The hot market which started earlier this year slowed just after the middle of March over concerns of the Coronavirus. And rightly so. Real Estate has been deemed an essential service in Ontario so business continues albeit under strict showing protocol.
The Bank of Canada reduced the bank rate again however, chartered banks have not passed along any savings to their mortgage consumer clients. It has also made it difficult for seniors many of whom invest in GICs. Those investments earn very little at this time, and as higher yeilding GICs mature for rollover many seniors will feel the pinch.
The average price of a detached 2-storey home was a more than reeprctable $1597000 up almost 14% from the first quarter of 2019 and down about 6% from February 2020 extraordinary average.
$1.6 million is a healthy average. Volumes were down about 10%. Again not too bad all things considered.
The rental market had light volumes and will likely stay that way until things get back to normal. Most tenants contemplating a move will likely stay put unless it is absolutely necessary. And of course many landlords will experience some defaults in payment due to job losses.
So business as usual for real estate for now unless further direction comes from the Government and Health Canada.
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