The idea of a real estate crash is daunting. During the pandemic, there was lots of talk regarding what could happen to the housing prices in Canada. Surprisingly, July shattered the all-time sales record with 62,355 transactions. This is triple the amount seen in April. “A big part of what we’re seeing right now is the snap back in activity that wold have otherwise happened earlier this year”. said Shaun Cathcart, CREA’s senior economist.
Not only are there more sales, but the prices have increased too. The average price of homes sold in July jumped by over 14 per cent. It is important to note this was heavily influenced by the Toronto and Vancouver areas.
The explanation for this spike could be contributed to the low interest rates or buyers wanting more space after being confined to their homes for the past few months.
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