Real Estate Blog - housing supply

How to Navigate Multiple Offers – for Buyers AND Sellers

Is the pandemic housing boom slowing down? With the Canadian real estate market recording its first price drop in about two years, there is a growing expectation that the country could be on the cusp of a serious correction. But while it could be some time before sales activity returns to pre-crisis levels, many major urban centres and smaller markets that experienced impressive growth could still endure many of the same characteristics of a bullish housing market. Be it competition resulting in bidding wars, or homes selling over asking price, the lack of housing supply means multiple offers will likely remain a factor in the current market.

So, how do you even navigate this type of real estate market anyway?

How to…

422 Views, 0 Comments

Why is Housing Supply So Low?

There is no other way to sugar-coat what is happening in Canada’s housing market: The nation is facing a severe supply shortage. Why is housing supply so low?

Current market conditions, be it record-low inventories or strengthening demand, have sparked a housing affordability crisis. With interest rates on the rise and an inevitable increase in the mortgage stress test, buying a home within typical Canadian incomes and budgets will become more difficult this year, and potential into the foreseeable future.

But while factors such as historically low-interest rates and pandemic-era pent-up savings have contributed to the current housing frenzy, the fundamental principle of supply and demand has been the chief component in…

321 Views, 0 Comments

How Sellers Win When Housing Inventory is Low

A recent report from the Canadian Real Estate Association (CREA) revealed that two-thirds of the nation’s housing markets are slanted in favour of sellers. With supply failing to keep up with demand, this could be the top trend for the foreseeable future.

For years, housing development has been tepid, resulting in supply falling short of demand levels. This imbalance might be more intense in more-populous markets such as Toronto and Vancouver, but this trend is prevalent throughout Canada, leading to accelerating home prices.

Under current conditions, sellers who bought even five years ago would benefit from this tight housing market. Here’s how sellers win when housing inventory is low.

How Sellers Win When Housing…

462 Views, 0 Comments

Canadian Real Estate Prices Hit New High. Is Densification the Solution?

Just when you thought the price of Canadian real estate couldn’t get any higher, the latest data show the market continues to defy expectations – and gravity. Industry experts see no end to rising prices, in the face of growing demand and the ongoing housing supply shortage. Many young Canadians have been priced out, while older ones are increasingly dipping into their own savings to help their children get a foot in the door. Industry experts maintain that adding more housing supply into the mix is the only way to ease runaway prices.

Canadian Real Estate Prices Break Records in February 2022

February was a record-breaking month, according to the Canadian Real Estate Association (CREA), when the average home price in…

401 Views, 0 Comments

Canadian home buyers face record listings shortage to begin 2022

Statistics released by the Canadian Real Estate Association (CREA) show national home sales remained historically high in December 2021, as the end-of-month supply of properties for sale hit an all-time low.

HIGHLIGHTS

• National home sales inched up 0.2% on a month-over-month basis in December.

• Actual (not seasonally adjusted) monthly activity came in 9.9% below the record posted in December 2020.

• The number of newly listed properties fell 3.2% from November to December.

• The MLS® Home Price Index (MLS® HPI) rose 2.5% month-over-month and was up a record 26.6% year-over-year.

• The actual (not seasonally adjusted) national average sale price posted a 17.7% year-over-year gain in December. 

…

265 Views, 0 Comments

Canadian Housing Market Starts 2022 Hotter Than Ever

Photo by Darren Richardson on Unsplash

The Canadian housing market ended 2021 on a high note. How has it been performing a month into 2022?

Canada’s sizzling housing sector has been resilient throughout the coronavirus pandemic. Despite the economic downturn and global health crisis, Canadian real estate markets from coast to coast have enjoyed unprecedented growth in sales activity and home valuations alike. What’s more, the gravity-defying growth has been consistent across virtually every segment of the market, with urban condominiums bouncing back after experiencing a lull in 2020, to the spike in single-detached activity in suburban and rural communities.

The key question for many market analysts, as well as homebuyers and sellers,…

262 Views, 0 Comments