Fewer Sales, stable Prices

With the start of summer it's not uncommon to see the market slowing down a little. While less homes have sold in June in our local real estate market compared to the previous month, prices have remained fairly stable.

The average price in York Region of $1,391,215 was up by 1% compared to May. But while 1702 homes have sold in May, only 1302 sold in June (-23.5%). On a year-over-year basis the prices were 6.4% higher than 12 months ago.

(Source: TRREB Market Watch)

Aurora and Newmarket prices down

In Aurora the average price ($1,392,705) dropped 1.8% compared to May ($1,418,397). Similar in Newmarket where the prices declined by 4% from $1,248,269 in May to now $1,198,494. Compared to last year, prices in Aurora (-4.7%) and Newmarket (-4.5%) are still a little lower. Bradford (June avg. $1,113,909) is also down by 2.4%.

East Gwillimbury in the other side saw some growth over the past 12 months, where the average price in June ($1,422,000) was up 13.2%.

"Home Sales hampered by uncertainty surrounding BoC’s outlook on inflation and interest rates"

Throughout Toronto and the GTA, Realtors have reported a total of 7481 Sales in June - down 17% compared to May (9012). The average price of $1,182,120 reflected an increase of 3.2% on a year-over-year basis, but was slightly down by 1.2% in comparison to the previous month.

"The demand for ownership housing is stronger than last year, despite higher borrowing costs", says Paul Baron, President of the Toronto Regional Real Estate Board (TRREB). "With this said, home sales were hampered last month by uncertainty surrounding the Bank of Canada’s outlook on inflation and interest rates."

The Bank of Canada has raised the overnight Policy Rate on June 7th by .25%. The next meeting and rate announcement is scheduled for July 12. Experts predict another hike of 25 basis points.