Our Market Predictions for Winter 2021

November 25, 2021 | Real Estate Strategy

The Toronto real estate market typically has two seasons, spring and fall. The spring market lasts from February through May, and the fall market generally in September and October. Of course, recent global events have thrown this cyclical market, along with everything else predictable, out the window. We can no longer take this two-season market approach for granted, so, at the beginning of every new season, we re-group as a team to try to predict the next few months ahead. Here are our market predictions for November/ December 2021:

1. It’s Going To Slow Down Dramatically

Expect December to be very slow for real estate. For the first time in two years, people can fully celebrate their December holidays. The summer was quiet because families and friends were gathering and reveling in doing activities together again. Holiday celebrations will slow down the market, just as the summer did. The crucial thing here is not to panic. Doubtless, the media will write an article about how the slow-down means the market is crashing. It’s not. People just want to have a typical Christmas and Hanukkah without worrying about real estate.

2. It’s A Good Time To Buy

If you are a buyer, now is your time. Although there won’t be tons of listings, there will also be far less competition, and you could end up scoring a good house for less than you’ll pay three months from now.

★ If you’re planning to buy a home in Toronto this winter read:

3. If You Don’t Have To Sell, Don’t

See item #1. Many of your buyers are going to be out of town or in town but deeply distracted. If you can hang tight until the spring, you’ll make far more money. Keep in mind, though, that if you need to buy a house after you sell, you’ll also be buying for more money in the spring than you would be right now.

4. A Slow Winter Will Mean A Busy Spring

Jumping ahead with this one, but the spring will be hectic. The spring will be more active by the prospect of interest rates rising by the end of 2022, so most buyers will try to make their home purchases early in the year.

★ If you’re planning on selling your Toronto home this winter read:

All market predictions should be taken with a grain of salt. As we’ve said before, the right time to buy and sell in Toronto is whenever you need to. If you need to list your house in December, do it. You’ll still sell it for a good amount of money. If you need to wait until the spring to buy a house, don’t stress about not buying in December.

Let us know if you have any questions about how the market seasons could affect your real estate decisions.

Stay safe!

Robyn VanderVennen
The Kim Kehoe Team