In this episode of Market Watch we will be talking about how the month of February played through. The Toronto Real Estate Board (TREB) released their market watch report for last month, and we’re checking in to see how well the year is going.
Sales were leaning towards detached homes, low-rise homes making an appearance after last month’s high-rise boost. However, condominiums still reigned in the double digit growth rates with the interest of first-time buyers. New listings were down by 12.5% last month in comparison to the same time last year. The biggest drop we saw last month is the decrease in the number of active listings in Mississauga, at a staggering 55.56%. Along with that, the number of new listings has reduced by 22%
As shown in the graph above, February has increased steeply in the percentage of sold listings with 81.5%, over a 10% increase from the previous year. The average selling price last month was $875, 983, a substantial 27.7% increase from February of 2016.
For those who are unaware or need a refresher as to what months of inventory are, it refers to the time it would take to sell all current listings with no new listings being added. As seen in the graph above, February of 2017 has dipped low in the graph, showing us that the inventory counts are at an all-time low.
In Mississauga, the average day on market (DOM) has come down to 12 days, while in the City of Toronto the DOM sits at 13 days. Both cities are stocked with 1 month of inventory with both seeing reductions in both DOMs and months of inventory.
As the months pass it may seem like the statistics keep heading in the same direction: higher prices, less listings. For those considering to buy, take a moment to think about your situation with your real estate agent. Are you financially ready to to negotiate against other offers in this market? If not, then stay put. Making a transaction you’re not fully on board with in this market will be an investment you will regret.
This is why it is vital to choose the right agent; For sellers: choose someone who can guide you in the current situation and understands what you’re expecting to get from this transaction. For buyers: find someone who knows when to push and when to hold back in this biased market.
Steven Ho is the ideal realtor for any client, and here’s why: In a townhouse complex, Steven sold 30% of the 9 listings available, whilst 6 separate agents sold the remaining 6 listings. The average DOM for the 6 listings was 14 days, whilst for Steven’s listings the average DOM was only 9 days.
In terms of sold prices, the 6 other agents sold for roughly $489,000 while Steven Ho sold for $533,000, a difference of $44,000! A significant margin that is potentially lost with other realtors which could go to the payment of your next home. Here’s another reason to go with Steven: The other agents sold their listings for 102% of the asking price, which is a fair amount to gain no doubt. However Steven outperformed the other agents once again by selling his listings for 106% of the asking price. An additional 4% on a $500,000 home is $20,000!
People think all agents are the same, but different agents yield different results; picking Steven Ho will help you get the best results.
Source: All statistics are taken from the Toronto Real Estate Board 2017.