Bosley Market Insight, January 19
Ah, January. The month of new beginnings as we all wait for the real estate market to take off. Generally speaking, January is a slow month for new listings and the weather has been kind to us, but research indicates that listings in the freehold sector have backed off substantially from a year ago while demand has not wavered. The Bank of Canada decision to hold its benchmark interest rate steady, and RBC lowering its mortgage rate 15 basis points yesterday with likely more cuts to come, has given some people hope they’ll be able to buy or trade up.
In the freehold market, listings continue to be a source of concern. Compared to the same time last year the east end of the city (E01-E03) is way down in listings. But we are seeing multiple offers starting up again. A listing in the east end listed for $649K attracted 14 offers and sold for $853K. Are potential sellers reluctant to list their properties for sale in this uncertain market? The buyers are out there waiting.
The resale condo market, on the other hand, has started off with a boost in new listings, almost 50% more than a year ago. The sales are virtually the same but 2019 is starting off strong with 58% of the condos sold in the downtown core selling at or above the list price. As many as 25,000 finished condo units will be delivered this year. That’s a big supply jolt for a market that has delivered fewer than 15,000 finished units over the past two years.
– Provided by Bosley Real Estate