Will strong Market slow down? - February Real Estate Market Report

We're looking back to another record month in Real Estate with the average home price in February in Aurora being $1,633,259. That reflects a 31.8% increase compared to last year. Despite a shortage of inventory, slightly more homes have sold in Aurora this month (128) than in February 2021 (118).

Newmarket also 30% up

A similar growth was noticed in Newmarket where home prices rose 31.5% on a year-over year basis; from $1,098,354 to now $1,444,858. And while we saw a very strong January, prices have even increased another 10.5% compared to the previous month. The average price for a detached home in Newmarket is now $1,607,991.

While in Newmarket and Aurora the February prices were higher than in January, there was a small market correction in East Gwillimbury (-1.7%) and Bradford (-9.3). However, on a year-over-year basis, the increase in those two Municipalities is significant. The average home price in February in East Gwillimbury was $1,633,611 (+ 40%) and in Bradford $1,412,025 (+43.6%).

Throughout Toronto and the GTA, Realtors reported a total of 9097 Sales (-16.8%). The average selling price for all types of homes combined was a record $1,334,544 (+27.7% on a year-over-year basis).

Will prices go down?

Now where is this market heading to? With the war in the Ukraine, interest rates on the rise, more inventory coming up and the rumbling of stricter mortgage rules for Investors, I would assume that we'll be seeing a market correction and lower average prices soon.