The December 2023 TRREB Market Stats Are In! Here are your 5 take-aways
Your 5 Takeaways from the December 2023 Market Stats
Happy New Year! Welcome to the first episode of the New Year. In this episode of the Real Estate Podcast, i'm presenting you with your 5 Takeaways from the recent Dec 2023 Market Stats
- (GTA) home sales came in at less than 70,000 due to affordability concerns brought about by higher mortgage rates
- Relief looks to be on the horizon with borrowing costs expected to trend lower by mid- 2024 (between April 10th - July 24th announcements). We have already witnessed a 30% decline in the 5-year Canada bond yield rate since its peak in early October. This has brought 5-year fixed mortgages down to almost 5% and has already encouraged some Buyers to re engage in the market.
- The Toronto Regional Real Estate Board's Macro Market Stats show that buyers who were active in the market benefitted from more choice throughout 2023, which allowed many of them to negotiate lower selling prices, alleviating some of the impact of higher borrowing costs.
- The average selling price for all home types in 2023 was $1,126,604, Months of inventory across most regions is hovering around 3. MOI - Absorption Rate (obtained by dividing the total number of active listings by the total number of sold listings) can assist sellers to determine the optimal price for a property. The absorption rate is useful information for buyers as well because it indicates the extent to which a seller may be willing to lower their asking price or make other concessions.
- We have just welcomed more people to Canada on a per capita basis than we have since 1957. From July 1, 2022, to June 30, 2023 (2022/2023) Canada’s population grew by 1,158,705 people (2.9%) to an estimated 40,097,761 on July 1, 2023. This represents a significant increase from the previous year (1.8% in 2021/2022) and the highest growth rate for any 12-month period since 1957 (3.3%) when Canada welcomed many refugees from the Hungarian revolution and when the post-war baby boom was at its high.Simply put. we do not have enough housing. Lack of inventory and increasing demand as rates stabilize and come down will put upward pressure on pricing. The window of opportunity for buyers in particular is closing.
That’s it for today’s episode. The Macro Stats have been posted to Instagram and to my facebook & LinkedIn business channels.
Ciao ciao
Just one more thing, When would you like to go over the MICRO stats of your neighbourhood?
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