3 Predictions for Toronto Real Estate in 2017

19 December 2016

With 2016 drawing to a close, everyone wants to talk about the Toronto market for 2017. So here are my preliminary thoughts;

Lower Sales than in 2016

We predict lower sales than we've seen in 2016. Why? There is no product available and listings are way down. Secondly, the new mortgage rules will make it harder to qualify for everyone. For first-time Buyers, many will not even qualify at all, which will put a drag on the move-up market as well.

Prices will not be falling

No, prices will not be falling, but don't expect price increases of 20% for houses and 12% for condos that we saw this year. Rather, 10% and 5% will be more the norm.

Increase in Housing Demand

Finally, thanks to Justin Trudeau who wants to encourage 400,000 immigrants per year rather than the 250,000 we're having, many of which end up in Toronto - there will be an increase in demand for housing in the GTA. This also means a good year for rentals.

Make sure you check out our full 2017 Market Forecast to be released in the new year!