Prices in Toronto continue to trick up, and it’s first-time buyers who may be left out of the market.
“I think it is important to point out that our region continues to grow in response to our diverse economic, ethnic and cultural bases. The GTA consistently receives international accolades as one of the best places in the world to live and do business,” TREB President Mark McLean wrote in the latest monthly figures release for Toronto. “As the number of households grow, many of them will take advantage of the diversity of affordable home ownership opportunities that exist in Toronto and the surrounding areas.”
According to TREB, 11,992 sales were made through the MLS System in June of this year, an 18.4 per cent year-over-year increase.
Prices, too, increased a 14.2 per cent, year-over-year. The average Toronto home went for $1,051,912 in June.
And while many may struggle to afford in this pricey market, an influx of listings may help dampen that effect.
“It is encouraging to see that new listings have edged upward so far this year, as homeowners have reacted to strong home price growth and have looked to take advantage of increased equity in their homes,” Jason Mercer, director of market analysis for TREB said.
Still, that doesn’t help first-time buyers, who don’t have equity to tap into.
And this isn’t the best news for brokers, who have made gains in winning first-time buyer business. According to CAAMP
’s most recent statistics, 39 per cent of first-timers chose the services of a broker from January 2013 to May 2015.