Fresh home sales data has finally answered the question for real estate watchers: The Bank of Canada’s initial interest rate cut in June did not open the floodgates to buyers, many of whom remain sidelined through an unseasonably slow spring housing market.
Sales figures from local real estate boards released in the past week show last month’s home sales did not see much of an uptick after the Bank of Canada’s quarter-point cut on June 5, the first decrease in four years and a substantial shift in monetary policy after the central bank’s fastest tightening cycle on record.
Toronto condo sales are tanking — but asking prices aren’t budging. Here’s why
Condominium sales in downtown Toronto have tanked, but prices have barely budged thanks to over-leveraged sellers refusing to take a financial hit by listing their units for tens of thousands of dollars below what they bought it for.
In June condo sales fell a whopping 29 per cent year-over-year, but prices only declined by 0.9 per cent, according to data from the Toronto Regional Real Estate Board (TRREB). This has led to more inventory on the market with new listings up more than 12 per cent year-over-year giving buyers a bounty of options to choose from.
The condo’s they speak of are the 500 – 600 square foot units that flooded the market downtown during the peak. I recall seeing units for sale with only a microwave to cook with in what passed as a kitchen.
I question that Toronto has the recovery in it to make these units viable.
