bubble

Saturday April 21, 2017

Editorial Cartoon by Graeme MacKay, The Hamilton Spectator – Saturday April 21, 2017

Speculation Swirls Around Kathleen Wynne

Premier Kathleen Wynne is slapping a 15 per cent “non-resident speculation” tax on foreign investors to help cool down southern Ontario’s scorching real estate market, the Star has learned.

March 29, 2017

Wynne will join Finance Minister Charles Sousa and Housing Minister Chris Ballard on Thursday against a backdrop of condo towers in booming Liberty Village to launch a massive plan to improve housing affordability.

A key plank in that would be the 15 per cent surcharge on offshore speculators, who are estimated to make up just 5 per cent of the current market.

Modelled on British Columbia’s “foreign buyers’ tax” in Vancouver, the levy would apply to home purchasers in the so-called Greater Golden Horseshoe who are not citizens or permanent residents.

November 3, 2016

It would affect sales in and around the Greater Toronto and Hamilton Area, Niagara, Kitchener-Waterloo, and encompass everywhere north to Barrie and Orillia and east to Peterborough. (Source: Toronto Star) 

Meanwhile, Speculation about whether Premier Kathleen Wynne can continue to lead the governing Liberals is at a f‎ever pitch.

Party stalwarts are hoping next week’s balanced ‎budget from Finance Minister Charles Sousa will tip the scal

September 9, 2016

es for Wynne’s teetering political fortunes.

But with public and private polling showing the Liberals languishing in third place well behind the Progressive Conservatives and the New Democrats — even after Wynne’s 25 per cent cut in residential electricity rates — there is mounting uncertainty she will remain at the helm.

The Ontario Liberal Party’s chief fundraiser, Zak Bailey, has quietly resigned just seven months into a job made even more challenging by campaign finance reforms triggered by a Star series last year.

“You’d have to ask the party what their plans are,” Bailey said Monday, declining further comment. (Source: Toronto Star) 

 

Wednesday March 29, 2017

Editorial Cartoon by Graeme MacKay, The Hamilton Spectator – Wednesday March 29, 2017

Housing affordability measures will be in spring budget: Ontario Finance Minister

Ontario Finance Minister Charles Sousa confirmed Monday he plans to include housing affordability measures in his upcoming budget.

Premier Kathleen Wynne has said her government is working on a “comprehensive set of plans,” to deal with rising home prices in the Greater Toronto and Hamilton Area (GTHA), as well as rising rental rates.

Sousa said he’d like to include those plans in the spring budget.

There is a “suite of options” available to Ontario, but the province must be careful to avoid “unintended consequences” from those measures, he said.

Sousa also spoke about pressures on both the supply and demand side of the GTHA housing market.

“Demand is high for a number of factors,” he said. “Could be speculators, could be people from outside the country, it could very well be the many who are now moving into Ontario creating that demand.”

“The degree of supply is in question and how to expedite that is also something we’re trying to address,” he added.

The housing package in the budget will concern the red-hot housing market in the GTHA, while taking into account different circumstances in the rest of the province, Sousa said. (Source: Globe & Mail) 

 

Friday February 17, 2017

Editorial Cartoon by Graeme MacKay, The Hamilton Spectator – Friday February 17, 2017

Limited supply, high demand in hot Hamilton housing market ‘without precedent’

Warning bells are being sounded in some quarters about an overheated housing market that is trending toward fewer listings, higher prices and yet increased sales, at least locally.

July 13, 2016

But the president of the Realtors Association of Hamilton and Burlington suggests the situation is neither worrisome nor difficult to understand.

“It’s Economics 101,” said Lou Piriano. “There is less supply, and more and constant demand.”

A report released Wednesday by the Canadian Real Estate Association describes a “severe” shortage of homes available for sale “particularly in and around Toronto and in parts of B.C.”

The report said “the imbalance between limited housing supply and robust demand in Ontario’s Greater Golden Horseshoe region is without precedent.”

And an economist was quoted in the Toronto Star saying that the housing market in Toronto “and any city remotely within commuting distance is overheating, and perhaps dangerously so.”

May 7, 2014

In Hamilton-Burlington, the number of properties listed in January was 1,139, down 9.7 per cent from January of last year — but sales of all properties were up 17.4 per cent.

“There is less product and just as many people want it,” Piriano said.

That influenced the average home price rising 12.8 per cent over this time last year.

Piriano said it’s problematic to focus on national figures when just one housing market can distort the numbers but said the GTA continues to exert tremendous influence on Hamilton’s market. Fifteen per cent of all home sales in this area are done by Toronto realtors.

How hot is the market?

It’s just one house, but anecdotally it perhaps represents stories that area home buyers and sellers have been telling of their experiences: A central Mountain home on Desoto Drive, near Upper Wellington Street and just north of Stone Church Road, listed Feb.6 for $599,500 and received 18 offers, according to Mississauga-based ReMax realtor Carl Schuy. It sold Monday, a week later, for $740,000. (Source: Hamilton Spectator) 

Wednesday May 7, 2014

Wednesday May 7, 2014By Graeme MacKay, The Hamilton Spectator – Wednesday May 7, 2014

Average price of single home in Toronto shoots up 13% to $965,000

It’s a record likely to be shattered by summer: The average sale price of a detached home in the City of Toronto hit $965,670 in April.

That number is expected to exceed $1 million over the coming weeks as the GTA continues to feel the effects of a shortage of new listings that helped drive up the average price of detached homes in the 416 region by 13.2 per cent from April of 2013.

The average sale price of home in the GTA — taking into account everything from detached homes to semis, townhouses and condos — hit $577,898 last month, according to figures released Tuesday by the Toronto Real Estate Board.

Sales were up just 1.8 per cent, year over year.

Leading the real estate pack in terms of price growth were semi-detached houses. The average sale price across the GTA was up 11.6 per cent over April 2013. The 18 per cent jump in prices just in the City of Toronto sent the average sale price of a semi to $702,332, according to the TREB figures.

Next in line were detached homes, where prices were up 11.3 per cent across the GTA — 9.6 per cent in the 905, where the average sale price was $645,179 in April.

Active listings, however, even for the first month of peak spring market, were down 8.4 per cent, a persistent problem that has been driving intense competition and significant price growth, largely in 416 neighbourhoods close to the core and transit lines.

TREB president Dianne Usher blamed Toronto’s double land transfer tax for the fact that more folks are choosing to stay put and renovate rather than sell.

As well, “above-trend home sales in the years leading up to the recession have meant that many households who purchased during this period simply aren’t ready to move again.”
But also skewing the numbers is the desperation of buyers, frantic to get into the Toronto market before prices shoot further out of sight.

One house, in North Toronto, reached a ludicrous new level in late April when 72 people — double the previous record for a bidding war for a house in the 416 region — registered offers on a Glencairn Ave. fixer-upper. (Source: Toronto Star)