We are back at it again with a review of the Market Watch from October 2023.
The Greater Toronto Area saw some interesting changes to the market over the month of October 2023 and of the most surprising to most was the average sales price.
Average sales price of a Detached home was up 6.1% compared to the same time last year. We did also see a huge increase in the number of new Listings, up 38% which leads to more homes sitting on the market do to a variety of choices/competition.
“Competition between buyers remained strong enough to keep the average selling price above last year’s level in October and above the cyclical lows experienced in the first quarter of this year. The Bank of Canada also noted this resilience in its October statement. However, home prices remain well-below their record peak reached at the beginning of 2022, so lower home prices have mitigated the impact of higher borrowing costs to a certain degree,” said TRREB Chief Market Analyst Jason Mercer.
“In the current environment of extremely high borrowing costs, it is disappointing to see that there has been no relief for uninsured mortgage holders reaching the end of their current term. If these borrowers want to shop around for a more competitive rate, they are still forced to unrealistically qualify at rates approaching eight percent.
Following their most recent round of consultations, the Office of the Superintendent of Financial Institutions should have eliminated this qualification rule for those renewing their mortgages with a different institution,” said TRREB CEO John DiMichele
If you have any questions or to better understand what is happening in your neighbourhood, please contact us.