Housing Trends To Keep An Eye On

What Will the Rest of 2022 Look Like in Real Estate?

According to the Toronto Regional Real Estate Board (TRREB), the trends we’re seeing in these first couple of months are predicted to continue playing out through the rest of the year, including strong consumer demand, low inventory and a highly competitive landscape for buyers.

 

Here are some housing trends to keep an eye on:

1) Rising Interest Rates Are Top of Mind

The Bank of Canada is firm on its intention to raise interest rates in mid-2022 to try and reign in persistent inflation. We don’t see this gradual increase having much of an impact on the real estate market in 2022.

 

2) Low Supply, and its Influence on the Market, Isn’t Going Anywhere

We continue to have record-breaking low levels of inventory, where there are significantly more buyers in the market than there are properties to buy. Based on current market activity, we’re not anticipating the trend of too few homes for sale dissipating anytime soon.

 

3) There’s No End in Sight for Rising Home Prices

Despite slowing sales numbers, TRREB doesn’t think that prices are set to fall in the GTA. They suggest we’ll see an approximate 12% year-over-year price increase, bringing the average price of a home in the GTA to $1,225,000 by the end of the year.

 

4) Consumers Will Continue Shopping for Real Estate in New Ways

Buyers have shown a continued interest in a virtual, tech-focused real estate experience – and aren’t necessarily in a rush to go back to the old way of buying homes. Virtual tours, high-quality videos, and browsing listings on an app are just a few examples of pandemic-fueled buyer tools we believe are here to stay.