July, 2019 – Greater Toronto Area REALTORS® reported 8,860 sales through TREB’s MLS® System in June 2019 representing a 10.4 per cent increase over June 2018. New listings remained at a similar level to last year for the month of June and active listings at month-end were down by 5.7 per cent. Sales for the first 6 months of 2019 were up by 8.5 per cent, while new listings were up by less than one per cent. This shows that sales accounted for a greater share of listings compared to last year resulting in price growth in many segments of the market. The average selling price in June 2019 was $832,703 – up by three per cent compared to June 2018.
“Buyers have finally started moving off the sidelines in the second quarter” says Kevin Larose of the Larose Team. In Mississauga, sales were up significantly for both detached and townhouse types which is typical of the time of year when closings follow the school year calendar. 2019 is shaping up to be a better year than we thought as the 2nd quarter has made up for the slow start to the year. Sales in the 905 area of the GTA are following the 416 numbers with condos leading as a category. Detached and townhouse sales and average prices are flat compared to last year.
“The momentum is strong as we head into the summer months with new listings scarce in the prime areas of south Mississauga’ says Kevin. “If you are thinking of a move this year, the time to look at listing is now as we aren’t seeing the typical summer slow down.”
Of note are several new condo pre-construction opportunities here along the Lakeshore corridor. Condos will only continue to get more expensive along the waterfront as new developments come to market. The average price per square foot here in Mississauga is about 30 to 40% lower compared to the $1300.00/sf they are getting on average in the city of Toronto. “Look to see healthy gains in the condo market over the next few years- especially near the lake says Kevin. The time to buy the pre-construction investment condo is now as they will only increase in value.” Contact us for more stats and details.
Discount Broker Models - The Real Cost of Selling Your Home
In today’s real estate market in Canada and the GTA, there have been a wave of new ‘disruptor’ real estate companies entering the market. Their models are designed to give more information and responsibility in the home selling process onto the seller and drive down the costs associated by cutting commission.
One of the major players is Purplebricks who recently purchased Comfree here in Canada. They offer a fee for services model for the seller and in addition, there is the cost of the buyer agents commission of 2.5%. So far, after one year Purplebricks has brokered approximately .06% of the sales in the GTA- a very small number especially with purchasing an existing player in the market.
“Discount broker models market on the assumption that the outcome will be the same- no matter who you choose to help in the home selling process.”
“This simply isn’t so” says Marlene.”Many sellers here in our areas hire us because we are experts in our neighbourhoods and professionals in our business. We set up a strategy to get you the most out of the market - and we negotiate at a very high level.”
At the Larose Team, we invest a portion of our commission back into your home in the form of staging and preparation so your home will show its best and sell quickly. We have a team of professionals that do this and we do it for every property we sell.
‘The most important part of our services are the advice and consultation you receive on how to get the most successful outcome” says Marlene. I can’t understand why anyone would want to compromise this- you get what you pay for.”
Zillow, an American player is an online data portal that allows consumers to get more info about sold prices and data in their area. They make their money by selling ads- many bought by real estate agents who purchase the leads back from them.
“You have to understand that the real estate agents have created our real estate market as we know it - along with all the bidding wars resulting in increased home value for sellers. We have played a big part in the market run-up and have made many sellers much more money than they thought their home was worth” says Marlene.