Mid-January Toronto sales horrible!

trent · #1 01-20-2009, 03:31 PM

TREB has released their Mid-January GTA sales numbers and the picture is not pretty. GTA had 888 sales compared to 1776 during the first half of January 2008. This is exactly 50% down folks, are you scared yet? If you are not properly scared the following numbers will do the trick. The average price for the same period in GTA was $332,495 down from $367,574, which is 9.5% down.

But wait there is more; the Toronto (416) numbers are even scarier than GTA J. Toronto had only 369 sales in the same period down from 800 last year. This translates to 54% down for number of sales. The mid-January average price in Toronto dived to $350,835 from $394,205 in the first 15 days of January 2008. This is 11% price decline.

By this time you should be properly scared. If not then wait for “Spring market” all sellers are pinning their hopes on; when it doesn’t materialize there will be a widespread sellers’ panic and scramble to get to the exits first. Then the bottom of the Toronto’s real estate market will truly fall out.

Steven · #2 01-21-2009, 02:42 PM

I think that 11% decline is not that bad considering the gains the market had in the last several years. The thing thta worries me more is the huge sales decline.

canfra · #3 01-21-2009, 06:44 PM

The real estate crash in United States is finally coming to Canada. This is bad news. I kind of hoped it will not happen in Canada.

Canadian · #4 01-22-2009, 03:30 PM

Quote:

Originally Posted by canfra

The real estate crash in United States is finally coming to Canada. This is bad news. I kind of hoped it will not happen in Canada.

I don't think this is a bad news for prudent savers, who didn't buy in the Canadian real estate bubble. On the contrary, this is a very good news for people saving to buy a home. The only thing needed now is patience, as prices have a long way to come down to more realistic levels.

trent · #5 01-23-2009, 01:16 PM

Quote:

Originally Posted by Canadian

I don't think this is a bad news for prudent savers, who didn't buy in the Canadian real estate bubble. On the contrary, this is a very good news for people saving to buy a home. The only thing needed now is patience, as prices have a long way to come down to more realistic levels.

I agree, that this is good news for normal people, not addicted to debt. Unfortunately most people have the "I want it now, even though I can't afford it" mentality, or to be precise "I want it now, even though I would never be able to afford it"

Canadian · #6 01-26-2009, 03:50 PM

Hopefully next week we'll have the sales numbers for Toronto for entire January, and this should give us a better idea where the market is going.