Category Archives: Real Estate News

Income to Afford a House Across Canada

The Income Required to Purchase a Home in Toronto

By: Zoocasa

Are you interested in buying a home in Toronto? If so, you’ll need to be among the top bracket of income earners, according to a recent report by Zoocasa.

The report states that only the top 10% of income earners can afford to purchase a house in Toronto, at a benchmark price of $873,100. This means that someone would have to obtain an income of $124,554 in order to afford a home of this price.

Toronto is one of the most expensive places to live in all of Canada, second only to Vancouver. To buy a house there, residents are required to have an income of $205,475, which is among the top 2.5% of income earners. Homes are out of reach for nearly everyone residing in this coastal seaport city. These dramatic real estate prices can be attributed to the ever-increasing population densities in both Vancouver and Toronto.
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April TREB numbers

Real Estate Sales Heating Up for Spring – April TREB Report

By: Zoocasa

After a prolonged dip in real estate sales, the Toronto Real Estate Board (TREB) is happy to report that sales are beginning to increase within the Greater Toronto Area. Houses for sale in Toronto jumped by 11.3% since March, while year-over-year home sales have increased by 16.8%. Toronto’s real estate market conditions have slightly increased towards a ratio of 56%, remaining on the edge of a seller oriented market. The overall sales-to-new-listings ratio for all TREB markets has also increased from 47% in April 2018, to 52% in April 2019. The growth of these new MLS listings is much lower than the growth reported for sales. Although this is still within a balanced range, it is something that may tighten market conditions as the months progress.
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GO Train

Here’s What You’ll Pay to Live Close to a GO Train Stop

By: Zoocasa

Living walking distance to your office isn’t an option for most who work in the downtown core anymore. It’s a question of affordability: the average property in Toronto central now goes for about $1.3 million, while condos are almost $600,000.

Many residents are now choosing instead to live within commuting distance to the city. Not only are they likely to get a bigger house on more land, but if they live close to the GO Transit line, they can skip the congestion and traffic and enjoy an easy ride to work.
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Toronto condos in March

Toronto Experiences Slower Condo Market in March

By: Zoocasa

Condo sales posted unusually weak price gains this March, rising only 2 per cent year over year, says a recently released report by the Toronto Real Estate Board.

It’s surprising because since new mortgage regulations came into effect on January 1, 2018, condo prices have been the darling of the Toronto real estate market, rising between 5- 10 per cent year over year every month, even as detached houses softened. But this March, condo prices only grew slightly.

Units in the 416 rose 2.3 per cent to $603,969, while units in the 905 grew 3.3 per cent to $463,774. Condos for sale in downtown Toronto were still the most expensive units across the TREB region, going for $673,220, but are only $20,000 more expensive than in March 2018.
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TREB February Report

TREB Calls For Longer Amortizations to Ease Stress Test: February Report

By: Zoocasa

The Toronto Real Estate Board is blaming a soft housing market on tighter mortgage lending rules — and wants 30-year amortizations back to fire up sales.

Sales declined 2.5 per cent to 5,025 transactions, while property prices edged down 1.5 per cent to $780,400 this February year over year.

“The OSFI-mandated mortgage stress test has left some buyers on the sidelines who have struggled to qualify for the type of home they want to buy. The stress test should be reviewed and consideration should be given to bringing back 30-year amortizations for federally insured mortgages. There is a federal budget and election on the horizon. It will be interesting to see what policy measures are announced to help with home ownership affordability,” said TREB President Garry Bhaura.
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Toronto Luxury Condos

Which Condos are Toronto’s Most Expensive?

By: Zoocasa

While the weight of the Ontario Fair Housing Plan and the mortgage stress test resulted in 2018 being one of the worst years in recent record for the Toronto real estate market, condos saw a boost in popularity among home buyers.

While the average home price fell 4.3% to $787,300 over the year, the average condo saw the most price growth among all property types. With an overall increase of 8.7%, condo prices averaged at $593,366 for 2018.

At the other end of the spectrum, detached home prices offset the increase with a price decline of 7.1%. Semi-detached and townhouses had a slight uptick for price growth at 1% and 2.7%, respectively.
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Buying a Home on One Income

Ontario Cities Mostly Out of Budget for Single Income Buyers

By: Zoocasa

With the rise of real estate prices across Ontario, buying a home in the province, even with dual incomes, is no easy feat. For the significant portion of Canadians who are buying a home on a single income, you can expect that affordable cities are even fewer and far between.

Results from a Zoocasa study, which looks at the affordability of single home buyers in 20 cities across Canada, reveals that four of the five Ontario cities are out of budget for all age groups. Save for the capital, where a couple of age groups can afford homes on a single income, Ontario cities remain mostly unaffordable for singles looking to buy a home.
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December TREB report

GTA Home Sales Decline 16% in 2018: December TREB Report

By: Zoocasa

The festive season wrapped up a quiet year for the real estate market in the Greater Toronto Area, as reported by the Toronto Real Estate Board.

The latest report shows a 31.5% decrease in new listings in the GTA compared to December of last year, with 4,308 units on the market and a total of 3,781 homes sold. Compared to November, the month suffered a 39% fall in activity and an overall 22.5% decline in sales since a year ago. Market conditions during the month reflected a busier time for sellers with 87% of all homes listed sold.
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Ontario sellers markets

Is Ontario Almost Entirely a Sellers’ Market?

By: Zoocasa

Ontario is either almost entirely advantaged toward the seller, or balanced, according to the latest data from Zoocasa.

That means the sales-to-new listings ratio (SLNR) exceeds 60 per cent in 12 Ontarian cities. A sales-to-listings ratio of 40 to 60 per cent is considered balanced, and below that range it becomes a buyers’ market.

“While the SNLR doesn’t always reflect how affordable a market is, it can offer valuable hints on how a market has changed over the long or short term, and whether or not it’s an advantageous time to list or purchase a home,” writes Penelope Graham, managing editor at Zoocasa.
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