This Month in Real Estate
The pace of home sales increased again in November, reaching the highest pace recorded in 2015 so far. Prices once again posted large year-over-year increases, but these were still driven almost entirely by the Toronto and Vancouver markets. New mortgage regulations set to take effect in February seem to be aimed at cooling these markets by increasing the down payment requirements for high-end properties.
Average mortgage rates remained the same in December. BOC rates stand as follows: 1-year fixed rate, 3.14%; 3-year fixed rate, 3.39%; 5-year fixed rate, 4.64%. Historical average, 9.78%.
43,881 homes sold in November, an increase of 1.8% from last month and up 5% from last year. Some of the recent pickup in sales may be buyers trying to get in the market before the new rules begin to limit their options.
The average home price was $456,186 in November according to CREA. This was up 0.3% from October and is a year-over-year increase of 10.2%. Large price gains continue to be concentrated in the Greater Toronto and Vancouver areas, while most other markets posted more moderate price increases. Not including Toronto and Vancouver, average prices were up only 3.4%.
A seasonally adjusted 76,563 homes came on the market in november: an increase from the previous month, but with the corresponding rise in sales, the sales-to-new-listing ratio remained the same at 57.9%.