October 7, 2018 – Bronte Living – Q3 Market Report
The Toronto Real Estate Board (TREB) released their September 2018 Market Watch on October 3rd, 2018 and I had an opportunity to go through the numbers in detail, as well as to look back over the past 10 years of statistics to reflect on what is happening in today’s complex real estate market.
Headline from report: “GTA sales were up 1.9% compared to September 2017. The average selling price for September 2018 sales was up by 2.9% over the same period while the MLS HPI composite benchmark price was up by 2% year-over-year.”
The TREB Market Watch Report is 27 pages of statistics for the GTA Housing Market, which includes Oakville and surrounding areas.
What does all this mean for Oakville and particularly Bronte – here is my take on the numbers:
Sales in Oakville are projected to hit 3,100 for calendar year 2018 compared to 4,043 in 2016 and 3,290 in 2017. This is a decrease in sales volume of 23.3% and 5.8% respectively from the highs of 2016 & 2017.
Average prices sold in Oakville in September 2018 were $1,063,734 compared to $1,098,735 in September 2017, a decrease in average prices of 3.19%.
The MLS HPI Index for Oakville (Composite) was up by 0.69% over the past 12 months. This means that on average, over all of Oakville and all property types, prices have increased 0.69% over the past 12 months. However, this masks the true picture of what is happening locally and across property types as prices for Oakville Single Family Detached were actually down by 0.19%, while Townhouses were up by 6.00% and Condo Apartments were up by 4.83%. If you are downsizing from a single family detached home and buying a condo or townhouse, it is critical that you and your advisors understand these market dynamics, so you are able to sell your home for maximum value in the shortest time frame and purchase your next home (townhome/condo) in a timely manner at the best price.
This price trend is very consistent with what I have seen over the past 12 months “on the street”, as the market is very different in each submarket. Having successfully advised clients on listing, selling and purchasing in all three property types over the past year, my experience is first hand. Price reductions for single family detached homes are more common than ever and multiple offers are still happening in some submarkets.
“Generally speaking, annual rates of price growth have been stronger for higher density home types in 2018, including condominium apartments, townhouses and semi-detached houses. In many neighbourhoods, these home types provide more affordable home ownership options – Jason Mercer, TREB’s Director of Market Analysis. This is true for the GTA Market and also for Oakville and particularly Bronte in 2018.
If you would like a better understanding of the local market, please give me a call and I would love to share my in-depth market analysis (see graph below for a taste) and projections for Oakville and Bronte.
I hope you and your family have a great Thanksgiving Weekend.