09 Aug 2022
Week 127: Detached House Near Subway Sells for $515K
Week 127: Detached House Near Subway Sells for $515K
A stagnant market out there with the fewest buy transactions (for freehold) I’ve ever seen in over ten years. Ok, well, the first few weeks of Covid back in 2020 had a week with only 15 sales, so this is a close second.
Only 17 Houses traded last week in a market where we usually see well over 60-100 transactions.
Such little activity out there that whoever is brave enough to be on the market right now is scratching their heads at the lack of showings. If you have one showing booked, you’d better be all over that buyer and agent to get them to the offer table.
And if you’re lucky enough to get an offer. Especially if you get a firm offer, you’d better consider taking it if you need to sell. Holding out for a better 2nd offer is not going to happen. You can switch agents; you can try a different marketing strategy, and you can try anything.
I know you think there’s a better buyer out there who’ll see the love and care you put into your home and give you that big offer you’re waiting for.
Stop.
That’s not going to happen right now, so either pull your property off the market and wait for things to improve next year or have your agent negotiate the offer as high as possible, take your money, and move on.
Unless you have something super special, those places are still selling.
Most smart sellers who aren’t in a position where they must sell are pulling their properties off the market. And that’s indicated in yet another week of both house and condo supply dropping. (continued below chart)
(please subscribe to my new YouTube Channel here, where I go over all of these reports in more detail)
Urban Markets: Downtown & Surrounding Areas
House Average Price: $1,393,354
House Median Price: $1,300,000
503 Active Listings
17 Firm Sales This Week
Months of Inventory (MoI) ~ 1.57 (down from 1.77 last month)
Average Days on Market ~ 18.59
Condo Average Price: $772,755
Condo Median Price: $720,900
1634 Active Listings
60 Firm Sales This Week
MoI ~ 2.02 (down from 2.16 last month)
Average Days on Market (DOM) ~ 23.08
Condos are still selling as they usually would during this time of year. There are only 60 sales to report, but overall, we’re getting reasonable prices on most units as rental rates have investors in fully buy mode.
If you’re an investor looking for a solid deal, you should be looking for assignment sales currently in occupancy so you can get a fantastic price on the unit and rent it out for an insanely high price.
I still get calls (showing me both hate and love) for my quote in this Toronto star article where I stated an increase of $1000/mth (2500 to 3500).
Landlords, if you own a unit that was not occupied for residential purposes or built before November 2018, you can increase the rent substantially to catch up to the market. Sorry Tenants, but some landlords who’ve been underwater for too long need to play catch-up.
Urban North: Rosedale, Deer Park, Moore Park, Forest Hill, & Lawrence Park
House Average Price: $2,354,167
House Median Price: $2,200,000
124 Active Listings
6 Firm Sales This Week
MoI ~ 2.04 (down from 2.40 last month)
Average Days on Market ~ 14.83
Condo Average Price: $1,137,833
Condo Median Price: $1,111,000
179 Active Listings
3 Firm Sales This Week
MoI ~ 2.12 (down from 2.43 last month)
Average Days on Market ~ 31.33
The luxury markets aren’t pulling back supply as rapidly as the mixed urban communities but aren’t adding any new supply.
Very little sales activity here, but that’s normal for this time of year anyway. We’ll have to wait and see what the Fall holds for this area and others, but right now, we’re pretty confident that buying activity will increase here as we head into September/October.
What’s very interesting to see is the dropping Months of Inventory, aka MoI stat in EVERY community we track.
Further proving that Toronto has firm, financially stable property owners. Well…except for that one house at Victoria Park and Danforth that sold for $515K (over $100K below asking) by power or sale.
Don’t get excited; power of sales and foreclosures aren’t usually an opportunity to get exceptional deals. This was the exception to the rule. Message me, and I’ll email you the listing details.
(continued below chart)
Leaside, Davisville, Yonge & Eglinton
House Average Price: $2,448,800
House Median Price: $2,004,000
29 Active Listings
10 Firm Sales This Week
Months of Inventory (MoI) ~ 0.85 (down from 1.65)
Average Days on Market ~ 15
Condo Average Price: $679,750
Condo Median Price: $637,750
164 Active Listings
6 Firm Sales This Week
MoI ~ 2.38 (down from 2.53)
Average Days on Market ~ 24.5
Leaside, Yonge and Eg area is fascinating to me! It’s historically been one of the most undersupplied communities in the 416.
This past week we went from over 40 available listings to only 29. And it should hold here as that’s been “normal” for the area since covid had everyone upgrading to their dream Leaside home.
Honestly, it’s the only community I’d move to if we ever got sick of our fantastic house in Scarborough.
The Leaside area is also the only community in the 416/905 with under one month of inventory, officially making Leaside and the surrounding area the most robust market in the entire city.
I wouldn’t second guess buying opportunities here for both houses and condos. On that note, if you know anyone selling their home here for $2.5 or less, let me know! We’d be interested in taking a look. (continued below chart)
Birch Cliff
House Average Price: $2,065,000
House Median Price: $2,065,000
30 Active Listings
1 Firm Sales This Week
Months of Inventory (MoI) ~ 1.52 (up from 1.55)
Average Days on Market ~ 13
So Birchcliff had to go and break the mould as the only community to add a tiny bit of supply and increase MoI. Look, this area has been the darling of Toronto (well, I guess we should say Scarborough) for over two years. With prices popping from under a million to nearly $2mm regularly. So we’ll cut Birchcliff a bit of slack for adding some supply this week.
Demand here is still strong, and most sellers are doing ok.
We know of the largest home in the area coming to market soon. It should be around $3mm. Give us a shout if you’re interested in something off the market here. (continued below chart)
Kingston Rd Corridor to Highland Creek
House Average Price: $1,091,533
House Median Price: $1,069,650
93 Active Listings
6 Firm Sales This Week
Months of Inventory (MoI) ~ 1.84 (up from 1.82)
Average Days on Market ~ 9.83
Condo Average Price: $625,000
Condo Median Price: $625,000
69 Active Listings
1 Firm Sales This Week
MoI ~ 2.44 (up from 2.04)
Average Days on Market ~ 43
Despite being all excited about drops in MoI across the board, the Kingston Rd corridor and Birchcliff added a little bit of supply month over month.
However, overall supply is still relatively low across the board but, of course, is about 10% higher than last year.
I’ll end with an important note.
You’re going to read a ton of info out there claiming that for the first time, Toronto prices are down year over year.
You’d see just that when looking at the average price at this exact time last year (week 75).
Urban freehold was trading at an average of $1.5mm. And looking at today’s numbers, we have an average sale price of under $1.4mm.
But you also have to look at the sales activity.
Last year there were 47 sales during the same period. This week only 17.
Last year, more higher-end properties were listed for sale, which increased the average price. This year, not so much.
So average price is not a pure reflection of how the market has performed year over year.
Yes, we are down. Some communities are down more than others, and you need to be careful as a buyer as we head into this recession, but the real story is much less dramatic than those comparing the late 80s to today.
Want to talk about real estate? Let’s do it on YouTube 🙂
(don’t forget to subscribe to my new YouTube Channel here, where I go over all of these reports in more detail)
Have a terrific Tuesday, and I’ll see you next week 🙂
Have a wonderful day, and don’t forget to share this. We have over 42,000 subscribers, and the list keeps growing. Thank you for that!
Don’t forget to follow us on Instagram and Facebook.
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.
