<img height="1" width="1" src="https://www.facebook.com/tr?id=390674378043480&amp;ev=PageView &amp;noscript=1"/> How Have Condos Been Affected? - The Storey Team : Toronto Real Estate

The Storey Team : Toronto Real Estate

How Have Condos Been Affected?

25 April 2020
Tom Storey

I hope everyone is staying safe and doing okay. I’m going to do my best to provide some insight and answer the questions I’ve been receiving on a daily basis. 

How has the condo market been affected?

Condos have reacted similarly to freehold properties. The year over year sales numbers are down almost 70%. This is encouraging as it means people are taking this seriously and staying at home. New listing numbers are also down over 50%, this is a key number to watch. If new listing numbers continue to be low, prices will hold. 

Are prices going down?

Prices are still up from the same point last year, however the sales that did happen in March/April are likely going to be lower than what we saw in the first two months of 2020. Many sellers that went to market during this pandemic were in a “must sell” situation, and that will likely be reflected in sale prices. Remember, it’s all relative. If you buy/sell in the same market conditions, you will experience the same gain/loss on both the buy and sell side.

What’s your outlook for the future?

I’m optimistic. No one can predict the future, but we can look at the past. What I know is that the Toronto housing market has averaged a 6.73% yearly increase in price over the past 40 years. That includes the crash in the early 90’s, the 2008 Financial Crisis and the second half of 2017 after the Fair Housing Plan was implemented. You can look at this in many ways, but Toronto has had a housing shortage for many years. That’s why values have gone up at a rapid pace. Always focus on your “time in the market”, not trying to “time the market."