Analyst questions CREA stats

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One industry analyst is questioning how CREA reports its home sales data, suggesting his own analysis points to a less frenetically-paced market.

"The housing prices that you see, the multiple bidding in Toronto, it is all an artificially created environment,” Ross Kay of Ross Kay Realty Consultants told MortgageBrokerNews.ca. “The consumer is told the market is busier than what it is; they’re told there are more homes for sale than there really are.”

As evidence of his theory, Kay points to CREA’s January numbers, which report 4,135 sales for all of Toronto. Toronto Real Estate Board (TREB), itself, also reports a total of 4,135.

TREB includes Mississauga, Orangeville and district, Milton, York region and Durham region sales within its 4,135. CREA, meanwhile, includes the 4,135 total and each region’s individual tallies for Ontario’s total; essentially reporting some numbers twice, according to Kay.

However, there is a simple explanation for this, according to CREA economist, Chris Jokel, who said the total reported for all of Ontario does not count GTA regions numbers twice.

 “So you end up with 11,002 (for the sum of all regions),” Jokel told MortgageBrokerNews.ca. “The actual Ontario total we are displaying is 9,298 because it doesn’t double-count those Toronto areas; basically, we just include them in the table so people can see how the numbers are broken down.”

Still, Kay is unwavering.

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  • Dave , Broker on 2014-03-06 9:00:45 AM

    Ross is totally CORRECT. CREA and TREB have been duping people for years. Just look at this below...

    TORONTO, March 5, 2014 — Toronto Real Estate Board President Dianne Usher announced that February 2014 home sales reported by Greater Toronto Area were up by 2.1 per cent compared to the same period last year. Total February sales amounted to 5,731 compared to 5,613 last year.

    Hmmm. Here’s the monthly report from one year ago:

    TORONTO, March 5, 2013 — Greater Toronto Area (GTA) reported 5,759 sales through the system in February 2013 – a decline of 15 per cent in comparison to February 2012.


    Check those numbers :) Do the math ....

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