As we’re fast approaching the second half of 2022 and entering the season of Summer, there are many things to consider when referring to the real estate market in Canada. If you live specifically in Toronto and the Greater Toronto Area or are planning to move to this area or even sell property in this region, you’re aware of some of the standard market conditions that affect buying and selling conditions. But like any market, the real estate in the area can shift.
Here are some summer 2022 predictions for the real estate market in Toronto and the Greater Toronto Area, based on reports from Royal LePage and RE/MAX.
A rise in real estate prices across all property types
While the entire real estate market in Canada is facing a real estate price rise, Toronto and the GTA are facing a slightly higher increase. This can be due to a couple of reasons, but one prominent reason is the continued rise in demand for housing in this area. It is expected to continue to rise from the summer onwards. In Toronto alone, the average real estate prices are expected to continue to go up to around 10% this year.
Demand for condominiums may go up
Due to their relative affordability compared to other property types, condominium demands may rise. According to RE/MAX’s 2022 Canadian Housing Market Outlook Report, there’s expected higher activity in the condominium market, especially in Mississauga during the summer until the end of 2022.
The seller’s market is expected to continue
Due to high demand and limited supply, the seller’s market will continue. With demand for this area still up, property sellers can expect to continue selling their property during the summer. Because property prices have gone up, they can also expect a good deal in their property sales. It may be slow due because buyers may be hesitant to buy at prices today, but it is not impossible.
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Outmigration is likely to continue to grow
With the unattractive rise in housing prices, there’ll be continued growth in people moving out of Toronto and the GTA. This doesn’t mean that the market will deteriorate as there’s still a sufficient amount of demand in this area. The demand can continue to go up, but also expect sales of property and availability of housing.
Move-up buyers expected to drive demand
After years in a particular home, some homeowners make the decision to upgrade their current homes or upgrade to a better, usually more expensive home. These types of buyers are called move-up buyers. While they don’t hold the highest percentage of the demand in the real estate market, they may help drive the overall demand. Some of these move-up buyers may already live in Toronto or the GTA, but some may come from other regions.
The real estate market can be predicted but sudden shifts can happen in the market. Interested in real estate but don’t know where to begin? You’ve come to the right place. Contact Combination Real Estate today and learn more!
What clients say about Sukhjit...
I have dealt with many realtors who are in this Canadian inflated housing market to make a quick buck. But this is where we found Sukhjit to be completely different! She’s absolutely dedicated to her client’s interests and so hard working. My husband and I are first time home buyers, the entire process was overwhelming at first. Sukhjit kept our heads up and helped us through the offers processes with her realistic, statistical and meticulous approach. We are so happy we chose Sukhjit as our realtor!