June-July 2024 Market Update

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Toronto & GTA

June 2024 saw lower home sales compared to the same month last year, despite a recent rate cut by the Bank of Canada. The market remained well-supplied, leading to a slight dip in the average selling price. Here’s a detailed overview of the Toronto Regional Real Estate Board’s (TRREB) latest report for June 2024:

Sales and Listings:

  • Total Sales: 6,213 (down 16.4% from June 2023’s 7,429)
  • New Listings: 17,964 (up 12.3% year-over-year)

Prices:

  • MLS® HPI Composite Benchmark: Down 4.6% year-over-year
  • Average Selling Price: $1,162,167 (down 1.6% from June 2023’s $1,181,002)
  • Seasonally Adjusted Month-over-Month: Both the MLS® HPI Composite and the average selling price were up compared to May 2024

Market Insights:

  • Buyer’s Market: Increased listings and fewer sales mean less competition among buyers, providing more negotiating power.
  • Impact of Rate Cuts: Despite the Bank of Canada’s rate cut, many buyers are waiting for further reductions before purchasing. Ipsos polling for TRREB suggests that cumulative rate cuts of 100 basis points or more are needed to significantly boost home sales.
  • Future Demand: Strong population growth is expected to drive long-term demand for housing, both ownership and rental.

Expert Opinions

  • TRREB President Jennifer Pearce: The recent rate cut provided initial relief, but more cuts are necessary to encourage buyers to enter the market. Most home buyers are still on the sidelines, awaiting more substantial reductions in borrowing costs.
  • TRREB Chief Market Analyst Jason Mercer: The well-supplied market is currently beneficial for buyers, providing them with substantial choice and negotiating power. As sales are expected to pick up with further rate cuts, the elevated inventory levels should prevent a rapid increase in selling prices.
  • TRREB CEO John DiMichele: To meet the goal of 1.5 million new homes by 2031, coordinated efforts from all government levels are crucial. This includes removing red tape, avoiding financial barriers to home construction, and ensuring timely and actionable solutions.

Market Overview:

  • Less Competition for Buyers: June saw reduced buyer activity compared to last year, offering a less competitive environment for those actively looking to purchase.
  • Stable Yet Decreasing Prices: Despite high interest rates, the adjustment in selling prices has somewhat cushioned the impact, making homes slightly more affordable.
  • Future Outlook: As the market anticipates further rate cuts, the balance of supply and demand may shift, leading to potential price increases. Buyers and sellers should stay informed and ready to act as conditions evolve.

Caledon

Bolton

Muskoka

June is the month of anticipation… kids anxious to get out of school, summer plans being finalized and dreams of lazy days, bbq’s and time outdoors. Often the Summer is when folks consider moving to suit their current real estate needs.

Here are the numbers for the Muskoka area including Bracebridge, Gravenhurst, Huntsville, Lake of Bays and Muskoka Lakes

This is the season that many are searching for a recreational property or second home/cottage. On water or off, we are seeing a variety of different properties to suit almost every buyer’s wish list so don’t be afraid to engage with an agent to help you find your dream space

Often people worry, wondering if they are ever going to get their perfect home or that they will miss out on the deal of the century. Like any other major purchase, the best suggestion is do your homework ahead of time. Create the “must have” and “nice to have” lists, confirm your finances in writing with your lender. We can help you understand what is happening with up to the minute numbers and comparable listings that truly reflect the current market so that when you decide “this is it” you will have the confidence to move forward.


Perhaps you’ve been searching for that one-of-a-kind property, but just can’t find it? We are seeing a variety of different properties to suit almost every buyer’s wish list so don’t be afraid to engage with an agent to help you find your dream space.

We can help answer your questions, provide you with a free no-obligation Home Valuation and help you find that perfect property.

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