Real Estate

JANUARY 2020 Market Watch GTA

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  • Feb 8th, 2020 5:06 pm
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Dec 12, 2019
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JANUARY 2020 Market Watch GTA

Attached are January 2020 statistics. Overall the numbers look great! Slightly Smiling Face
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Mortgage Agent
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Feb 29, 2008
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Condos will catch up to townhouses and semis. Then what?
[OP]
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Dec 12, 2019
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JayLove06 wrote: Condos will catch up to townhouses and semis. Then what?
Prices will increase on the others as well.
Mortgage Agent
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Jan 9, 2010
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I don't think it's that simple. I think we're seeing a demographic shift where a lot of young people don't want to do any chores and realize that they don't really need so much space since it just ties them down in doing yard work, housework etc. Also, just looking at pricing and the type of housing also doesn't take into account that high priced condos are most likely to be in very desirable locations in the core where townhomes are scarce or don't exist. That probably plays a factor in the high condo prices.
Jr. Member
Aug 21, 2017
130 posts
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It has nothing to do with chores. Reasons are simple:
1. Salary increase much slower than RE appreication. Most people just cannot afford larger homes.
2. B20 cap.
moofur wrote: I don't think it's that simple. I think we're seeing a demographic shift where a lot of young people don't want to do any chores and realize that they don't really need so much space since it just ties them down in doing yard work, housework etc. Also, just looking at pricing and the type of housing also doesn't take into account that high priced condos are most likely to be in very desirable locations in the core where townhomes are scarce or don't exist. That probably plays a factor in the high condo prices.
Deal Fanatic
Feb 29, 2008
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APaser wrote: Prices will increase on the others as well.
Obviously...but what are we going to do when the average condo is $1M?
Deal Fanatic
Feb 29, 2008
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moofur wrote: I don't think it's that simple. I think we're seeing a demographic shift where a lot of young people don't want to do any chores and realize that they don't really need so much space since it just ties them down in doing yard work, housework etc. Also, just looking at pricing and the type of housing also doesn't take into account that high priced condos are most likely to be in very desirable locations in the core where townhomes are scarce or don't exist. That probably plays a factor in the high condo prices.
I agree with this. Boomers are obsessed with unnecessary space. Millenials not as much.
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Oct 31, 2019
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JayLove06 wrote: Obviously...but what are we going to do when the average condo is $1M?
They'll eventually add a 5th category for either microcondos or co-op/shared living. Condos are skyrocketing because it's all most mortals without well off families can afford. They'll eventually be herded into the new 5th tier.
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Feb 29, 2008
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VanByTheRiver wrote: They'll eventually add a 5th category for either microcondos or co-op/shared living. Condos are skyrocketing because it's all most mortals without well off families can afford. They'll eventually be herded into the new 5th tier.
Coffins.
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Oct 31, 2019
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JayLove06 wrote: Coffins.
It's inevitable. What else can be done when the bottom end of the market becomes unaffordable? HK might be our future.
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Jul 9, 2012
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JayLove06 wrote: Coffins.
Cemetery plots are the new hot commodity. 30k for a 2 ft x 7 ft plot in Mississauga! Get there early because there will be bidding wars.
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Feb 29, 2008
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VanByTheRiver wrote: It's inevitable. What else can be done when the bottom end of the market becomes unaffordable? HK might be our future.
Well, there are a number of things that would need to be changed. There's a crap load of policies and other missteps that have contributed greatly to what we're seeing today. The problem previously was the detached market taking off. In comes B20 and the demand got pushed down into the condo market which took off. Demand is off the charts for condos because that's all most people can afford.....many of those people were able to afford townhomes, semis and some detach. Now they've been pushed to condos.

It's a giant mess and if condos average $1M it will be a damn shame. That's where we're headed.

We have plenty of land...a lot of this crap is self-inflicted.
[OP]
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Dec 12, 2019
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JayLove06 wrote: Obviously...but what are we going to do when the average condo is $1M?
Prices are going to be going up as long as people are qilling to pay them. If condos are increasing, so are semis, detached and townhomes.
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APaser wrote: Prices are going to be going up as long as people are qilling to pay them. If condos are increasing, so are semis, detached and townhomes.
Again, detach and semis are no longer affordable for most buyers. Condos were the gateway. With them gone, then what? Detach and towns will forever be out of reach. Condos were the last hope. That will be gone soon.

Then what? Who cares about prices going up for other, more expensive housing? We need condos to be affordable so buyers can move up to townhouses, to semis, to detach, etc. The market needs to function properly. If there are no move-up buyers, the market will fall apart. We have plenty of land, the situation should not be what it is.
Jr. Member
Jun 15, 2015
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Thornhill, ON
APaser wrote: Attached are January 2020 statistics. Overall the numbers look great! Slightly Smiling Face
Numbers don't look great if you are a buyer :-(

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