As a Realtor I am constantly reading about the Housing Market and its influences.  On this page I occasionally post housing news articles that I found unbiased and interesting.  My own comments are in blue...  Deepti

My outlook for Spring/Summer 2010: 
 

The question on everyone's mind is where is the market headed?  I wish I had a Crystal Ball so I could be sure.  Based on my current observations, I think the market will soften in the summer.  Many buyers and sellers have been trying to beat the HST deadline.  The pent-up demand from the soft 2009 has nearly been satisfied and the market is returning to near normal conditions.  In 2010 supply increased dramatically and so far demand has kept up.  Consumer confidence is steady as the recession slips away, so I think the slowdown is will be, less than 5%.

On the plus side.  There is finally some choice in the market.  Mortgage rates are still  low, and because the mortgage is the biggest portion of the cost of housing for most people, it is still the right time to buy and sell.  The demand is still there.  

Don't forget the HST goes into effect on July 1st 2010.  Although it won't affect resale sale prices, or even new construction, it will affect the cost of all services associated with a real estate transaction, for example Legal fees, Inspection fees, Real Estate Commissions... etc.  TREB estimates the added cost to be $1500 per transaction.    

Investors look for bargains.  The builders of new construction are starting to see the signs of a slowing market, so keep an eye out for bargains.  Whether you are thinking about your children's post secondary education,  your own retirement or just want a long term stable investment alternative to the stock market.  Real Estate is a worthy consideration.

From TREB Marketwatch  
(for a complete copy of the report email me your request dneto@trebnet.com)
 

May 5, 2010 -- Greater Toronto REALTORS® reported 10,898 sales through the Multiple Listing Service® (MLS®) in April, representing a 34 per cent increase compared to April 2009. There were also 20,683 new listings in April – a 59 per cent annual increase. Both the sales and new listings results amounted to new records for the month of April under the current Toronto Real Estate Board (TREB) boundaries.

“The GTA resale market is functioning properly. Sales were high as buyers continued to take advantage of affordable home ownership opportunities. Listings grew as home owners reacted to strong sales and price growth,” said Toronto Real Estate Board President Tom Lebour. “More balanced market conditions will result in sustainable rates of annual price growth in the second half of 2010.”

The average price for April transactions was $437,600 – up 13 per cent compared to the average of $385,641 recorded in April 2009.

“Home sales continue to be driven by many different segments of the market, with sales growth for all major home types in both the City of Toronto and surrounding 905 regions,” said Jason Mercer, TREB’s Senior Manager of Market Analysis. “Home sales will remain strong in the second half of 2010, but will slip from the current record pace as borrowing costs rise.”