Yeah, yeah – you were busy this week. Don’t worry, we’ve got your back. Time for your weekly cheat sheet on the most important real estate stories.
Canadian Real Estate
The Future Of Canadian Real Estate Prices Part 1: Filtering Noise
The CMHC, the Crown corporation that conducts unbiased housing research, asked us to present the Future of Home Prices at their annual housing finance conference. Since so many people asked for the notes, we thought we would assemble them into a series of articles for all to read. Part one focuses on using basic models to debunk one of the most common junk statements made by the housing industry.
Flat Canadian Real Estate Prices While Incomes Catch Up? Nope
When home prices make a quick run higher, one thing we frequently hear is prices will stay flat. By popular demand, we model data showing just how long prices would need to stay flat for incomes to catch up. Spoiler alert, even if you think asset prices can magically levitate, without any ups or downs – it would take a very long time for incomes to catch up.
Toronto Real Estate
Toronto Detached Inventory Doubles Compared To Last Year
Toronto’s most expensive homes are having trouble pushing prices higher. The Toronto Real Estate Board numbers show detached sales are down 41%, and detached inventory is up 109%. The increase in inventory, and drop in sales are likely contributing to tapering price growth. The benchmark price fell to $930,500, which is still up 8.56% from last year. Although, this is a considerably lower premium than observed just a few months ago.
Vancouver Real Estate
Vancouver Real Estate Inventory Rises To A 23 Month High
Vancouver real estate inventory continues to rise, hitting a 23 month high. While inventory is higher than it has been recently, the level is still relatively low compared to historic levels. Despite the increase in inventory, an increase in sales puts the sales to listings ratio 6 points higher than the same time last year.
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