How first-time buyers can affect the entire Toronto real estate market.

Why The Toronto Real Estate Market is Booming

From recession to explosion, the Toronto real estate market has bounced back significantly.  A solid blend of historically low interest rates, discounted home prices, and a healthy Canadian banking system has helped consumer confidence emerge from the depths of a gloomy recession.  Such confidence was not only demonstrated in the Toronto real estate market, but in many consumer and retail markets as well.

One of the driving forces in the housing industry happens to be first-time home buyers.  The new era of affordability has created a spike in the demand of modest bungalows, semi-detached homes and condominiums.
So how can these first-time buyers entering the Toronto real estate market affect the entire residential market?  Why are some luxury homes in the multi-million dollar range selling quicker, and even getting multiple offers?

It’s like a domino effect.  These new hopeful homeowners who are looking to enter into the Toronto real estate market for the first time, will in fact, be purchasing someone else’s home.  The current owners, will more often than not, want to upgrade to a bigger, more expensive house.  The owners of those homes might want to step up as well, and so on and so forth.

With such a sudden shift in demand, the supply side has struggled to follow suit, therefore creating the frenzy that the Toronto real estate market has experienced since the second quarter of 2009.

If you are a first time buyer or a home owner who want to sell your house in Toronto and want an honest  Toronto Real estate agent, call Dan at 416-928-6833 for a free consultation.