Every month in my newsletter I attach a map of York Region (see below) with the latest statistics from the Home Price Index, published by the Toronto Real Estate Board. I'm sure you are all heard the latest news about how the real estate market is chaning,  prices are dropping and interest rates are going up.  But, according to the home price index below you can see that statistically prices are still up from June 2021.   TREB provides these statistics to realtors monthly in what is called the Market Watch Report. The Home Price Index (HPI) uses comparable properties , ie. compares a 4 bedroom, 2 car garage home to another 4 bedroom, 2 car garage home, and analyses how prices have changed (up or down) , year over year.    In other words, they are analyzing the stats to show you percentage change from June 2021 to June 2022.  TREB also provides us with tools that allow us to examine neighbourhoods and also a particular address based on the original purchase date and today's date. These Stats are helpful to see how the market is changing and a very useful tool to help us to analyze values in today's every changing market.  

If you are thinking of selling then please don't hesitate to reach out for a free Market Analysis of your market value.  Predictions are that home prices will continue to decline, especially in these turbulent times.  

 If you are buying and selling in the same market, there is nothing to worry about.  You will be Selling for less but you will also be buying for less.  but, the best time to sell and downsize is now.  The best time to sell and upsize might be in a few months as I predict that less expensive homes will retain their values better than anything over $1.3 million.  

 If you are a first time buyer, then you might find some great deals our there right now.  But, be aware that Interest rates are predicted to continue to go up. Therefore,  if you are holding back waiting for prices to drop further, you need to balance the increase in rates against a possible lower price.     

 Contact me if you would like to know more about the best times to buyer or sell.  We are always here to help you make the best decision.  

TORONTO - The Bank of Canada increased its key interest rate by one percentage point Wednesday in the largest hike the country has seen in 24 years.

The move indicates the central bank will take a more aggressive approach to tackle inflation, which sits at a 39-year high of 7.7 percent and has made groceries, vacations, and other purchases more pricey.

The hike to 2.5 percent will also impact mortgages, loans, and spending habits.

Commercial banks and other financial institutions usually raise or lower their mortgage rates in tandem with the Bank of Canada’s interest rate hikes.

The rate hike means consumers should expect most variable rates to hit a range between 3.35 and four percent, said mortgage agent Sung Lee, in a Ratesdotca release.

Leah Zlatkin, a licensed mortgage broker with Lowestrates.ca, said in a release that every $100,000 someone holds in a variable rate mortgage will result in about $55 more in costs per month.

Based on the Canadian Real Estate Association’s average home price of $711,000 in May, a variable rate of 2.7 percent will result in monthly mortgage payments of roughly $2,845. At 3.7 percent, which she considers the best mortgage rate, those payments will total $3,168, an increase of $323 per month.

While people with variable mortgages will be affected, anyone whose mortgage rate is up for renewal will likely have “sticker shock” too, said Laurie Campbell, director of client financial wellness at advisement firm Bromwich + Smith.

“It’s going to be a situation where a lot of people are going to be rethinking whether they can continue to afford that home,” she said. >>>Click here to read more<<<