Dear

Here's the latest news about GTA Real Estate:

Despite some pressure on their finances, fewer Canadians in the country's largest real estate market are currently looking to list their homes on the market than before, according to a survey by the Toronto Regional Real Estate Board, and that could lead to higher prices despite the country's anaemic economic growth.

Only 21 per cent of those polled by TRREB said they were looking to list their house for sale this year, compared to 32 per cent last year. As much as 18 per cent said they were wary of listing their homes primarily due to COVID-19 worries.

Average selling price of a home in the Greater Toronto Area shot up 11.9 per cent in June compared to a year earlier, and was up 7.8 per cent compared to May 2020, according to TRREB's monthly report.

To bring the market back to some kind of equlibrium, TRREB is recommending that various levels of governments should take policy measures that lead to the development of adequate and diverse housing supply and enable long-term affordability in the region.

The board argues that while COVID-19 has impacted home sales and listings in the GTA, home buying intentions have remained quite stable on the back of pent-up demand for housing.

“Current real estate indicators are showing a substantial recovery in the GTA real estate market. Before the onset of the COVID-19 pandemic, there was a great deal of pent-up demand in the market. This pent-up demand arguably increased further over the past three months. We are still in the early days of recovery, but barring any setbacks, we should continue to see stronger market conditions in the second half of 2020 as households look to satisfy their ownership housing needs,” said Lisa Patel, TRREB President. “Housing affordability in the GTA should continue to be a priority for policy makers and the best way to address this is by ensuring adequate and appropriate housing supply, rather than demand-side initiatives,” added Patel.

The municipal, provincial and federal government should take longer term measures to ensure a vibrant and affordable real estate market. TRREBs key recommendations to policymakers include:

'Yellow Belt' Review: Review residential zoning that restrict housing types to detached or semi- detached and consider opportunities for rezoning to allow mid-density housing.

"With regard to housing supply, TRREB’s key recommendation is for all governments to expedite the creation of “missing middle” housing, including expediting the City of Toronto’s consideration of expanding “yellow belt” housing opportunities. The “yellow belt” refers to the 35 per cent of City of Toronto land where 70 per cent is currently zoned for detached homes."

Streamline approvals and processes: That includes zoning, committee of adjustment & ancillary suite approvals, and expedite business licensing processes.

RRSP Home Buyers’ Plan: Consider various options for increasing flexibility in use e.g., increase withdrawal limits, based on the MLS Home Price index Composite Benchmark; expand first-time buyer eligibility; allow cross-generational use, such as parents using RRSP funds to assist children with their home purchase.

Property taxes: Continue deferrals for at-risk owners.

Provincial Land Transfer Tax: Consider potential holiday or deferral; adjust first-time buyer rebate to reflect current average prices, and adjust tax rate brackets so that higher rates are not imposed on below average-priced properties.

The TRREB poll also shows 67 per cent of those surveyed support a relaxation of the federal mortgage stress test, 73 per cent would like to see temporary relief from municipal property taxes, and 78 per cent believe there should be some relief from municipal and/or provincial land transfer taxes, as the economy heals in the short to medium term.

(Article from Financial Post published 07/14/2020)

Featured Property: 32-1333 Mary St. N Oshawa

To view this property in 3D, Click Here!

Here are some photos of me and my clients viewing houses.

Thank you for your time. Be safe always!