Mid September Real Estate in Thorhill - Market Conditions

In a recent article in the "Globe and Mail", Terrence Belford wrote:

In the resale market the Toronto Real Estate Board says 6,564 homes changed hands in July, 34 per cent fewer than the same month last year…

 

A reduction of  more than one third is certainly a notable reduction.  I have a feeling that August numbers will show a similar decline. Even though no one is calling it a recession yet, the downward trend is a worrisome one.  Unless we see an upturn in September, things may be very bad during this fall.

 

It has only been one week into September, but, so far, I have not seen increasing numbers of  new "for sale" signs in Thornhill and Richmond Hill. The other thing I have not seen is sales of homes already listed on the MLS.   Many listings have expired, and for many existing listings, home owners chose to reduce the asking price.

 

What this tells me is that people are sitting on the fence,  with fewer people buying  and fewer people putting their homes for sale. Buyers are waiting because they expect that, with the increase in mortgage rates, prices will drop; and sellers are waiting because they are hoping for a recovery after this summer's price drop.

Rafael Zeltser

Rafael Zeltser

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CENTURY 21 Heritage Group Ltd., Brokerage*
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