Real Estate

Zoocasa: "Median prices for condo apartments fell $65,000 (10 per cent) between February and April to $574,000"

  • Last Updated:
  • May 30th, 2020 5:34 pm
58 replies
Deal Expert
Feb 29, 2008
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Tarrana & The Ri…
Not much stock, not many buyers. Let’s see if this becomes a trend.
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Feb 2, 2014
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What this article fails to mention, is that condo prices increased by 6% from Jan 2020 - Feb 2020 (yes, only 1 month).

February was a very hot month. So if you compare many months to February, it will look like the market is booming or tanking.

With mortgage deferrals, a slow power of sale process (especially during COVID) and nobody wanting to sell or buy, you won't see a "major" (relative term, I know) for some time (if any). Just my 2 cents.
Last edited by CdnRealEstateGuy on May 14th, 2020 1:10 pm, edited 2 times in total.
Kevin Somnauth, CFA
Principal Broker - First Toronto Mortgage - MA (Ontario #13176, BC #X301007)
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Deal Expert
Feb 29, 2008
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Tarrana & The Ri…
CdnRealEstateGuy wrote: What this article fails to mention, is that condo prices increased by 6% from Jan 2020 - Feb 2020.

February was a very hot month. So if you compare many months to February, it will look like the market is booming or tanking.
Apparently sold prices have gone up in May. Very small sample and not vetted. But I’m very interested to see how this all comes together.
Deal Addict
Aug 21, 2007
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JayLove06 wrote: Not much stock, not many buyers. Let’s see if this becomes a trend.
And people who have lost jobs have at least 2000 a month for a while. Let's see what happens when people have nothing. Dude, it is going to be a mess.
Left rfd
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mkjr wrote: And people who have lost jobs have at least 2000 a month for a while. Let's see what happens when people have nothing. Dude, it is going to be a mess.
How many of those are buying properties? And how many will go back to work? What freebies are on the way? It’s not going to be roses but no one knows how bad.
Jr. Member
Nov 5, 2017
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Jan and Feb was strong because of BOC and US fed cutting rates, people got bullish on properties until Covid hit us in Mid March
Deal Fanatic
Jul 3, 2011
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I don't know about all areas, but I do know that Toronto's freehold and condo apartment prices are surging significantly so far in May almost as though Mid March through April never happened.

It seems forgotten or at least gone unnoticed that even as good as It was earlier this year, prices were still below the highs of 3 years ago - March and April 2017 but were set to top them.
Deal Addict
Sep 24, 2006
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Interesting. Do you this surge downtown (C01) as well?
licenced wrote: I don't know about all areas, but I do know that Toronto's freehold and condo apartment prices are surging significantly so far in May almost as though Mid March through April never happened.

It seems forgotten or at least gone unnoticed that even as good as It was earlier this year, prices were still below the highs of 3 years ago - March and April 2017 but were set to top them.
Deal Addict
Nov 24, 2013
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Family loans for down-payments are probably going to be hard to come by as well.
Penalty Box
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Mar 31, 2008
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JayLove06 wrote: How many of those are buying properties? And how many will go back to work? What freebies are on the way? It’s not going to be roses but no one knows how bad.
I still think Sept. and after is when you'll see some movement. Alot more strain/benefits running out or it won't be renewed at the same rate, realization of how sustained this new world is (airbnb hosts I know are just trying to hold on for about 3-4 months since the start of the lockdown), more condos coming online.
Jr. Member
Nov 5, 2017
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well I got letter from city of Toronto, no more grace period, slowly but surely squeeze will begin, Let's see how long Banks, B lenders, Pay day and credit card holds on .
Jr. Member
Nov 5, 2017
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on a side note, no one talks about Home Capital Group, They are not looking for warren buffet now or they got bailed out by Govt already
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hank755 wrote: Interesting. Do you this surge downtown (C01) as well?
It's especially telling that C01 is also surging.

My stats are unoffical and may include errors which are best left to TRREB's algorithms to identify...

Where February 2020's price was the high for condos in C01, May up to yesterday is besting the average by approximately 6% and the median by almost 5%,

It is approximately 29% and 16% consecutively, better than April.

I want to add, this only changed with the daily activity of the last few days so the reason behind the surge canenot be determined with just a few days.
Last edited by licenced on May 14th, 2020 8:41 pm, edited 2 times in total.
Jr. Member
Apr 20, 2016
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I'm not sure why people fall for these headlines. They are talking about the MEDIAN price....which means the mix of condo types has changed towards a greater number of sales of lower priced units....i.e. less higher priced condos were sold....this obviously will result in a lower median or average. Product mix is always a factor that these headlines fail to mention. I have not seen any actual price decreases, especially for condos in the $500-$700k range.
Deal Addict
Sep 24, 2006
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Thanks for sharing. Interesting times!
licenced wrote: It's especially telling that C01 is also surging.

My stats are unoffical and may include errors which are best left to TRREB's algorithms to identify...

Where February 2020's price was the high for condos in C01, May up to yesterday is besting the average by approximately 6& and the median by almost 5%,

It is approximately 29% and 16% consecutivley, better than April.

I want to add, this only changed with the daily activity of the last few days so the reason behind the surge canenot be determined with just a few days.
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Jul 3, 2011
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vprime77 wrote: I'm not sure why people fall for these headlines. They are talking about the MEDIAN price....which means the mix of condo types has changed towards a greater number of sales of lower priced units....i.e. less higher priced condos were sold....this obviously will result in a lower median or average. Product mix is always a factor that these headlines fail to mention. I have not seen any actual price decreases, especially for condos in the $500-$700k range.
You do realize that while the median and average are both affected by the mix, the price values are also influenced upward when market values increase and downward when they decrease. IOW, a decline in value doesn't mean that relative to ratio, pricier properties haven't been listed, but rather, it generally means that such properties were listed and sold at a reduced price. Conversely, an increase in prices generally means that properties prices are reflecting an appreciation in price. From mid-March to last week, condo values did in fact expericence a depreciation in values.
Deal Guru
Feb 22, 2011
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Toronto
CdnRealEstateGuy wrote: What this article fails to mention, is that condo prices increased by 6% from Jan 2020 - Feb 2020 (yes, only 1 month).

February was a very hot month. So if you compare many months to February, it will look like the market is booming or tanking.

With mortgage deferrals, a slow power of sale process (especially during COVID) and nobody wanting to sell or buy, you won't see a "major" (relative term, I know) for some time (if any). Just my 2 cents.
They have to cherry pick the months to get as many clicks as possible.

Also I noticed the last few days Zolo has been going up again which is surprising.
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Oct 31, 2019
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The chart below (avg. one bedroom condo price in Toronto by month) shows just how hilarious cherrypicking "February to April" is for a news story
Feb to April.png

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