2021 was probably the biggest year for real estate in Canada. Things look a little different this year as we’re seeing a drop in sales in Quarter 1 2022 compared to 2021. In a report by Royal LePage, it was mentioned that the market’s stabilising with more houses on the market. Even though buyers have more options now, the seller’s market continues to persist in Ontario.
Phil Soper, president and CEO of Royal LePage, said that we’re seeing first signs of moderation in high demand areas. 2022 is expected to see a 15% hike in home prices across Canada. Average house prices in GTHA cities including Toronto, Hamilton, Ottawa, and Mississauga broke records in February 2022 but dipped a little in March 2022.
Luxury condo sales on rise in 2022
Sotheby’s International Realty Canada’s Top-Tier Real Estate: Spring 2022 State of Luxury Report confirmed a rise in popularity of condos costing over $1 million. In-demand markets including Toronto and Vancouver are going through a shortage of single family homes. The pandemic dwindled the luxury condo market as more people moved to smaller cities outside GTA since they could work remotely. Now that offices are opening for in-person work, we’re seeing a rise in luxury condo sales.
Toronto homes costing over $1 million experienced a 11% year-on-year growth in Quarter 1 2022. Homes costing more than $4 million, including condos, detached, attached, and townhouses, grew by 30% within a year. On the west end, Vancouver experienced a similar real estate market. There’s a major lack of supply in single-family homes in Vancouver, which caused the first quarter for 2022 to see more luxury condo sales. Overall sales are down 10% in Vancouver.
Luxury condo sales growing Montreal
After a busy 2021, luxury sales in Montreal stabilised in Q1 2022 but condos contributed to the majority of the sales. Sales of properties costing over $4 million grew by 140 per cent in Q1 2022 in comparison to the same period last year. Montreal also saw a 73% increase in the sale of condos costing over $1 million. Surprisingly, there was a 11% dip in the sales of attached and detached homes.
Is there any hope for first-time home buyers on a budget?
First-time home buyers in Brampton, who are on a budget, can still fulfil their dreams of becoming a homeowner. It isn’t an easy decision to make, so make sure you have your finances in place. It’s likely that you might have to pay rent and mortgage for 2-3 months as the closing can differ.
Currently, home prices in Brampton are stable, so if you have the down payment ready and pre-approved for a mortgage, give me a call! Depending on your budget and requirements, I’ll recommend you the best neighbourhoods in Brampton.
I am a Brampton local and real estate agent, and I would love to help you in your home buying process. Reach out to me today.