2006 Ends on a High Note
The Toronto Real Estate Board (TREB) reports that sales-volume in December was up four percent over 2005, which is the second best total ever recorded for the month. December’s performance is indicative of the whole year, which saw total sales break the 83,000 level for only the third time.
Year-over-year, the average price in 2006 rose 5%, which means that prices continue to outpace inflation and home-ownership continues to be a sound investment. And yes, the rate of increase is decreasing: The housing market is healthy but no longer crazy!
Activity breakdown by TREB districts:
2006 2005 % Avg
Avg Sale Avg Sale Change D-o-M
North 382,065 365,210 + 4.6% 47
East 271,462 272,949 - 0.5% 43
Helpful Hints
Title Fraud
Sad to say, there has been an alarming increase in title fraud over the past few years. And doubly sad to report, there is no absolute way to protect yourself, but here are some measures to take to minimize your risk:
· Title Insurance gives protection for past frauds as well as on a go forward basis. If you own a home now, ensure you have TI. When buying a home, ask your lawyer to be sure to obtain TI for you.
· Be vigilant, check your credit reports regularly. Question any queries that you don’t recognize.
· Shred bills and other documents that contain personal information such as your name, address, bank/branch, account numbers, etc. Yes there are unscrupulous souls who will find it worth their while to rummage through your garbage seeking the keys to your identity.
· Meet your Banker; S/he is less likely to be duped by an imposter if they have actually met you and can recognize you.
TIMING
When purchasing or selling a home, a key factor to consider is the average number of days-on-market (DoM).
Although the numbers will vary year to year, the trend is quite consistent: Spring is the high market, summer is fair, fall is good and winter is quiet.
For Sellers: The lower the DoM number – the better: A more active market means more properties available and more buyers are active.
For Purchasers: A more strategic call is needed– in a ‘slower’ market it is typically true that there are fewer houses on the market, yet similarly there are fewer buyers for you to compete with. Also Sellers may become anxious as time passes, and perhaps more agreeable to negotiating.
Think about it!
