The Toronto Real Estate Board (TREB) has declared the rollicking real estate ride of the last two years to be officially at an end. Its annual outlook predicts only a slight increase, at best, this year over last year’s average home price of $822,681.
Prices are expected to end the year in the range of $800,000 and $850,000 on average across all home types.
It’s inevitable that sales and prices will look poor in comparison to the first half of 2016, when year over year price growth peaked at over 30 per cent, said Jason Mercer, TREB’s director of market analysis.
As the psychological impact of last year’s Ontario Fair Housing Plan wanes, home buyers will feel the effects of the new mortgage stress testing that took effect on Jan. 1, and of higher borrowing costs generally, he said at the board’s annual outlook conference on Tuesday.