CMHC forecasts falling condo prices in Toronto
Canadian real estate markets have been surprisingly hot in the wake of the COVID-19 pandemic.
In Toronto, prices reached an all-time high in June, according to a report on the Nowtoronto.com website.
However, more recently, the publication has suggested that this is about to change.
"Toronto real estate prices are headed for a cliff," declared writer Radheyan Simonpillai in one recent article.
To support this, he cited an email from the Canada Mortgage and Housing Corporation.
“Anticipated increases in the supply of condominium apartments will lead to softening prices next year,” the federal housing agency stated.
CMHC has previously forecast an annual housing price decline of 9 to 18 percent in Canada as a result of the pandemic-induced economic contraction.
However, since that prediction on June 4, the market has heated up considerably in B.C.
As the Straight reported on August 5, the volume of sales jumped 42 percent in Surrey in July.
Meanwhile, sales in the Real Estate Board of Greater Vancouver were 9.4 percent last month above the 10-year average for July.
The benchmark price rose 0.6 percent in the REBGV's territory, which doesn't include Surrey, Langley, North Delta, and White Rock.