According to housing analyst, Will Dunning, resale homes in the Greater Toronto Area are expected to decrease in 2010. Dunning estimates that house prices will come down by about 1.6 per cent.
The average price of a home in the GTA in December 2009 was $396,200, subtracting the 1.6 per cent decrease would mean that same average house would cost $389,000.
That’s all? If I was looking for a house right now, I wouldn’t think that was particularly newsworthy. But the whole current real estate market seems unparalleled.
So, what’s the reason for this drop in prices? Mainly it’s being attributed to slow job creation. However the temporary factors that have kept the real estate market hot are still in play. Then there are those who say that the Toronto real estate market is overvalued.
Either way, it looks to be an exciting year for those looking to procure a mortgage!
