416-875-6309 david@foundrylofts.ca

The Royal LePage House Price Survey and Market Survey Forecast was recently released. The data provided by the survey notes that the aggregate price of a home in the GTA decreased 0.4 per cent year-over-year in the third quarter of 2018 to $836,402. The data takes into account real estate sales across the whole region and not just the local area around the building.

Different regions around downtown have very different results. The markets just north of the 401 say some massive drops when compared to pricing affecting the local market. Homes in Richmond Hill and Vaughan decreased by 8.1 percent and 5.8 per cent year-over-year. The home market in Markham decreased by 9.7 per cent year-over-year but when you look at the condo market in Markham you can see that prices increased 1.7% even with any pre-construction units coming onto the market.

The problem with data from surveys and discussions of the real estate market when related to the building is obvious when you see these types of numbers. When you want buyers for your Loft unit in the building you need to have proper local data and an agent who knows the building. The building had three units that sold in the third quarter and they all sold quickly when you compare it some market data from other regions. Homes in Markham have sitting on the market for many days while three units in the building sold in under 10 days.

When looking at sale prices in the third quarter in 2017 had limited activity but sales prices up over 8% year over year. The loft units are now solidly over the $800K price point. The difference in final sales price on individual units is impacted by various factors including the location in the building, again highlighting having an agent who knows the history of the actual units. Many agents can look sales history but its important to know about some factors that might put an extra $30,000 in your pocket once your unit is sold. The initial listing price of your unit can have a huge impact on the final selling price.

When you compare the sales figure in the building, it closely follows the data from the Toronto wide condo market. Which includes studio units and one bedroom unit sales although our units were all two bedrooms units. According to the survey, Toronto continues to experience a high volume of
activity within the condominium market, especially among millennial buyers. Over the same period of time, the median price of a condominium increased 9.3 percent year over year to $561,733. Home sales in Toronto increased 5.2 percent year over year but what really affects the building is the type of homes that can be purchased for close to $800,000 and everyone knows the answer not much can be bought in that price range when looking for homes. Young families with one child as everyone knows are the target market for units in the building in most situations. See the chart below.

Foundry Loft target market chart

The number of 25-30 year olds is set to grow again (CNW Group/Royal LePage Real Estate Services)

Below is a video from the Toronto Real Estate Board regarding October market stats.