It's Over: Toronto Condo Listings Surge - July 2024

The Toronto Real Estate market continues to slide, as Bank of Canada rate cuts lead to the most single-day new listings in 2024.

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[BowtieJDP]

Shocking that the Toronto condo ponzi is failing. Locals can’t afford 800k for 350 sqft.

[argeldelacruz]

20 percent off on Boxing Day is nothing I’m staying in bed!

[ydoIstillcare]

Nolan, thanks for posting the latest video. By chance, are you able to do a video on how many investors buy on average per year vs non-investors? I'd be intrigued to see if it's mostly investors backing off meaning major problems for rentals later on. Cheers,

[joebachmeier]

What happens to condos when the building gets past the point of cost effective maintenance?

[UvstudioCaToronto]

Thanks for your data based, non-sensationalistic reporting.

[AdamWrightfool]

I moved from Tampa to Santa Clara a few months ago and I’m thinking of purchasing a single family home there, but with real estate prices currently through the roof, is it still a good idea to buy a home or should I invest in stocks for now and just wait for a housing market correction? Looks like NVDA, TSM and AMD and AVGO are strong buys this week.

[AmolGharat]

I didn't expect the rate cuts would heat up the market. If you study history prices drop when rate cuts happen due to recession. See what happened in 2008.

[Godsgraceish]

You can’t show up for something that you can’t qualify for. Most people don’t have wealthy parents who can give them a down payment and the cost of living and rent is too high to be able to save for a down payment.

[KrikitKaos]

If even more glut is hitting the market next year, why would the next 3-6 months be the time to buy?

[jasonwood]

I don't think it was so much people listing because rates went down, I think it's more they are in so much h trouble they are trying to dump. I really think we will see panic in the market in 3-6 months.

[f]

People shouldn’t have bought to flip. They should have bought to live in or to rent out. Lots of small condos are rented. The ones in trouble are those that can’t close AND because of rates cannot be cashflow positive. When rates go down investors will buy units as the math makes more sense. This happens in 8-12 year cycles all over the world. It’s not unique to Toronto or Canada.

[fahadkn]

Real estate not going higher again for atleast a decade. No need to buy and pay property tax.

[TheRobertpainter]

There’s a massive new home project in infrastructure development currently at Ritson & Conlin in Oshawa, at least 1000 houses. The sales office is empty all the time. Will be interesting to see how that shakes out down the road.

[TheClaudio]

And you can only raise rents 2.5 % while toronto raised property taxes way more than that

[jeffotoole]

So if a condo falls in the forest does anyone hear it? We have not even gotten close to peak panic yet. That’s around the corner in the condo market. My guess. Just a guess.
BOC drops rates a few more times and the condos still keep marching downward. That’s when panic sets in. Sounds like a perfect set up.

[Carolinapetroska]

The Canadian real estate market is totally dead and uninteresting. If you cannot do whatever you want with your property, the best is not to invest and go invest in another business friendlier country.

[andrewcrook]

Toronto Broker here. The shoebox condos are dead in the water. I'm refusing to take any sub 600sqft units unless they are fire sale prices.

Just listed a 1100sqft 2 bedroom for $625k that will sell no problem.

Buyers are looking to owner occupy real units that are spacious at reasonable prices.

Detached are still moving reasonably well.

My advice to current homeowners is the Ramsey approach. Set your mortgage to a maximum of 10 years of amortization. If the payment is beyond your affordability, you have overbought. Sell and downsize.

Prices are coming down and interest rates are not dropping much. Be smart, de-leverage. If not, you will be the looser when you are forced to sell and take a bigger loss.

Good luck!

[vert]

Listings surge, for tiny units not many people can live in. Rest of the market relatively flat with slight decline, simply due to lowered borrowing power + high MOI.

[johnf]

I'm buyer in normal market this is still overpriced by 50, percent good luck to sellers.

[Matt.k]

If anyone needs a precon condo in Toronto I know a guy