Oops I did it Again: The Toronto Real Estate Board Sets a New High
Remember how I said April was the best month ever on record for the Toronto Real Estate Board? Yeah well, I have to retract my blog post because May completely and totally obliterated the record set by April.
The 11,146 sales that occurred in May topped the 9,452 that happened in April by a whopping 18%. May 2007 was also 18% of May 2006. After five months, 2007 is 8% ahead of 2006 in terms of overall sales. The good news for buyers or would-be buyers is that even though sales are sky rocketing to never before seen levels, prices in May creeped up by only 5% over May of last year.
For those of you who are still predicting the impending doom of the real estate market in Toronto, now would be a good time for the three of you to consider a new hobby. For full details, and all the numbers, check out TREB's Market Watch.
Comments (7)
There have been doom-predictors for 5 years now... if you say something long enough, eventually you'll be right.
ps. The Leafs are winning the Stanley Cup soon. :)
Andrew said:
"May completely and totally obliterated the record set by April." "For those of you who are still predicting the impending doom of the real estate market in Toronto, now would be a good time for the three of you to consider a new hobby."
Whether you are right or not, there's more than "three", and you made a false syllogism. Anyway, if something hasn't crashed, it doesn't mean it won't. Remember Nortel?
Joe said:
"if you say something long enough, eventually you'll be right."
Now that's actually funny.
Obviously if there is a big surge in new development there will be a corresponding surge in sales. More homes being built = more homes being sold. But that doesn't necessarily equate to a thriving market.
Wouldn't an accurate measure need to factor in the % increase in homes from new developments and other variables?
Andrew ... do you know the % increase in homes in the Toronto market over the past year?
lobe, I'm not sure exactly what you are asking. Do you mean how many new homes were built this year versus last year? If so, this would only tell us how new construction was doing. This is only a small portion of the market.
The real estate market is a free-market model like any other. It's basic supply and demand. New development doesn't happen until after the homes are sold. So it's actually more homes sold = more homes built, not the other way around.
Dorothy Mason job is to send out newsflash all day. Even one more house sold this month than last month, she will send out a newsflash saying it's a record month and it's a good time to buy. She will continue to do that until the night before the crash/correction. Read the TREB marketwatch and you will see what I meant. Look at the data and newsflashes in the 90s
View More Events
Suggest an Event
Join the blogTO Flickr group
Join the blogTO YouTube Group
RSS