Wondering what to expect in 2014 from Toronto’s Real Estate Market? Here are some of my 2014 predictions for Toronto Real Estate.
Real estate, like many aspects of our economy is heavily influenced by factors that are out of our control. That is a reason why it’s difficult to make predictions for Toronto real estate without first acknowledging that global events such as international conflicts, natural disasters, oil shortages, the collapse of large economies (think China) all impact our local real estate market in one way or another.
If all things remain relatively stable globally, you can expect to see Toronto and Vaughan real estate markets doing fairly well in 2014 with selling prices higher than the rate of inflation. The immediate picture is clear – very strong demand for low-rise houses will continue throughout the year, especially in highly sought after locations throughout Toronto, Thornhill and Vaughan.
In 2014, these three things will remain true:
- Toronto’s real estate market will not crash.
- Low-rise homes in the greater Toronto area will sell for historically high average prices.
- Worldwide turmoil’s make Canada look like a nice place to live.
Low interest rates will continue to allow first time buyers to enter the market while encouraging those who already own a home to “move up a size” as their needs change. Condo renters will turn into condo owners, while condo owners naturally turn towards the low-rise market for a home to accommodate their needs. Low-rise homes are townhouses, semi-detached homes and fully detached homes also known as singles.
The Canadian Real Estate Association (CREA) suggests prices will climb a modest 2.3% nation-wide, down from 5.2% in 2013.
Canada has long been considered a safe place not only to raise a family, but also to invest in real estate. Canada was one of the only countries not affected by the global recession just a few years ago and continues to show great returns for local and foreign investors.
The condo market is going to see a large number of units that were sold 3-5 years ago coming to completion. More units were sold in 2011 than were ever sold in Toronto’s history. This can add up to 20,000 new units to the Toronto real estate market which has seen very low vacancy rates in the 2013 renters market. A breathe of fresh air for those looking to rent later in 2014.
Overall, I see supply lagging behind demand for 2014 throughout the low-rise housing market with condo sales and preconstruction releases remaining low.
If you have any questions about the home buying process or would like some information about the Toronto, Vaughan or Thornhill real estate market, feel free to contact me.
CONTACT ILAN NOW FOR A MORE PERSONALISED SEARCH EXPERIENCE!
Ilan Joseph is a Real Estate Broker with Sutton Group and is co-founder of a 10-person award-winning Toronto, Thornhill and Vaughan real estate team.
For over 10 years, Ilan has provided more than 1550 buyers and sellers valued advice and service, enabling them to reach their real estate goals.
He’s kind of like the Bruce Willis of real estate.