Time for your cheat sheet on this week’s most important stories.
Canadian Real Estate
Over 1 In 7 First-Time Homebuyers Are Tapping The Bank Of Mom And Dad
Ontario’s first-time buyers aren’t pursuing ownership alone, and instead are looking for much older help. Condo apartments bought with multiple owners with an age gap of 20 years or more jumped from 9% of titles in 2012, to 14.4% by 2018. The general market (total market), made a similar move from 9.6% to 14.5% over the same period. Teranet, the property registry giant that conducted the analysis, believes this may indicate a surge in parents assisting homebuyers.
Canadian Real Estate Sales Soar, With Only Two Markets Showing Declines
Canadian real estate sales are jumped across the country. CREA reported 47,793 home sales in July, up 12.6% from last year. The rise was consistent in most major markets across the country, with only two showing declines. This may be the start of a recovery in volume, but it’s way too early to call. Only seven of the past 36 months have shown an increase on a year-over-year basis.
Canada Loses 24,000 Jobs, But The Canadian Real Estate Industry Picks Up Over 30,000
The Canadian job market lost thousands of jobs, but the real estate industry picked up even more. There were 19.03 million employed across Canada in July, down 24,200 from the month before. The real estate industry, including construction, picked up a massive 30,000 jobs during the same period. The move further deepens Canada’s reliance on the business of buying and selling homes, which now employs over 1 in 7 people in Canada.
Canadian New Home Starts Jump, Pushed By Montreal And Vancouver
Canada’s new home building boom continues, driven by demand in Montreal and Vancouver. There were 209,122 starts (SAAR) in July, up 10.10% compared to the same month last year. This is 17% higher than the median growth rate of new home starts over the past 10 years. That’s a huge number of homes starting construction, potentially adding a massive surge in supply soon.
Toronto Real Estate
Half Of Toronto Detached Homes Are Selling 15% Below The “Typical” Price
There may be quite a few deals in Toronto’s detached real estate market, according to sales price stats. TREB reported the benchmark, the “typical price,” for a detached home reached $1,134,300 in July, up 2.95% from last year. However, the median sale price for the same segment was “only” $960,500, up just 1.1% from last year. This means more than half of all detached homes in the City of Toronto are selling for less than 15.32% of the price of a “typical” detached home.
Vancouver Real Estate
Greater Vancouver Detached Real Estate Sales Rise, But Prices Fall Further
Greater Vancouver detached real estate saw an increase in sales, but prices continued to fall last month. REBGV reported the 841 sales in July, up 32% from the same month last year. Meanwhile the benchmark price of those homes fell to $1,417,000, down 10.5% over the same period. The increase in demand, although substantial, wasn’t quite enough to bring sales volumes back to normal levels. This was reflected in the benchmark price, which continued to drop even with the increase.
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