2024 Real Estate: A Year In Review
2024 was a transitionary year for the Greater Toronto Area's real estate market. A mixture of ups and downs, economic uncertainty, interest rate cuts, and more, this past year was a confusing montage for buyers and sellers across the GTA and beyond. Overall, consumer confidence in real estate strengthened in 2024 with annual sales increasing by 2.6% compared to 2023. However, new listings shot up in 2024 by a greater annual rate of 16.4% creating substantial negotiating power for buyers in most market areas. As a result, average selling prices dipped in 2024 by a marginal 0.8% to $1,117,600. Toronto's ever depressing condo market accounts for a large portion of the dipping sales prices and increased levels of inventory throughout 2024. In contrast, market conditions were much tighter for freehold homes in the GTA with average selling prices increasing on a year-over year basis in many areas, increased sales activity and buyer demand, and less overall inventory compared to condos. The lack of first-time-homebuyers that entered the market in 2024 contributed to the condo segment taking dramatic losses, since first-time-buyers typically make up a large portion of the buyer pool in the less-expensive condo segment. The same can be said with investors, as they too mostly withdrew from Toronto's condo market in 2024. Borrowing costs were top of mind for buyers in 2024. Higher than usual interest rates throughout the past year created affordability hurdles for many. Even though sales were up compared to 2023, sales activity in 2024 was still well below the norm. High borrowing costs are a significant reason why, but inflationary pressure, economic decline, and higher unemployment also kept many people from making a move, entering the market, and investing in real estate in 2024. The housing market did benefit from the Bank of Canada's large rate cuts in the second half of 2024, which helped stimulate market activity, but it still isn't enough for a large portion of would-be buyers. To end off 2024, December experienced an anticipated slow down in activity due to the holiday season. New listings increased, continuing the trend of a well-supplied market, while average days on market increased in every market area. It is important to note that every segment of the housing market, and every unique neighborhood experienced vastly different market conditions in 2024. If you want to know how your neighbourhood is impacted, or how your real estate plans are affected going into 2025, reach out to me for expert advice! To see how prices have been affected in your area, please click the link below to get access to TRREB's December Market Statistics for all areas in the GTA. The stats are broken down by average sales price, number of homes sold, number of new listings, and average days on market for each property type; detached, semi-detached, townhouses, and condos. https://trreb.ca/wp-content/files/market-stats/market-watch/mw2412.pdf If you want to know more about what is happening in your specific area, you can book a call with me by clicking the link below. https://calendly.com/davidrizzuto/consultation-call?month=2025-01
Real Estate Market Update | November 2024
November's real estate market in the Greater Toronto Area was mostly stable, after a dramatic increase in activity this past October. Overall, buyers and sellers experienced tighter market conditions this November compared to the same time last year. Home sales are up year-over-year, but compared to October 2024, sales are down by a small degree. A slight slow down in market activity is typically expected at this time of the year, as we endure the winter months and approach the holiday season. The GTA experienced some price growth recently, with average selling prices up 2.6% compared to last November. However, on a month-over-month basis, prices edged slightly lower in most GTA market areas, most notably Toronto with a 7.3% decline in average prices between October and November. Still, average selling prices are well below their peak but continue to slowly improve over time. The increasing buyer demand in the last quarter of 2024 continues to persist. With reduced inflation, lower borrowing costs, and monthly mortgage payments trending down, the stage is set for an accelerating market recovery in 2025. It is clear that the GTA has already seen indications of improving market conditions, which will continue for the foreseeable future. Housing inventory is still relatively elevated, but is now being absorbed at a more rapid rate. Detached homes in Toronto and the 905 have experienced the greatest amount of price growth within the last 12 months, beating inflation in most areas. Demand is strongest in this segment of the market. In contrast, the condo market is still experiencing declining prices and lower buyer demand, especially with smaller investor built units. To see how your real estate plans are affected going into the new year, contact me! To see how prices have been affected in your area, please click the link below to get access to TRREB's November Market Statistics for all areas in the GTA. The stats are broken down by average sales price, number of homes sold, number of new listings, and average days on market for each property type; detached, semi-detached, townhouses, and condos. https://trreb.ca/wp-content/files/market-stats/market-watch/mw2411.pdf If you want to know more about what is happening in your specific area, you can book a call with me by clicking the link below. https://calendly.com/davidrizzuto/consultation-call?month=2024-12
Home Safe Home: Must Know Home Security Tips
Now more than ever, home security is an extremely important topic that residents throughout the GTA and abroad should take seriously. Here are some of the best home security tips that you may not have thought of: Consider your home's lighting. Installing motion sensitive lights outside your home, specifically near doorways, is one of the simplest ways to deter burglars. Criminals don't want to be easily seen attempting to break in at night. If you are away from your home for a long period of time, consider setting up light bulbs inside your home on timers. Different lights should turn on and shut off throughout the day to make it appear that someone is home when you are away on vacation, visiting family, etc. Change all of your locks when moving into a new home. You never know who the previous owner gave key copies to, or how many keys were lost. It is safest to change all locks immediately after moving in. Invest in a smart home security system. With today's technology, there are amazing home security products that do a great job of preventing or minimizing the severity of break-ins. A good system should be hard to tamper with, may connect to your phone with an app, and have comprehensive camera surveillance. Consider adding glass break sensors to all windows and glazed doors, especially on the ground floor. Don't leave spare keys outside your home in obvious places. In the mailbox, under the doormat, or in a flower pot are places burglars will check. Instead, install a smart lock with changeable codes, or keep a key in a secure hidden lockbox. A few extra things you can do to improve your home's security include; adding window security film (to make windows and sliding doors harder to shatter), using deadbolts on doors, replacing smaller door hinge screws with 3"- 4" ones that screw into the wood framing (to make it harder to kick down), and replacing double front doors with more secure single doors. As home invasions and burglaries become more common, now is the time to take the extra precaution and investment to secure your home.
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