understood until July 1st when the tax does come into full effect.

I'll have more information pertaining to the rules and regulations of the harmonized sales tax (hst) up a little later for further clarification.

To view April's Market Watch Click Here

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Toronto Luxury Market

In her search for a new home, Jean Rideout budgeted what she thought was an “ample” figure – $1 million. But the Toronto woman quickly found there was a yawning disconnect between her idea of what an upscale property should be and what she would eventually find in the city’s better neighbourhoods. “I didn’t expect a palace. But you’re not even getting parking in some areas for that price. I guess a million dollars doesn’t go as far as it used to,” Rideout, an executive with a telecommunications company, said with a laugh.

A heated Toronto real estate market is lifting sales of luxury homes as the economy starts to improve and move-up buyers regain confidence, says a report by Coldwell Banker Terrequity Realty released Wednesday.

The top-performing area with sale prices in excess of $1 million in 2009 was Forest Hill, where 280 homes changed hands at an average price of $1.42 million.

The Bridle Path area was in second place, with 221 sales and an average price of $2.1 million.

Oakville, west of Toronto, came in third with 174 properties sold with an average value of $1.67 million.

Rideout concentrated her search in the Beach and Bloor West Village neighbourhoods of Toronto, areas far less toney than the Bridle Path or Forest Hill. But multiple offers and bidding wars have made the journey a frustrating one.

“We’re not looking for perfection, but it’s silly when so many people are lined up bidding for what is really a very modest home for a very high price,” said Rideout.

Analysts say the spring market looks like it will remain heated, as both first-time buyers and move-up buyers like Rideout enter the market before interest rates rise in the second half of the year.

Existing home sales in the Toronto area were up by 77 per cent in February compared with the same time last year, according to figures released Wednesday by the Toronto Real Estate Board.

The board said 7,291 homes changed hands last month from 4,120 homes in February of 2009.

The average price of a home was also up by 19 per cent to $431,509.

“Increases in existing home sales and average price were noted across the GTA in lowrise and higrise home types,” said TREB president Tom Lebour.

“This suggests that first-time, move-up and downsizing buyers are all active in the existing home marketplace.”

Comparisons with the first half of last year are slightly misleading because that was the bottom of the market, caution analysts.

The Canada Mortgage and Housing Corp. released a forecast this week that the market will remain hot for the first half of the year, before trending down in the second half and into 2011.

One bright spot for buyers is that listings improved by a significant 24 per cent in February compared with last year.

“Annual growth in new listings is expected to continue,” said Jason Mercer, TREB’s senior manager of market analysis.

“New listings growth will start to outstrip sales growth as we move through 2010,” he said.

“As the market becomes better supplied, we will see more sustainable single-digit rates of growth.”Homes are still being snapped up because of a lack of supply. The average home is on the market for 22 days before being sold, compared with 45 days last year.

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