8 July 2014
Sotheby’s believes that with Canada’s current strong economic state, better consumer confidence and extremely low mortgage rates, all markets will show higher sales in the second half of 2014.
In addition to it, the international demand in top-tier housing is expected to stay strong even though Canada’s immigrant investor class program was removed.
In spite of concerns about a possible condo market bubble in Toronto and Vancouver, Sotheby’s doesn’t see any signs of this scenario, as sales were up by 53% and 37% respectively.
This time Toronto saw such a string demand that 36% of condos listed at $1-$2 million were sold above the asking price. The same situation happened to 41% of those listed between $2 million and $4 million. Moreover, all condos listed above $4 million also got more than initially asking.
During the first half of this year there were about 6,400 homes sold above $1 million in the four main cities, including 275 with the price over $4 million.
The most expensive house was sold in Vancouver for $15 million.