Here's who is buying new homes in Canada's chilly housing market (and it isn't investors)
June Sales in Toronto Real Estate Market Hit Record Low
In a surprising turn of events, June saw a record low number of new homes sold in the Toronto region. With just 510 units sold, representing an 82 per cent decrease from the 10-year average for the month, the market is facing unprecedented challenges.
Despite the dismal numbers, there are still a few brave souls like Kim Meszaros who are willing to take the plunge. Meszaros, an insurance adjuster in her late 50s, decided to downsize and found her dream spot in Oakville, southwest of Toronto, at Claystone Condos.
The current state of the housing market, especially in the condominium sector, has brought uncertainty and caution among buyers and investors alike. Mortgage broker Ron Butler believes that the number of presales is close to zero, with many projects not likely to be built.
However, Meszaros’ decision to purchase a condo at Claystone Condos reflects a growing trend of end users entering the market. Developers like Graywood Developments are adapting to this shift by focusing on attracting buyers who plan to live in the units rather than investors.
Stephen Price, the president of Graywood Developments, emphasized the importance of building confidence among buyers by ensuring that projects will be completed. With a strong capital backing, developers like Graywood are instilling trust in potential buyers.
Justin Sherwood from BILD highlighted the luxury of choice that buyers currently have in the market, with a wide range of housing options available. Despite the uncertainties, buyers like Meszaros are taking calculated risks based on their personal circumstances.
The real estate market in Toronto may be facing challenges, but there are still opportunities for those willing to navigate the current landscape. As Meszaros put it, “This just came at the right time.”
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