According to the Toronto Real Estate board, prices fell 10% YoY in October 2008. Using CREA figures, Toronto was down 3% in September. We'll see what CREA reports in a few weeks, but it can't be good. I suspect that 10% is overstated as it is an average meaning that if high end sales have tumbled (as they likely have), that will put further pressure on average prices. The 10% figure does show that the stock market carnage and recession are really hurting the housing market.
Listen to the agents spin (get ready to laugh):
“Consumer confidence is being unduly affected by media reports on the United States economy,” Ms. O'Neill (Toronto Real Estate Bord) said. “There's no question (emphasis mine) that in Canada the economic fundamentals to support a healthy housing market remain in place.”
No question...I see. Economic fundamentals? TSX? nope. Recent GDP? negative. Commodity prices? Nope. Media reports? I guess the media is just making up the fact the world economy is in shambles...
Unbelievable...
Remember that Toronto, Vancouver, Calgary and Edmonton are 4 of the 6 biggest cities in Canada. All are in very negative territory. There is just Montreal and Ottawa left, and I suspect that they will follow soon.
Wednesday, November 5, 2008
Toronto down in October
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Canadian Mortgage and Housing are forecasting record high rise starts for 2008 and very high levels for 2009. The result today is Toronto Loft construction than any where else in North America. Surprisingly Toronto ranks third behind Hong Kong and Singapore in most skyscrapers per capita. According to Emporis, a company who tracks high-rise buildings world-wide, Toronto currently has 99 high-rise buildings under construction, second only to New York City who has 179.
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