28 Dec 2021

Episode 95: House and condo prices to reach new highs in early 2022

Anyone else looking to put 2021 behind them and move on to what must be a much better 2022?

I’m here to acknowledge the garbage Holiday season and put that behind us… so let’s look forward to 2022, shall we?

On December 28, 2021, at 8:49 a.m. (as I type), we’re sitting with the least amount of houses and condos for sale in our urban markets. Like, by far. Have a look at this time last year here.

Last year, we had 42% MORE houses on the market and 140% MORE condos on the market.

Condos are going to be a massive story as we open 2022.

But, before we get any deeper into this, I want to make sure you’ve signed up and are following my weekly market reports. Toronto’s only weekly reporting that’s hyper focussed on specific Toronto communities. Scroll to the bottom of the blog and sign up now… do it.

I created this weekly deep dive specifically for our urban markets (and three other communities + one new one coming soon) to help provide context to all of the “Canadian real estate market is doing this and that” in the news.

You hear news of interest rates about to rise. One person says it’s going to skyrocket, another says it’s not. And, another says the market is going to tank. How are you supposed to take any of this seriously?

Then some yahoo starts spouting off about a market crash, which then spurs a bunch of weird social media posts from people (realtors included) who are either misunderstanding the data or are just long time real estate bears who are hoping they’re finally right, linking articles with no context.

Then everyone gets confused, anxious, freaked out and continues the strange cycle of blaming the government for how expensive homes are.

Now let’s do an exercise. Repeat after me:

“Affordability is not a problem that can be solved.”

“Starter homes in Toronto used to be smaller detached houses, but now they’re 400 sqft condos, and I’m ok with that.”

“The government will never make buying more affordable for me…in fact, the government should stop trying to help people buy homes.”

“The only thing the government and other organizations should be focussed on is helping those that don’t have access to housing get a roof over their heads.”

“I will buy whatever I can afford and not complain about it.”

“If I can’t live in what I can afford to buy, I will buy it anyway and rent it out until the investment has earned enough equity to buy a suitable home for my family.”

How did that feel? Now save this on your phone and recite it like an affirmation every morning before leaving your home.

Deal?

So what’s going to happen in 2022? That’s a great question that I’m excited to answer in my upcoming 2022 real estate forecast. Make sure you’re signed up to the blog, so you’re among the first to receive a copy.

That’s all for today; thanks so much for your energy and attention. If you want some clarity on the market and your specific situation, please DM, comment below, or email Ara@thespringteam.ca!

Urban Markets: Downtown & Surrounding Areas
House Average Price: $1,742,065
House Median Price: $1,321,000
183 Active Listings
23 Firm Sales This Week
Months of Inventory (MoI) ~ 0.78
Average Days on Market ~ 36 DoM

Condo Average Price: $779,181
Condo Median Price: $690,500
751 Active Listings
75 Firm Sales This Week
MoI ~ 1.06
Average Days on Market (DOM) ~ 19.2

Urban North: Rosedale, Deer Park, Moore Park, Forest Hill, & Lawrence Park
House Average Price: $4,640,000
House Median Price: $4,640,000
60 Active Listings
2 Firm Sales This Week
Months of Inventory (MoI) ~ 1.14
Average Days on Market ~ 18.41 DoM

Condo Average Price: $1,018,000
Condo Median Price: $715,000
112 Active Listings
9 Firm Sales This Week
MoI ~ 2.06
Average Days on Market ~ 43.58 DoM (skewed due to one huge 165 DOM sale)

Leaside, Davisville, Yonge & Eglinton
House Average Price: $2,051,000
House Median Price: $2,051,000
11 Active Listings
1 Firm Sales This Week
Months of Inventory (MoI) ~ 0.734
Average Days on Market ~ 4.75 DoM

Condo Average Price: $843,508
Condo Median Price: $701,000
33 Active Listings
5 Firm Sales This Week
MoI ~ 0.79
Average Days on Market ~ 26.41 DoM

Birch Cliff
House Average Price: $1,845,733
House Median Price: $1,750,000
4 Active Listings
3 Firm Sales This Week
Months of Inventory (MoI) ~ 0.46
Average Days on Market ~ 18.67 DoM

Kingston Rd Corridor to Highland Creek (coming soon!)
House Average Price:
House Median Price:
? Active Listings
? Firm Sales This Week
Months of Inventory (MoI) ~ ?
Average Days on Market ~ ? DoM

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