Blog Elements • The TanTeam Real Estate Group

Half Sized Blog Element (Single Author Style)

Half Sized Blog Element (Multi Author Style)

Canadian Housing Starts Remain Steady As Of May 2014

June 11, 2014/0 Comments/in Market News/by TanTeam Editorial

The Canada Mortgage and Housing Corporation (CMHC) announced that Canadian housing starts are trending at 184,438 units, a slight increase compared to the 183,872 units in April. Housing starts across the country have remained steady for the past three months, which is a sign of market stabilization. The trending figure is a six-month moving average […]

In Toronto’s Housing Market, ‘$2-million Is The New $1-million’

June 5, 2014/0 Comments/in Market News/by TanTeam Editorial

Torontonians who can barely wrap their minds around a housing market where $1-million is the average price for a detached home might want to take notice of a new fast-approaching benchmark. Try not to panic if you haven’t bought yet but the $2-million home is a growing segment of the market in Canada’s largest city. […]

Canadian Housing Starts Remain Steady As Of May 2014

June 11, 2014/0 Comments/in Market News/by TanTeam Editorial

In Toronto’s Housing Market, ‘$2-million Is The New $1-million’

June 5, 2014/0 Comments/in Market News/by TanTeam Editorial

Full Sized Blog Element (Big Preview Pic)

Canadian Housing Starts Remain Steady As Of May 2014

June 11, 2014/0 Comments/in Market News/by TanTeam Editorial

The trending figure is a six-month moving average of monthly seasonally adjusted annual rates (SAAR), so the figures are based on start numbers that have been modified to remove seasonal variation. The figures are multiplied by 12 to represent an annual average.

“In May, the trend in housing starts was virtually unchanged for the third consecutive month. This is in line with CMHC’s analysis indicating that the new home construction market in Canada is headed for a soft landing in 2014,” said Bruno Duhamel, Manager, Housing and Economic Analysis. “Builders are expected to continue to manage their starts activity in order to ensure that demand from buyers seeking new units is first channeled toward unsold completed units or unsold units that are currently under construction, including condominium units.”

The standalone SAAR for May 2014 was 198,324 units, another small increase compared to the 196,687 units in April. The SAAR of urban starts was 180,813 units, with 117,709 urban multiple starts and 63,104 urban single-detached starts.

The SAAR of urban starts increased in Atlantic Canada, Quebec, and British Columbia, it stayed steady in Ontario, and decreased in The Prairies. The CMHC estimates that the SAAR of rural starts was 17,511 units.

Since February, the CMHC has been referencing Canada’s housing starts to predict a soft landing for the housing market, and so far, it seems they’re prediction has been correct. Canada and especially the Greater Toronto Area is full of intelligent builders and developers, so we are confident that inventory levels will continue to be managed in a healthy manner.

Source: Lucas @ NewInHomes.com

In Toronto’s Housing Market, ‘$2-million Is The New $1-million’

June 5, 2014/0 Comments/in Market News/by TanTeam Editorial

Torontonians who can barely wrap their minds around a housing market where $1-million is the average price for a detached home might want to take notice of a new fast-approaching benchmark.

Try not to panic if you haven’t bought yet but the $2-million home is a growing segment of the market in Canada’s largest city.

Data released by the Toronto Real Estate Board Wednesday shows there were 461 detached home sales for more than $2-million through its Multiple listing Service system in the first five months of the year. That’s only 2.4% of all detached home sales activity for the year but the $2-million plus range has climbed 37% over the past year in the GTA.

“What you are seeing is $2-million is the new $1-million,” says Drew Laszlo, an architect in the city who has been involved in several infill projects that have fallen into the new threshold.

The strength of the $2-million-plus market comes as Toronto home prices continue to soar. TREB said Wednesday the average sale price of a home across the Greater Toronto Area reached $585,204 in May, an 8.5% increase from a year ago.

It was the best May ever for Toronto real estate sales with detached homes in the city proper reaching an average price of $943,055.

Jason Mercer, TREB’s senior manager of market analysis, cautions when it comes to the $2-million-plus market the numbers are still small so it could affect the data.

“There is a clear reason why prices have gone up. Demand is strong but the majority of people looking to purchase a home are still doing it with a mortgage,” says Mr. Mercer, citing record-low interest rates as a factor that continues to drive sales. “That leads to strong price increases because of a tight market.”

Source: Garry Marr @ The Financial Post