Monday, September 29, 2008

Market in August

While waiting for results from September, why not to have a look on August?
As Market Watch reports, trend of falling sales continued also in August and sales drop reached -22% compared to the same month of 2007 and even -9% compared to August 2006. This drop results in active listings increase (+31%), but this news shouldn't be interpreted pessimistically - offer is now broader, but there is no uncontrolled inflow of properties - new listings were down -1% compared to the last year's number and average days on market reached still pleasant value of 35 days.
Price growth was below inflation (+1% overall, -1% for the City of Toronto, +2% for the rest) so that means your investments into the real estate are losing power, on the other hand it opens the market for the buyers, especially the first-time buyers, troubled by skyrocketing prices till now.
Generally, as a Toronto realtor I still can feel enough optimism on the market. Financial crisis in the USA has not influenced the market much till now and business remains fast-turning.