Already sky-high Toronto home prices expected to rise by double digits in 2022
It's already next to impossible for a large share of Toronto residents to buy into the city's topsy-turvy housing market, and it's about to get even harder, a new report forecasting that ever-increasing home prices will just keep on rising in the new year.
RE/MAX's 2022 Canadian Housing Market Outlook Report predicts nationwide residential price growth of 9.2 per cent in 2022, but the cost of a home in Ontario is set to soar even higher.
Based on the expectation of increased immigration to the province, market experts predict increased demand to be accompanied by surges in home prices, especially in Greater Toronto Area (GTA) markets.
JUST RELEASED: RE/MAX 2022 Canadian Housing Market Outlook Report estimates a 9.2% increase in average residential sales prices across Canada. Find the full report and regional insights below. https://t.co/ioaUQHwJpz— RE/MAX Canada (@REMAXca) December 1, 2021
Urban centres such as Toronto and Mississauga are anticipated to see price increases of 10 and 14 per cent in the new year.
Despite all the news of soaring, all-time-high prices, Toronto only saw a seven-per-cent year-over-year price growth in 2021, climbing from $986,085 to $1,054,922. One year from now, that average home price is expected to sit around $1,160,491.
And it's even crazier out in other parts of the province. Brampton prices rose 25 per cent year-over-year in 2021 to $1,085,417. Durham prices jumped even higher, up 29 per cent to $914,48 in 2021. But the craziest of all was London, where prices skyrocketed a staggering 30 per cent from $487,500 in 2020 to $633,700 in 2021.
Though home values may say good things about Canadians' confidence in the market, experts recognize that not everyone is excited about the ever-increasing prices in this country.
"Market challenges such as rising prices and limited supply have impacted local markets from coast-to-coast, causing angst this past year among those looking to get into the market and those hoping to move up in it," says Elton Ash, Executive Vice President, RE/MAX Canada.
And it's not just a Toronto area problem, with 33 per cent of Canadian homebuyers considering 'workarounds' to buy a home in the face of soaring prices and dwindling supply.
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