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2016: The Year in Review
Posted January 24th, 2017 under .
If 2015 was over the top (and it was), then I must say, 2016 reached the sky. Instead of a softening of the market, as many had hoped for, trends continued in the opposite direction.
The government’s attempts to slow down rising prices had absolutely no effect on the market. Buyers just kept on coming.
As a result, the sales-to-listing ratio for 2016 hit 75.8%. This is the highest ratio ever in my 30-plus years in real estate. It indicates we’re in as much of a seller’s market as you can possibly imagine.
The number of new listings in Brampton increased a little in 2016 compared to 2015, rising from 14,567 to 15,067 (a 3% increase). Unfortunately, sales increased much faster, rising from 9,861 in 2016 to 11,427 in 2015—an increase of 16%!
Bidding wars have become the norm, with almost 50% of homes listed in Brampton selling for more than the listing price. (This used to be rare, around 1–2%!)
These numbers defy logic. When you examine all of the trends together—low interest rates, insufficient inventory of listings, consistently overpriced flips—it’s clear that a correction must be coming, but when and how much is still anybody’s guess.
Want to know more about the state of the market? Just ask me, I'll be happy to help.