CONCLUSION
Despite the extreme winter temperatures, February saw a 2.1% increase in number of sales, largely driven by condominium sales (nearly half of the reported sales). As for the average sales price, it continues to rise! The market for existing single detached homes continues to be the most active of all segments. Demand is being impeded by lack of homes coming to market, which in turn leads to bidding wars and double-digit price growth. The condo market has been relatively balanced, but even there, one can’t paint all areas with one brush. Low-rise units remain in short supply, while the high-rise segment faces excess supply as some 70,000 units are completed over 2014 and 2015. The new condo market is increasingly finding it more difficult to compete with condos on the resale market, which are both larger and cheaper.
Looking into our crystal ball we can expect to see more of the same for March. With five year interest rates available at 2.99%, purchasing a home remains attractive and affordable! It’s just a matter of finding one!
