Luxury home sales in Toronto, Vancouver to 'defy gravity,' report says

Toronto and Vancouver will continue to lead luxury home sales in Canada this spring in both volume and price, and mostly for the same reasons they dominated last year, says a new report released Wednesday.

See Full Article

Sotheby's International Realty Canada cites macro-economic trends including limited inventory and strong demand from both domestic and international buyers in making its prediction.

The realtor says the Greater Toronto Area will lead the $1-million-¬plus residential real estate market, with continued sales gains and price escalation.

Notable growth is also expected in Vancouver, especially its top-tier residential market, with increases anticipated in the $4-million-¬plus category.

"Luxury home sales in Toronto and Vancouver will continue to defy gravity this spring," Brad Henderson, president and CEO of Sotheby's International Realty Canada, said in a statement.

"Both markets have the potential for significant gains and we expect heightened demand and insufficient inventory to drive price escalation and sellers' market conditions."

The report said steady economic growth indicators in Quebec have contributed to market balance in Montreal, where sales of top-¬tier detached single-family homes, attached homes and condominiums are expected to remain comparable to 2015 levels.

But continued economic uncertainty in Calgary due to troubles in the oilpatch will increase the number of homes available and contribute to declining prices in both the top-tier and conventional markets in Alberta's largest city, it said.

The weak Canadian dollar has made real estate more attractive to domestic and foreign buyers. But Sotheby's says other market fundamentals have had and will continue to have greater impact on the $1 million-¬plus real estate market across Canada this spring.

In Vancouver, the first two months of the year saw sales of homes valued at more than $1 million increase 23 per cent year-¬over-¬year to 771 units, of which 557 were single-family home sales - a 16 per cent increase.

While the GTA remains attractive for foreign investors and immigrants, local and domestic demand will remain the primary drivers in that market, according to Sotheby's.

Already the Toronto market has seen a 63 per cent, year-over-year increase in sales of $1-million-plus homes - up to 1,646 units, of which 1,486 were single-family homes.

By comparison, the sale of homes priced $1 million or more rose 23 per cent to just 80 units in Montreal in the first two months of the year. That's the same number as in Calgary, where the figure represented a one per cent decrease from the same period in 2015.



Advertisements

Latest Economic News

  • Site C dam project draws criticism at Vancouver public input session

    Economic CTV News
    VANCOUVER - Critics of an $8.8-billion dam project in British Columbia voiced concerns over the long-term costs of the project during the first in a series of public input session. The province's new NDP government directed the BC Utilities Commission to review the economic viability of the Site C hydroelectric dam project that was initiated by the former Liberal premier Christy Clark. Source
  • Pricey even with a contract: Wireless carriers release iPhone 8, iPhone X pricing

    Economic CBC News
    The first of the new iPhones are now available in Canada and wireless companies have released their pricing. With a two-year contract at Bell and Rogers, the iPhone 8 will cost $229 Cdn or $429 depending on the memory size. Source
  • Third round of NAFTA talks opens in Canada

    Economic CTV News
    OTTAWA -- A third round of NAFTA renegotiations has begun with chief negotiators from Canada, the U.S. and Mexico meeting in the Canadian capital. Canada's chief negotiator, Steve Verhuel, said Saturday that he doesn't expect this round to see any new U.S. Source
  • Chief Canadian NAFTA negotiator not expecting progress on auto content rules

    Economic CTV News
    OTTAWA - Despite tough talk from the U.S. about the job-killing impact of NAFTA on its automotive sector, Canada's chief negotiator isn't expecting to see a detailed proposal from the Americans during the latest round of talks to rewrite the continental trade pact. Source
  • 'Trump has scared the bejesus out of everyone': How Canada could win the Amazon sweepstakes

    Economic CBC News
    Handicapping the Amazon sweepstakes has become something of a cottage industry in the last few weeks. Predictions of which city will land the company's coveted second headquarters cite everything from the bright lights of big cities like New York and Boston to Denver's crisp Rocky Mountain air to Chicago's spot as a hurricane-free haven. Source
  • Pickleball, anyone? A planned retirement village for active boomers

    Economic CBC News
    Tony DiFruscio is a confessed Disney-holic. "I'm a huge Disney fan," says the president of Zest Communities, a Hamilton property developer. "We go there every year with the family, my oldest son went there for his honeymoon. Source
  • Calgary and Saint John mayors urge NEB to reverse Energy East pipeline ruling

    Economic CTV News
    CALGARY -- Mayors from both ends of the proposed Energy East pipeline are calling for the National Energy Board to reverse its requirement that upstream and downstream emissions be included in its review of the $15.7-billion conduit. Source
  • Lawsuit tossed against Little Caesars over non-halal pepperoni

    Economic CTV News
    DETROIT -- A judge has rejected a lawsuit against a pizza franchise, alleging it sold pork as "halal pepperoni" at one of its locations in a Detroit suburb. The Detroit Free Press reports that on Thursday the Wayne County judge dismissed the lawsuit filed by Dearborn resident Mohamad Bazzi against Little Caesars Pizza. Source
  • Walmart testing service that delivers right into customers' fridges

    Economic CTV News
    NEW YORK -- Would you be OK with letting a stranger into your house for the sake of convenience? Walmart is testing the idea with a new service that lets a delivery person walk into your home when you're not there to drop off packages or put groceries in the fridge. Source
  • Quebec renews Uber's permit for another year with tighter rules

    Economic CTV News
    Quebec's transportation minister is renewing a deal allowing ride-hailing company Uber to operate for another year in the province. Laurent Lessard says the deal extension tightens the rules under which the San Francisco-based company will be permitted to continue offering its services to Quebecers. Source