List prices are not necessarily reflective of selling prices, fintech says
Canadian fintech Properly has reported that as many as 150,000 homeowners have used its new artificial intelligence-powered calculator Instant Estimate in less than a week since its launch.
“As the real estate market skyrockets and shatters records across Toronto and the suburbs (including Caledon), there is a demand for people to get the most accurate and immediate home valuations, and to take out the guesswork of the market, where list prices are not reflective of selling prices,” Properly said.
Read more: Properly’s new service to maximize sellers chances in bidding wars
Through Instant Estimate, Properly determined that the GTA areas that have seen the largest jumps in home value, comparing prices at around six months before the pandemic hit to current valuations. The biggest surges were observed in Oshawa (48%), Georgina (46%), and Brock (46%).
Read more: Properly – most Canadians concerned about health risks of open houses
Data from the Toronto Regional Real Estate Board showed that the average home selling price in the market grew by 14.9% annually to $1.045 in February. By asset class, the benchmark for new single-family homes surged by 25.1% year over year to reach $1.373 million, while the benchmark value of new condo apartments had an 8.4% gain to $1.042 million.
“It’s clear that the historic demand for housing experienced in the second half of last year has carried forward into the first quarter of this year with some similar themes, including the continued popularity of suburban low-rise properties,” said Lisa Patel, president of the TRREB. “It’s also evident that the supply of listings is not keeping up with demand, which could present an even larger problem once population growth picks up following widespread vaccinations later this year and into 2022.”
The market had 10,970 home sales in February alone, representing an annual increase of 52.5%.
