Bosley Real Estate Market Insight - May 29th, 2020

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MARKET UPDATE FOR THE WEEK ENDING MAY 29TH, 2020
With large companies extending their work-from-home policies economists are predicting that real estate trends might shift and cause a “suburban boom” in the housing market. These trends in the job market could lead to housing preferences that move away from dense metropolitan areas and an outward migration of young families that could be considered the new “hipsturbia”.

Moving away from the central core can offer affordability at the cost of your time and gas money. Relaxing those costs by working remotely could mean more households can choose those larger homes farther out. As people reconsider housing options in conjunction with remote work, the amount of space desired by home shoppers will also shift. Larger homes, especially those with extra rooms or home offices, will be in high demand. Prior to this pandemic, the growing affordability crisis in the city was also having a major impact on the suburban real estate surge.

However, a shift to living further out of the metropolitan core is not without its drawbacks, which is why economists do not predict that the market surge will extend to more rural areas. Moving away from the city means they’d also be moving farther from a wider variety of restaurants, shops, yoga studios and art galleries, so proximity to the urban core is still crucial. The pandemic will ultimately lead to a change in how we work and live.

With a bit about what we are seeing out there. The freehold market recorded a 37% increase in new listings last week. The increase is widespread across the entire core of the city. The number of sold properties saw a slight drop, but a strong 56% sold at or above the list price. The condo market is starting to pick up again. There has been a steady increase in listings and last week sales were up 21% from the previous week, and condos selling at or above the list price are hovering in the 20-30% range.
Bosley Real Estate Ltd. is a full service boutique brokerage operating in Toronto, Niagara-on-the-Lake, Port Hope and Cambridge Ontario since 1928. We have four centrally located offices and over 250 sales representatives selling and leasing homes and condominiums in all the vibrant communities we work in. Our brand is well recognized internationally thanks to our unique affiliation with Leading Real Estate Companies of the World. Our sales teams meet weekly to discuss market conditions, trending topics, and anecdotes that more accurately reflect the true temperature of the real estate market.

APRIL Market Watch Report

For help in interpreting this information as it relates to your property, please call or email me and I will be happy to assist you without any obligation.

LEASIDE & DAVISVILLE DRIVE THRU FOOD DRIVE SAT/SUN MAY 30 & 31st

Next weekend Sat and Sun May 30/31st Patrick and I are happy to hold the Leaside Davisville Drive Thru Food Drive benefiting The Thorncliffe Park Food Drive. 

Be sure to follow Patrick on his Facebook account on Sunday #PatrickRoccaLeasideDavisvilleEastYorkRealEstate to track where we are on the streets of Leaside and Davisville. 

Thank you to our partners... ACCESS STORAGE, Valu-mart, The Leaside Toy Drive and Bosley Real Estate
#givebacktothecommunity #support #difficulttimes 🙏❤️😷

Bosley Market Insight Week Ending May 22nd 2020

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MARKET UPDATE FOR THE WEEK ENDING MAY 22ND, 2020
As we navigate through these uncertain times, we are wondering what condo life will look like in the future. To illustrate how quickly the condo market changed as a result of COVID-19, resale activity was up 25% year-over-year during the first half of March 2020 and fell 21% year-over-year in the second half of the month, with even steeper annual declines of over 70% reported for April. However, the GTA market was exceptionally tight leading into the COVID-19 period, creating spillover demand that has enabled the limited number of units on the market to continue transacting. In fact, the average sale price-to-list-price ratio has remained near 100% through April, and the average days on market was unchanged at 18 days.

As sales have declined by a much faster pace than new listings, resale condo prices have experienced some reduction. Preliminary resale data for April reported a 2.2% annual decline in average resale prices for condos, and most of the decline has occurred for higher-priced units. Overall, industry experts feel that resale values might be down by 5% at the end of 2020 compared to the end of 2019. Again this is all speculation as no one has a crystal ball.

Toronto rents were also down on all fronts. In April, the average one-bedroom rent in Toronto dropped 2.2% month-over-month to $2,200 and two-bedroom rent fell 4.1% month-over-month to $2,830. The decline in rental transactions can clearly be related to the impact of the protective measures and economic uncertainty stemming from the onset of COVID-19 pandemic, with renters less willing or able to take on a new lease at current rents, as well as the closing of Canadian borders and the challenges with showing units and planning for a move in the current environment.

Of importance, rental supply did not experience the same degree of decline as leases, with new listings decreasing by a more modest 7% in the post-COVID-19 period from a year earlier. The relatively more stable level of new listings may be attributed to a rise in condo completions in the first quarter, tenants unable to pay their rent providing notice to vacate, and some short-term Airbnb units becoming available in the long-term market.
Bosley Real Estate Ltd. is a full service boutique brokerage operating in Toronto, Niagara-on-the-Lake, Port Hope and Cambridge Ontario since 1928. We have four centrally located offices and over 250 sales representatives selling and leasing homes and condominiums in all the vibrant communities we work in. Our brand is well recognized internationally thanks to our unique affiliation with Leading Real Estate Companies of the World. Our sales teams meet weekly to discuss market conditions, trending topics, and anecdotes that more accurately reflect the true temperature of the real estate market.

LEASED!!!! Leaside Condo Rental 928 Millwood Rd #203

Lovely 2 Bedroom, 2 Bathroom Condo Rental On Millwood In The Heart Of Leaside, Very Serene Setting, Unit Overlooks Residential Not Facing Millwood Rd. Approximately 1121 Sq Ft With Two Large Bedrooms And Bathrooms, Lots Of Closet Space, Updated Kitchen With Stainless Steel Appliances, Large Living Room And Dining Room, TTC At Your Door. Nearby Shopping Plazas, Park, Swimming Pool, Library, New Costco Centre Nearby. Asking $2,500/Mth With Parking & Locker!

Why housing sales and prices are marching to different tunes

Click below to read this Financial Post article. Good read! Not all price points, not all property types and not all communities have been impacted the same way by this pandemic.


https://business.financialpost.com/real-estate/mortgages/why-housing-sales-and-prices-are-marching-to-different-tunes

DAVISVILLE + LEASIDE VOICE MAY 2020

Again this month, Patrick didn't send out his Davisville + Leaside Voice Newsletter to keep with COVID-19 precautionary measures. 

Hopefully next month you will see his newsletter in your mailbox once again. 

Click here to read his May 2020 newsletter...

Bosley Market Insight Week Ending May 8th 2020

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MARKET UPDATE FOR THE WEEK ENDING MAY 8TH, 2020

The April stats were released this week from the Toronto Real Estate Board and as bleak as it may look with sales down 67%, home prices remained at April 2019 levels. There was also a report put out by CMHC (Canada Mortgage and Housing) that suggested Canada’s real estate prices probably wouldn’t return to pre-covid levels until the end of 2022. The experts reject that bleak outlook suggesting national outlooks do not necessarily reveal regional, municipal, or even neighbourhood distinctions, and some experts say Toronto’s prospects may not be so bleak.

RBC Economics suggested that the worst may have passed with April being the low point for housing resales now that the economy is showing signs of starting back up. If the economy opens up, buyers and sellers might start engaging with the housing market again, bringing an uptick in sales. For some, the prospect of waiting to move is not an option. Whether they’ve already sold a home pre-COVID-19 and need to buy, they need to access their home equity to keep their business operating, or they’ve been laid off and need to pay the bills, the property market will need to continue operating in order to serve these individuals.

While people may fear that the resources for purchasing or selling a home won’t be available, this is not the case. Homebuyers and sellers will have the support needed during their real estate process. As a result, a lack of resources will not be a factor in slowing down the market. The Bank of Canada has announced a decrease in its benchmark interest rate, putting the current rate at 0.25%. Buyers can now borrow a larger amount of money for mortgages and pay less interest over time. For those who have retained their jobs and have a down payment on hand, they will be in a strong position to leverage lower interest rates to make a down payment on a home. While markets have shifted, the long-term impacts on Toronto real estate prices remain to be seen.

Don’t forget its Mother’s Day this Sunday. In these challenging times and thanks to modern conferencing apps it's possible to stay connected and spend time together even if you can't be in the same room. To all the moms, thank you!

Bosley Real Estate Ltd. is a full service boutique brokerage operating in Toronto, Niagara-on-the-Lake, Port Hope and Cambridge Ontario since 1928. We have four centrally located offices and over 250 sales representatives selling and leasing homes and condominiums in all the vibrant communities we work in. Our brand is well recognized internationally thanks to our unique affiliation with Leading Real Estate Companies of the World. Our sales teams meet weekly to discuss market conditions, trending topics, and anecdotes that more accurately reflect the true temperature of the real estate market.

HERE ARE THE TOP FIVE TRENDING STORIES OF THE WEEK:

Google's Sidewalk Labs Pulls Out Of Toronto Smart City Project  ”The company says economic uncertainty prompted it to put an end to the waterfront development.”

Toronto House Prices Drop As Vancouver Home Sales Hit 38-Year Low
“The pandemic has sent Vancouver home sales back to 1982 levels.”

Lower rents and slowing demand may result in a post-pandemic condo sell-off, expert says
“The president of condo tracking market research firm Urbanation says the development industry might be overly optimistic about the sector’s post-COVID prospects.”

Home Buying Transactions in U.S. to Dip Almost 60 Percent This Spring  “Then rise over balance of 2020 and fully recover by end of 2021, says Zillow.”                                                                                                      

Bosley Real Estate Ltd., Brokerage,
Toronto Real Estate firm independently owned & operated

LATEST TRREB MARKET WATCH BY THE NUMBERS INFOGRAPHIC!

For help in interpreting this information as it relates to your property, please call or 

email me and I'll be happy to assist you without any obligation.

Five things to watch for in the Canadian business world in the coming week

https://www.ctvnews.ca/business/five-things-to-watch-for-in-the-canadian-business-world-in-the-coming-week-1.4892822