Some clients have asked what's happening in the market. TRREB just released a special news release for Mid April. Here are the results for you:
Greater Toronto Area (GTA) Realtors® reported a decrease of 69% in home sales during the first 17 days of April when compared to the same period in 2019. The sales decline was felt in the detached and condominium apartment market segments the most. In the detached segment, the higher end of the market was particularly impacted in the City of Toronto.
The number of new listings (homes on the market) was also down, declining by 63.7%. The fact that new listings trended in a similar fashion to sales, means that market conditions remained tight enough to provide support for the Average Selling Price in line with 2019 levels. The average selling price for sales reported during the first 17 days of April 2020 was $819,665 - down by 1.5% when compared to the same period of 2019.
TRREB President Michael Collins was quoted, "The state of emergency measures currently in place, including the necessary enforcement of social distancing, has impacted the real estate market in many ways. Home buyers and sellers have concerns about the economy and indeed their own employment situations. On top of this, many buyers and sellers are avoiding any type of in-person interaction. In the condo market in particular, individual condo corporations have curtaled entry for non-residents.
I would like say that I do have the ability to mitigate the impact of the social distancing somewhat through the use of technology. This would be done by Virtual Open Houses, or buyer presentations through Zoom, or Skype. This is of course, by your consent.
Looking forward, the decline in home sales will be likely stronger during the 2nd quarter of 2020 as strong social distancing measures remain in place for most of the spring. However, if public health forecasts assuming strong social distancing measures play out as expected, we will likely start to see improvement in market activity in the summer.
I am here to answer any questions you may have or to help you with any real estate concerns.
Please stay safe!