How much real-estate pent-up demand there is in GTA?

New study shows significant increase in Greater Toronto Area real estate searches

TORONTO, Feb. 14, 2023 /CNW/ - Real estate experts in the Greater Toronto Area (GTA) are forecasting a challenging market for the foreseeable future due to higher mortgage interest rates. However, there is some disagreement among experts as to how much pent-up demand there is in the market. A recent report from Home.ca sheds some light on this issue.

Over the past four weeks, Home.ca has reported a 22% increase in searches compared to previous years. This suggests that in fact there are buyers waiting on the sidelines who are now starting to actively search for properties. Additionally, the website has seen a 37% increase in the amount of time people are spending looking at listings, indicating that some buyers are still shopping in 2023 says Rafal Starmach, Director of Real Estate Services at Home.ca.

While these statistics are promising, it is still unclear how much pent-up demand there actually is. Some experts believe that the increase in searches and time spent looking at listings may be due to buyers who were already planning to enter the market, but had delayed their search due to the pandemic. Others believe that there may be a significant amount of pent-up demand from buyers who were previously priced out of the market and are now able to enter due to the recent dip in home prices.

One factor that certainly impacted the amount of pent-up demand in the market is the recent rise in mortgage interest rates. Higher rates can make it more difficult for buyers to qualify for mortgages and may cause some buyers to delay their search. However, some experts believe that the recent increase in rates may be temporary and that rates could decrease in the future, which could help to boost demand in the market.

Another factor to consider is the impact of the ongoing COVID-19 pandemic on the real estate market. There is still uncertainty around the trajectory of the pandemic and how it may impact the market. For example, if there is another wave of cases and subsequent lockdowns, this could impact demand in the market.

Despite the challenges facing the real estate market in the GTA, there are some positive signs. As the market continues to evolve, it will be important for buyers and sellers to stay informed about the latest trends and developments in order to make informed decisions.

About Home.ca

Home.ca, the cutting-edge real estate marketplace, offers consumers free access to real estate data and analytics, while also connecting them with the best agents in their area. By leveraging innovative technology and delivering a seamless user experience, Home.ca is revolutionizing the way Canadians buy and sell homes.

SOURCE Home.ca

Rafal Starmach, [phone], https://home.ca