We asked a couple of housing experts to get their perspective on what’s going on. If you’re a buyer, should you hold off on a purchase right now? Or are all the recent headlines about a housing cooldown in Toronto just scaremongering.
Here’s what an economist and a real estate agent have to say.
So is Toronto’s real estate market set to cool? Here’s real estate agent Tia Pham’s take,Higher interest rates aren’t the only way to cool off the housing market. Canadian governments have introduced several policies in the past couple of years designed to cool housing demand. The latest round of policies, at least temporarily, seem to have done the trick.
Tia Pham, a real estate agent in Toronto, says the new policies have affected both housing speculators (those buying homes solely to profit off them) and residential owners who are looking to sell. Pham believes the policies have simply put many buyers on caution, holding off on buying properties to see how the market plays out in the coming months.
Pham says bidding wars, where buyers compete with each other to win a property with increasingly higher offers, are not as hot right now.
You’re not going to get the 10 or 15 offers you would have. You’re going to get five,” she told me. “I’m not saying the demand has gone down, it’s just that the strategies and the approaches are different now.” She says she would hesitate to say the market is truly dropping at least not until more time has passed.
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