MARKET STATISTICS | DECEMBER 2021
Thursday Jan 06th, 2022
𝐌𝐀𝐑𝐊𝐄𝐓 𝐑𝐄𝐂𝐀𝐏 | 𝐃𝐄𝐂𝐄𝐌𝐁𝐄𝐑 𝟐𝟎𝟐𝟏
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Average Prices of Detached Homes in December in Comparison to December of Last Year:
- Toronto: +13.3% at $1,69M
- Vaughan: +26.6% at $1,95M
- Richmond Hill: +28% at $2,04M
- Mississauga: +28% at $1,81M
- Markham: +33% at $1,92M
- King City: +23% at $2,7M
- Newmarket: +39% at $1,45M
- Aurora: +19% at $1,67M
- Bradford: +32.4% at $1,27M
- Milton: +31% at $1,57M
- Innisfil: +53.3% at $1,21M
- Burlington: +22.9% at $1,63M
- Alliston: +50.5% at $1,15M
- East Gwillimbury: +46.7 at $1,59M
December of 2021 – Only 2 weeks of inventory across GTA and most likely it will not change in 2022. A strong suggestion for buyers, get into the market now before immigration fully re-opens. A year 2021 was one of the hottest years in Canadian real estate history. It was an extraordinary year that will be remembered for record-breaking sales and price gains of over 20%.
Imbalance between supply and demand and low inventory of homes for sale proved a major driver of prices in 2021. As per Real Estate Brokerage Zoocasa, the Canadian Real Estate Association cites only four times in history when the national total months of inventory on the market dropped below two months, and they were all in 2021. When there were quieter months in the market this past year it was not because of declining demand, but because there were fewer homes for sale.
Ontario was already a tough market to get into before the pandemic, but 2021 real estate market put home purchases way out of reach for many and, unfortunately, it looks as housing prices will continue to grow in 2022, however at a slower pace compared to previous year. This could be in part caused by the rise of Interest rates as early as April.
With interest rates expected to start rising in time for the busy spring real estate market, some buyers may be looking to lock in a rock-bottom rate now, since they aren’t likely to get any breaks on prices, making January through March another “black-Friday-looking” months.
This being said, Seller’s market is likely to prevail in 2022, given that adding supply to the market is not a quick fix.
The Greater Toronto Area condo market has endured a particularly rough couple of years, with demand for multi-unit housing like condominiums losing traction over single-family and townhomes that offer a bit more breathing room during pandemic conditions.
Things could change in 2022, forecasting a potential surge in condo demand that could be accompanied by skyrocketing prices.
When it costs twice as much or more to own a house amid runaway prices, it is fair to assume buyers with less capital to invest will be bringing new demand to the condo market in 2022, and will fuel price appreciation accordingly.
𝙋𝙡𝙚𝙖𝙨𝙚 𝙚𝙢𝙖𝙞𝙡 𝙢𝙚 𝙛𝙤𝙧 𝙖 𝙥𝙚𝙧𝙨𝙤𝙣𝙖𝙡𝙞𝙯𝙚𝙙 𝙨𝙖𝙡𝙚𝙨 𝙧𝙚𝙥𝙤𝙧𝙩 𝗳𝗼𝗿 𝙮𝙤𝙪𝙧 𝙨𝙩𝙧𝙚𝙚𝙩 𝙤𝙧 𝙣𝙚𝙞𝙜𝙝𝙗𝙤𝙧𝙝𝙤𝙤𝙙.