Photo Credit: Andrew Lupton/CBC
All you need to know regarding the housing market in Toronto, Canada and abroad.
This week in Toronto: Listings shortages drive housing prices higher, can a young couple afford to buy in this market and new building rules could boost affordability in the city.
Elsewhere: Home sales over $1 million are booming in Canada, New York City is the hottest real estate market in the world and Europe warms to multifamily housing.
Listings shortage drives Toronto home prices sharply higher (The Globe and Mail)
A shortage of listings is driving Toronto home prices sharply higher, the local real estate board says. The average price of a home in the area climbed 8.4 per cent last year, from a year earlier, to $566,726, the Toronto Real Estate Board said today.
“The number of households looking to purchase these home types increased, while the number of homes from which they could choose decreased. This situation resulted in more competition between buyers and more aggressive offers.”
In Toronto, a couple we’ll call Tom, 30, and Helen, 27, are at the beginning of their financial lives. Recently married, they take home $8,500 a month from their jobs in industrial management with two different companies. They have already begun to develop net worth — they hold $108,000 in cash from an insurance settlement, have $45,000 in pension plans and a car they value at $5,000. Their immediate plan: buy a home soon and stop renting.