Canadian homes are averaging above the million-dollar mark.
Last February, the Toronto Real Estate market hit a major milestone: the average price of a detached home in the 416 area code topped $1-million for the first time. Across the GTA year-over-year home sales have surged 11.3 per cent in February and 10 per cent in March. Low interest rates continue to help offset the rise in home prices and are attracting buyers towards diversity and expanding their Real Estate portfolios.
There is still plenty of pent-up demand for single family homes and we are seeing strong competition between buyers, a factor that affect the rise in asking prices and we expect to see this continue throughout the spring and heading into the summer months.
Across the country, Vancouver was right behind the GTA, surpassing its milestone of $1.4 million in April. The average price climbed 16 per cent compared to a year ago after sold listings escalated 54 per cent to 4,060 homes in the metropolitan area.
Looking at the numbers we expect to see the average home prices in Oakville hit the million dollar mark by the end of this year.
The Bank of Montreal recently conducted a poll and the results reflect the same rising price trend. Results from the poll showed:
- 36 per cent of high net worth Canadians own a second property and 40 per cent of those people own two or more extra properties
- 47 per cent said their reason for owning a second property was for more vacation time
- Of those who own an extra property, 80 per cent have invested in Canadian property, 27 per cent own in the US and 11 per cent are invest in Europe
With historically low interest rates and soaring home values, we are presented with a unique opportunity to invest in our future while seeing immediate returns at the same time.