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Toronto Real Estate Market

Toronto Real Estate Market – An Overview

The Toronto real estate market, much like the Canadian winter, can feel like a harsh environment for the average Joe to navigate. With strict federal mortgage laws introduced in January 2018; Many homeowners have been literally priced out of the market, and existing homeowners have had their property prices stagnate or fall with an average loss of 4 percent.

Property no longer feels like a guaranteed investment, let’s take a look at what’s happening in the downtrend in the Toronto real estate market and how the wheel of fortune could turn in the next 12 months.

Mixed luck

Property prices have risen sharply across the GTA in recent years, and while this has been pleasing to many sellers. It was a double-edged sword that fewer people have been able to climb the property ladder. Those who bought when prices were high had an inevitable decline in their market mood. As well as those who predicted their home was a stable investment for the future that would only continue to rise in price.

There are certainly those who are now expecting a crash to bring about a definite end to what many residents have felt as Toronto’s housing capacity crisis. But it will probably remain stable in a few pushes as the market continues to move. 2019

New federal mortgage law

In line with the country’s intentions to limit the amount of debt that the population and financial institutions took; The new federal mortgage law, introduced on January 1, 2018, means that Canadians must complete a “stress test” to get, renew or refinance a mortgage.

This is to prove that they will be able to deal with a significantly higher interest rate than the contract rate. This was even relevant for the percent recipients who had a down payment of 20 percent or more. Actually had another change in terms of feeling like a long line of regulatory changes. With no objection to being able to climb the property ladder.

Priceless from the market

These changes have affected nearly 100,000 people in Canada’s total population. Half of them are still able to shop other than their original plan and the other half have given up altogether. So, although many people rushed to buy. Sell and after the new regulations came into force they could buy a property that they could not afford. Many people found a price from a market that they could not enter on paper. This is true even if they think they have the financial means to do so or have met the criteria set in previous years.

Buying your way back

The inevitable rise in property prices across Canada has also seen the Toronto real estate market reach extreme heights but what needs to go up has to come down, and this tough mortgage law has seen the market begin to become unbalanced by 2018. The time of spring 2019, and this news, with the announcement of thousands of new jobs created in February, is giving hope for those who are willing to buy for the first time or climb higher on the property ladder. 665 new home developments are also taking place in Toronto; It could literally turn into a buyer’s market.


Although Ottawa and Montreal are starting to see signs of renewed growth and warming. Toronto’s real estate market is still generally said to be cool now and the literal cooling of the weather hasn’t helped either! A particularly harsh winter has forced potential buyers to think twice about seeing the property. It takes a while for the ice to melt so “Freudur” in Toronto will take some time to slowly melt the warm spring temperatures in the real estate market.

More home listings are expected to hit the market in the spring and summer months. Possibly leading to a slight increase in prices. But, with other variables that affect real estate trends, including elections and economics; It may be that the Toronto market will not be for the buyer or seller but for your own circumstances. Therefore, some people will win, some will lose, and some will break down financially.

Luxurious features

Demand for luxury homes and condos expect to increase and demand usually comes as demand increases; Those who are selling properties of this style will certainly be in the winning camp. The average price of a luxury home expects to reach $ 3,691,700 in the next twelve months.

Interest rate

It is not expected that the Bank of Canada will raise interest rates more than once this year. But in the same vein, it means that they are unlikely to fall either. The rate is currently 3.35 percent for a 30-year fixed-rate mortgage but there are important factors in determining the affordability of buying a home with a mortgage rate; Keeping a close eye on interest rates is literally in the best interest of a buyer!

Greater Toronto is a land of hope

Although in 2018 the homeownership rate in Canada fell for the first time in 45 years; It is still the country with the highest ownership rate in the world. More than 40 percent of households under the age of 35 own their own property. And although Toronto considers Canada’s least affordable market. There is opportunity and hope for a good investment in the real estate market.

Downtown Toronto needs a good real estate lawyer

Finding a good real estate lawyer in the city of Toronto is equally important for buying a good property in Toronto. Some lawyers promote their legal fees as the lowest but their services are equally the lowest in the market. Transparency within the legal fee structure is one of the main problems with the real estate lawyer fee structure in downtown Toronto.

 The only law firm out of the crowd is Sheikh Law Firm. As they have posted their real estate lawyer Toronto Fee on their website. Their reviews say they are transparent, honest, and provide a good service. In 2001, when this article is published, Jonathan G. Jonathan and J. had excellent legal services but their legal fees were significantly higher than those of Sheikh Law Firm.

 Choose a good real estate lawyer in downtown Toronto

You should ask the following questions before you hire your real estate lawyer;

How many transactions does a real estate lawyer complete in a month?

What is the fee structure and can the lawyer quote in writing without any hidden charges?

 It’s important to note that your realtor’s recommendations always bias because they usually get kickbacks for recommending a real estate lawyer. So do your own research before you hire someone. It is advisable to call a real estate lawyer in Toronto so that you can review your transaction before hiring someone.

Read More:  Real Estate 2022 Market Outlook: Reality and Illusion


I am Mahasin Reja, village: Birkaya, Post: Birkaya, Bagmara, Rajshahi.

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