President's Toronto SUN Column
TREB President's Column as it appears every Friday in the Toronto Sun's Resale Homes and Condos section.
Finishing the year on a high note
December 30, 2011 -- November was another active month for resale housing transactions throughout the Greater Toronto Area, with 7,092 homes changing hands. This represents an 11 per cent increase over November 2010.
The 905 Region led the way in sales activity, increasing nearly 12 per cent compared to a year ago, with a total of 4,065 transactions. In the City of Toronto, where 3,027 homes changed hands, sales increased by 10 per cent compared to November 2010.
Meanwhile, at 9,786, the number of new listings throughout the GTA increased 14 per cent last month in comparison to a year ago. As we move into 2012, the supply of homes newly available for sale is likely to outpace transactions, translating into more balanced market conditions.
The average cost of a GTA home in November was $480,421, increasing almost 10 per cent compared to the same period a year earlier. Year over year price increases were comparable in the City of Toronto and the 905 Region. The City of Toronto’s average price of $524,805 grew by 10 per cent compared to November 2010 while the 905 Region’s average price of $447,371 grew by almost 10 per cent compared to a year ago.
The number of days that homes were available for sale decreased considerably compared to November 2010, averaging 29 days last month and 34 days a year ago.
Key to any healthy housing market is consumers’ ability to afford the carrying costs associated with home ownership, and from this perspective economic conditions remained relatively unchanged last month.
Toronto’s unemployment rate increased 0.1 percentage point to 8.4 per cent in November, while carrying costs also remained consistent with five year fixed rate mortgages available at just over five per cent.
Canada also garnered more positive global attention in November as the international business-consulting firm FutureBrand named ours the country with the best brand in the world for the second consecutive year.
As part of the study, which examines how travelers perceive countries around the world, 3,400 travelers were surveyed on their views about 110 nations. Switzerland came in second, followed by New Zealand, Japan, Australia, the United States, Sweden, Finland, France and Italy to round out the top ten.
Another annual study, conducted by Mercer LLC assessed Quality of Living in 221 cities around the world, ranking them against New York as the base city. In the Americas region, Canadian cities dominated with Vancouver, Ottawa, Toronto and Montreal ranking respectively in the top spots.
From a global perspective Vienna achieved the best living standard in the world, followed by Zurich, Auckland and Munich, with Düsseldorf and Vancouver sharing fifth place. Toronto ranked among the top 15 in the world.
Numerous studies released in recent months all point to the same conclusion: around the world Canada, including its most populous city, is a highly regarded place to live. This means that owning a home in the GTA is a wise long-term investment, and it is the only one in which you can live as it appreciates.
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