LACKIE: May brought some heat back to housing market

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Welp, it wasn\u0027t mirage \u002D\u002D May really was a hopping month for real estate in Toronto.

Anecdotally, of course, we all heard stories of bidding wars, bully offers, moonshot prices on meh houses. In some cases we were seeing peak-of-the-market kind of behaviour. I experienced it myself with first-time buyers who were batted around as they attempted to land a home for their family in Markham.Article content

I am not exaggerating when I say that almost overnight crummy townhouses with terrible layouts and zero staging were suddenly fetching detached-with-a-double-garage kind of prices.How is it possible that in a matter of months things went from the closest thing to a buyer’s market we have seen in recent memory to complete and total lunacy?, “The demand for ownership housing has picked up markedly in recent months.

And now that those same rates are ticking back upwards again with the bond yields pricing in a rate hike at the summer meetings of the Bank of Canada, some of that fire will surely dissipate. I am preparing myself for the strong possibility of another slow summer. But make no mistake, we are still in the absolute throes of a housing crisis with governments at all levels giving very little indication that anything much will change. Handwringing and platitudes are about all we should expect.

Housing remains scarce and deeply unaffordable and short of complete and total economic calamity, there is no good reason to expect that will change any time soon.

 

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