In my humble opinion, media is unfairly painting a grim picture of, for many of us - the biggest investment that we've ever made in our lives - our homes. The figures shown above will allow you to have a proper perspective of where real estate is at in 2010 - NOT SO GRIM.
Unit sales are up, average price is up and what does "DOM" mean? Days On Market - the lowest ever, since 2006. What does this mean? Houses on the market are selling faster than the previous years and you may ask why? Basic Economics 101 principle of supply and demand. There are more buyers than there are sellers out there at this time.
Will this trend continue? Industry analysts are forecasting a more balanced market with modest single-digit price gains - not a "stressed" market that is burdened by bidding wars and skyrocketing prices. Home affordability is set is improve until 2012 and we all want this - we want everyone to be able to afford to continue to pay for our homes so the market remains healthy.
The main market drivers remain strong in Ontario: 1) Demographics - strong immigration to Canada with Toronto as the #1 choice for new immigrants ; 2) Land scarcity - demand for dwellings in the downtown core for easy access to public transportation & the stringent land conservation policies that continue to protect Ontario from overdevelopment & urban sprawl . These factors, along with the government's commitment to maintain interest rates at very affordable levels are quite reassuring that things will not go south (pardon the pun) as our neighbours in the US are experiencing.