Toronto — TorontoJune sales of homes were the same month last year as the rise in borrowing costs in the region's real estate commission market weighed heavily. Compared to, it decreased by more than 41%. Said on Wednesday.
According to the Toronto Regional Real Estate Commission, about 6,474 homes fell from 11,053 in June last month. Sales in June also decreased compared to May.
The Board has attributed some of its May-June decline to seasonal trends, but this figure and year-over-year sales continue to be cooler than it is today. Said suggesting.
"Home sales are determined to see the affordable challenges posed by raising mortgage rates and where home buyers can afford to pay higher borrowing costs. It has been affected by both the psychological consequences of withholding, "Kriger, president of Kevin's board of directors, said in a statement.
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"Expect the current market conditions to be maintained in late summer."
Read more: Home sales in May 2022 fell 39% from last year and prices rose almost 10%: Toronto Board
Crigger's predictions come from some of the country's largest housing markets, such as Vancouver, Toronto and Calgary, easing in recent months.
Realtors and economists attribute this phenomenon to rising interest rates and mortgage rates, as well as inflation. Inflation recently reached 7.7%, the highest in almost 40 years. The Bank of Canada is teasing that further hikes may be underway.
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These conditions mean that future buyers will have less purchasing power, but homes sell. Often the period is long and you can't win the desperate bid war a few months ago.
Home sales prices in June were on average lower than homes that changed hands in May, but prices were higher than last year.
Last month, average home prices in the region reached $ 1,146,254, up about 5% from June 2021. The June average fell about 6% from May 2022.
Read more: Greater Toronto Area real estate approaching the "Buyer's Market": BMO
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All categories of housing showed year-on-year increases in prices, extending to the area around Toronto. The average price of
416 (nickname excluding the suburbs of Toronto) reached $ 1,737,012 for single-family homes, $ 1,027,050 for townhouses, and $ 771,267 for condominiums. In the suburbs of GTA, known as
905, average prices were $ 1,361,862 for single-family homes, $ 906,311 for townhouses, and over $ 692,598 for condominiums.
As prices have risen since June 2021, realtors have preferred to wait for the market to turn around again and have noticed that many have postponed listing their properties.
The board found that the number of properties listed in June was almost the same as last year.
Last month's new listing increased 1% from June 2021 to 16,347. It also decreased by 12% from May 2022.
© 2022 The Canadian Press
