Recently, the Toronto Real Estate Board (TREB) released its annual Market Year in Review & Outlook Report during the Economic Summit.
The outlook includes forecasts for this year and raises such hot issues as consumer plans, influence of transportation infrastructure on housing affordability, foreign buying activity in the GTA and, of course, the restrained real estate supply.
TREB expects another year of strong sales through MLS® System. It predicts more than 100,000 sales for the third year in a row. To be precise, TREB expects home sales to vary within 104,500-115,500, with an average forecast of 110,000. It’s only slightly lower than 113,133 sales reported by GTA REALTORS® last year.
Canada Mortgage and Housing Corp. (CMHC) decided to keep the national real estate market in the red zone, where it has placed it three months ago, pointing to vivid signs of problematic conditions.
The Corporation, which provides the federal government with advice on the housing sector, kept the same rating for the second quarter in a row. Among the main reasons for that, overvaluation and price acceleration were named.
“The on-going price acceleration in Vancouver, Victoria, Toronto and Hamilton shows that real estate prices increase could be pushed by speculation, as it tends to outpace what migration, employment and income can support,” - said Bob Dugan, CMHC’s chief economist.