Friday, July 2, 2010

In Toronto, multiple factors are at work shaping a see-saw market

A monthly decline in new home sales is hard to read... by Terrence Belford, Globe and Mail Real Estate

May housing statistics are in. April’s buoyant market seems to have sprung a leak. Preliminary reports suggest June will continue that trend.

Is there anything to glean from the month-to-month changes in new high- and low-rise homes and resale housing?

Jim Ritchie, senior vice-president of sales and marketing at Tridel Corp., seems to agree with 19th-century British Prime Minister Benjamin Disraeli when it comes to gleaning trends from monthly ups and downs.

Mr. Disraeli is famously quoted as saying there are three kinds of lies: lies, damned lies and statistics.

“I don’t pay much attention to month-to-month changes,” says Mr. Ritchie. “Right now, for example, there are so many factors at play in the market that any or all of them could affect short-term buying decisions.

“I think we are still on track to sell at least 15,000 high-rise units for the year and that would make it a good normal year for sales.”

So what happened in May?

Source: Globe & Mail, By: Terrence Belford
Published on Thursday, Jul. 01, 2010 10:58AM EDT
Last updated on Thursday, Jul. 01, 2010 11:03AM EDT

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