TOP REAL ESTATE NEWS
This months Real Estate newsletter brings more positive news from our real estate industry here in Mississauga, Toronto and the GTA. Enjoy!
All the best! Mark
Summer is just around the corner!
In this Issue Real Estate Market Watch
From the desk of: A. Mark Argentino
See them all Here
|Today's Mortgage Rates|
|1 Yr closed||3.14%|
|2 Yr closed||3.04% |
|3 Yr closed||3.65% |
|4 Yr closed||4.39%|
|5 Yr closed||4.64% |
|5 Yr Variable|| 2.85% |
|See Best Rates|
|Term|| Royal Bank Posted Rates|
|5 Yr Closed Variable ||Bank Prime + 0.000%|
|5 Yr Open Variable ||Bank Prime + 1.000% |
|Bank Prime 2.85%|
NOTE: You can often negotiate a discount of 0.3 - .5% or more off posted rates.
"Best" Mortgage Rates
BANK PRIME RATE
As of July 4, 2016 the Bank Prime Rate was
Bank of Canada announced no change in the bank rate at the latest press
more. On September 8th, 2010 the Bank of Canada increased the
prime lending rate .25% to make it 1.00%. and it stayed at that amount
until May of 2015 when they announced a 0.25% decrease to a total of
0.75%. The Bank prime rate is typically about 2% higher than this,
so Bank Prime charged to the public but in this case, the banks are
only passing along .15% of the recently lowered rate, so prime to customers
is now 2.85%
The major banks in Canada typically
charge their best customers 2% above the Bank of Canada Prime Rate,
today, it's 1.85 above prime, which means that the Bank Prime or Prime
Rate that we see is now 2.85%
Bank Prime Rate means "best" and this is the rate that banks charge their absolute best customers for loans, which is usually only other lending institutions.
Changes in the Bank of Canada prime rate influence changes in other interest rates, including variable interest rate mortgages. This "bank rate" rate fluctuates based on economic conditions.
Some mortgage companies offer interest rates starting at Prime minus .1% (or more) as an incentive to borrow from them! These are known as "SUB PRIME" Mortgages and we know what happened in the US when too many sub-prime mortgages were given out in the mid 2000's One of the dangers with sub-prime mortgages is when they come due too early in the mortgage term and rates have increased, it's difficult to make the change to much larger payments. Read more about Sub-Prime Mortgages
For example, see the
Royal Bank Prime Rates
Bank of Canada Prime rates found here
June 2015 News
Greetings from Fabulous Mississauga!
- The Average price for last month was $649,599 (it was $613,933 the previous month) and this represents aver a 11% increase compared to the same month last year- see graph of prices here
- Sales volumes were 11,706 (it was 8,940 last month) and this is UP 6.3% from the same month last year
- The Bank of Canada Prime Lending Rate shocked the experts and lowered the rate to 2.75% in January 2015 read more
The statistics for last month are out, the figures for previous month are out and average GTA sale price and volumes continue to be at or near all time highs, see this page for latest market stats and results from the previous month month
Mortgage Interest Rates - time to lock in? read more
Once again, last month was another very strong month for sales and prices in the GTA.
TREB reports that the volume of sales was down but prices are up year over year.
|2015 Average Monthly Price|
|2014 Average Monthly Price|
|The average selling price for 2014 was $566,726 and for 2013 was $523,036, which represented an increase of 8.4% compared to 2013 and a 5.2 per cent compared to the calendar year 2012 average of $497,130 - see graph of prices here|
See seasonal fluctuations in average prices
As can be seen from the chart above, prices are still strong. Number of sales are down, but this could be due to reduced inventory.
See the full report from TREB below.
I hope this finds you healthy and happy!
All the best,
All the best,
You are reading the latest newsletter
June News Report
Last months Resale Housing Results Show Healthy Market!
This is the latest monthly report for TREB for the average prices and the number of sales in previous month, both were very strong last month.
Record number of Sales for May 2015
Prices and Sales continue their strong growth last month
Please refer to this page to see a graph of Average prices and More
This is the full report from TREB
June 3, 2015 -- Toronto Real Estate Board President Paul Etherington announced 11,706 sales reported by Greater Toronto REALTORS® in May 2015. This result was up by 6.3 per cent in comparison to 11,013 sales reported in May 2014. For the TREB market area as a whole, sales were up for all major housing types. However, in the City of Toronto, where the supply of low-rise listings has been constrained, sales were down for detached homes.
“During my tenure as TREB President over the past year, it is clear to me that ownership housing remains top of mind as a quality long-term investment for GTA households. This is why, despite a shortage of listings in some market segments, we experienced a record number of sales reported through TREB’s MLS® System for the month of May,” said Mr. Etherington.
Record May transactions, coupled with a dip in the number of homes available for sale, resulted in strong price growth. The MLS® Home Price Index (HPI) Composite Benchmark was up by 8.9 per cent year over year in May. The MLS® HPI uses benchmark homes to estimate price growth. This allows for an “apples to apples” comparison of price growth that is not affected by changes in the mix of sales activity.
The average selling price for all home types combined in May 2015 was up by 11 per cent annually to $649,599. The higher annual rate of average price growth compared to the MLS® HPI Composite Benchmark points to the fact that the proportion of high-end home sales continued to be greater compared to 2014.
“Tight market conditions, especially for singles, semis and town homes in the GTA, have resulted in strong price growth regardless of the price metric being considered. With no relief so far on the listings front, expect similar rates of price growth as we move through the remainder of 2015. At this point, a number of months where listings growth outstrips sales growth would be required to satisfy pent-up demand,” said Jason Mercer, TREB’s Director of Market Analysis.
All the Best!
POWER OF SALES
LAST MONTH REAL ESTATE RESULTS
Last Month's real estate sales figures are now out. Last month statistics are now in the books and the bottom line is Market Remains Strong!
Listing inventories are low, so if you are thinking of selling, this is a good time to list your home. The market has been 'very good' for the past month or so and new listings are need. Would you like a Complimentary & Quick Over-The-Net Home Evaluation of your property?
I hope this finds you and yours happy and healthy! I wish you and your family all the best!
Mortgage rates and Housing News
Frequently Asked Real Estate Questions
Real Estate Statistics
I wish you and your family All the Best!
This Month's Stats
PS. Read my Mississauga Real Estate Blog