Toronto Loft Conversions

Toronto Loft Conversions

I know classic brick and beam lofts! From warehouses to factories to churches, Laurin will help you find your perfect new loft.

Modern Toronto Lofts

Modern Toronto Lofts

Not just converted lofts, I can help you find the latest cool and modern space. There are tons of new urban spaces across the city.

Unique Toronto Homes

Unique Toronto Homes

More than just lofts, I can also help you find that perfect house. From the latest architectural marvel to a piece of our Victorian past, the best and most creative spaces abound.

Condos in Toronto

Condos in Toronto

I started off selling mainly condos, helping first time buyers get a foothold in the Toronto real estate market. Now working with investors and helping empty nesters find that perfect luxury suite.

Toronto Real Estate

Toronto Real Estate

For all of your Toronto real estate needs, contact Laurin. I am dedicated to helping you find that perfect and unique new home to call your own.


Tag Archives: royal bank of canada

Housing market headed for soft landing, agency, CEOs say

Tara Perkins & Grant Robertson – The Globe and Mail

While the drop in Canadian house sales that began in the second half of 2012 is likely to continue, the market is headed for a soft landing rather than a crash, one of the country’s largest real estate agencies and a number of bank CEOs predicted Tuesday.

Their comments came as the latest data suggest that the steep drop in year-over-year home sales persisted through to the end of the year.

Comment: Be interesting to see how they change their tune now that things have reversed and are rising again…

“The number of existing homes sold fell by an average of 18.6% year-over-year using a sample that includes Vancouver, Toronto, Ottawa, Calgary, Edmonton, Kitchener, the Fraser Valley, Victoria, Saskatoon and Regina, according to a composite number compiled by Bloomberg,” economists at Bank of Nova Scotia wrote in a research note. The data, they added, are “not pretty.”

But high-profile voices in the banking and real estate sectors suggested that the impact of the sales downturn will not be severe.

“Our expectation is we’ve got this sort of soft-landing scenario on the real estate side,” Royal Bank of Canada CEO Gord Nixon told investors at a conference in Toronto on Tuesday. “We have seen a slowdown in sales and we’ve certainly seen a slowdown in mortgage demand, but price levels are relatively stable.”

Comment: If not still rising, albeit slowly.

Speaking at the same conference, Bank of Montreal CEO Bill Downe said that a drop in house prices is to be expected. “House prices may just stagnate for a couple of years, and that’s the definition of a soft landing,” he said.

Comment: And flat prices are a far cry from the stupid 25% drop predicted by some. I wonder how mid-January’s 4% price rise figures into their calculations – if at all.

Real estate agency Royal LePage is forecasting a mild correction in the coming months. It believes that sales in the first half of the year will be slower than last year, tempering the pace at which prices have been rising. But it is predicting that by the end of 2013, the average national house price will be 1% higher.

Fewer home owners listed their properties late last year as more potential buyers moved to the sidelines, Phil Soper, CEO of Royal LePage, said in a press release. The slowdown in listings kept inventory levels lower, and supported house values, he said.

Comment: And now that people have saved up, they will re-enter the market. This will prompt more listings, which will fuel higher sales volume and that will push prices up.

The real estate agency said that it saw the price of standard two-storey houses rise 4% year-over-year in the fourth quarter, to $390,444, while the national average price of condominiums sold increased 1% to $239,374.

Royal LePage expects the year-over-year declines in sales that characterized the latter part of 2012 to continue. Sales volumes should improve a bit in the third quarter, it said, becoming essentially flat when it comes to year-over-year comparisons, and then show year-over-year growth in the final months of the year.

Comment: First half sales will be slower, since Q1 and Q2 2012 were fairly hectic. But the second half of 2013 will be higher than 2012, as that part of the year slowed significantly.

“With economic fundamentals such as employment levels improving, we expect this cyclical correction to be short-lived,” Mr. Soper said.

Sal Guatieri, senior economist at BMO Nesbitt Burns, told reporters on a conference call Tuesday that a soft landing appears to be under way in most regions of the country in the wake of a decade-long boom.

“We expect it to continue this year, with sales and housing starts moderating further and prices generally stabilizing,” he said, adding that the market will be supported by factors such as moderate job growth and steady immigration. “Most importantly, demand will be supported by continued low interest rates with the Bank of Canada likely on hold for another year,” he said.

On the downside, the market will be restrained by elevated household debt, moderately high valuations, little pent-up demand and, most importantly, tighter mortgage rules, he added.

Royal LePage is predicting the average house price in Vancouver will decline by 3% this year, while most parts of the country will see small price increases. Gains will be larger in Calgary (2.5%) and Regina (4%), it predicts. It expects average prices to rise by 1% in Toronto.

Contact Laurin Jeffrey for more information – 416-388-1960

Laurin Jeffrey is a Toronto Realtor with Century 21 Regal Realty. He did not
write these articles, he just reproduces them here for people who are
interested in Toronto real estate. He does not work for any builders.