According to the latest information just released by the Canadian Real Estate Association, home sales in April fell by 12.5% compared to March, which in turn observed record increases.
The dizzying pace of home sales slowed down slightly in April. The association said 60,697 homes were sold nationwide in April, compared with 69,802 in March. 85% of all local markets fell in sales, including all of British Columbia and Ontario.
However, if you take into account year on year, sales in April this year increased by a whopping 256% compared to April a year ago, when Covid-19 caused people to lose interest in the real estate market.
Toronto real estate agent Meray Mansour said the market was still hot in April, but cooler than in the previous months.
Mansour said homes were still selling fast in Toronto’s High Park, Leslieville, Beaches and Junction neighborhoods with the most transactions.
There were 81,124 new homes available for sale in April, down 5.4% from March when 85,779 were available.
The average domestic price for a home in April was just below $ 696,000, 41.9% higher than last year when the median price was $ 490,082.
According to CREA, if we excluded Greater Vancouver and Greater Toronto Area, the national average would be $ 144,000 lower.
The median home price in Toronto is currently $ 1,090,992, and Vancouver is $ 1,211,223.
Areas outside larger cities are also still very popular. People still work from home and are looking for more space, which is why suburban and rural areas are in great demand.
Mansour indicated as an example the Innisfil region, located 100 km north of Toronto, which enjoys great interest.
Despite the fact that interest and sales of real estate are still high, there are some signs of so-called “buyer fatigue”.
In turn, according to the Bank of Canada, mortgage pre-approvals are at a record low. According to this bank, the market dynamics is weakening.
There is a slow light in the tunnel regarding the situation and the drop in Covid-19 cases, which will have an impact on the attractiveness of large cities.
According to real estate market specialists, record-breaking sales figures can be expected in large cities just as the pandemic passes.
According to Mansour, once the stay-at-home order is lifted and Canada is reopened to pre-pandemic pace of arrivals and settlements of new immigrants, interest in real estate in the city of Toronto itself will grow again.
According to her, the market may even “go crazy” as people keep coming back to work or school.
