The Greater Toronto Area’s real estate market may have showed great volatility in 2017, but prices are still on the rise in the majority of the region.
This is despite year-over-year declines in both sales and home values; while the first few months of 2017 saw prices skyrocket, in April, following the Ontario government’s rollout of the Fair Housing Plan, the market endured a drastic drop with price growth slowing considerably during the second half of the year.
Also read: Reaction to Ontario’s Fair Housing Plan
Though some buyers who bought at the peak ended up in trouble once the market began to slow, the average property price in the GTA still rose by 12.7% – and experts don’t see that changing any time soon.
“Until rates go back to where they were in the mid-90s, I don’t think much is going to change,” Nadia Childs, a Toronto-based RE/MAX realtor, told MoneySense.
Childs referred to Toronto as a “world-class city,” adding that a US-style housing crash remained highly unlikely.
What are the Most Affordable Toronto Neighbourhoods?
While affordability in the GTA continues to be strained, with an average home price of $1.05 million, 55 per cent of neighbourhoods in the region boast average housing prices below $1million.
In its latest Where to Buy Now report, MoneySense ranked the best neighbourhoods for GTA house hunters in three regions, including the core.
“The core is the city’s urban centre, with accessible transit and easy access to amenities,” said Claire Brownell, associate editor at MoneySense.
Here are the top three neighbourhoods for house hunters in the GTA core, according to the report:
Located in the eastern end of the City of Toronto, West Hill is a “steal compared to the rest of the city”. Boasting many natural features, including a river, lakes, and parks, the average home price in 2017 was only $673,574.
Westminster-Branson is undergoing rapid transition, with new condo and townhouse developments starting to heat up prices, according to Eily Liang Bartfai, a Toronto-based RE/MAX realtor. The average home price in 2017 was $1.2 million.
East of the Don Valley, Victoria Village is another good place to look for affordable properties, particularly for those priced out of Danforth. The Eglinton LRT, which is slated for completion in 2021, will make it more transit-accessible. Affordability is a little strained though, as the average home price was $1.1 million in 2017.