Toronto Real Estate Agent Mats Moy Discusses Possible Reasons For A Correction In The City's Real Estate Market

Mats Moy, a real estate agent based in Brampton, Ontario, is helping homebuyers who are looking to move into the city find the property of their dreams.

Brampton is considered a promising location for purchasing property due to its growing population, diverse community, and proximity to Toronto. The average price of Brampton Ontario real estate listings as of December 6, 2023, is $1,002,482, which is a 0.3% increase from the previous year. The median number of days a home is on the market is 28 days. The most popular property type was detached homes, accounting for over half of the sales.

“While property prices in Toronto and nearby areas have been steadily increasing for over a decade,” says Mats Moy, “there is still a viable path to homeownership for many Canadians. You just need the guidance of a real estate agent who has a vast portfolio of properties at various price points that you can choose from. As a broker for eXp Realty, I have over 12,500 house listings from all over the Greater Toronto area including Brampton, Burlington, Caledon, Georgetown, Milton, Mississauga, and Oakville. Give me a call today to get started with your home search or visit my website to browse through the property listings in my portfolio.”

For potential homebuyers still feeling pessimistic about the real estate market, Mats Moy has identified several reasons in a blog post for why real estate prices in the region might soon decline. First, slow sales activity is a likely reason for an incoming drop in real estate prices. As prices have increased, the market has seen a decline in homes being sold, particularly in the luxury segment. Next, an increase in interest rates is expected to deter potential buyers from entering the market. As interest rates rise, mortgage costs go up, leading homebuyers to hold off on their purchase, and putting pressure on homeowners who have put their properties up for sale.

“Another hopeful intervention for those looking for a property for sale in Brampton Ontario can rely on is the implementation of government policies,” says Mats Moy. “Measures such as foreign buyer taxes, rent controls, and stricter mortgage qualification rules can significantly impact the real estate market by cooling it down and improving affordability. Apart from the government’s own efforts to make homeownership more affordable for the nation’s citizens, economic uncertainties such as a recession or a sudden economic shock can also negatively affect the real estate market. The starkest example of this in recent memory is of how the COVID-19 pandemic caused temporary disruptions.”

Mats Moy also highlights several other possible causes for a drop in real estate prices. Firstly, after years of rapid price appreciation, as real estate markets are cyclical, it may be time for a correction as a natural adjustment to bring the market down to sustainable levels. High home prices and increasing mortgage rates could also worsen the affordability issues resulting in a decreased demand for homes and leading to lower prices.

Moreover, overbuilding in certain segments of the market could lead to an oversupply issue and a drop in prices. Next, since work trends have changed after the 2020 pandemic and workers prefer to stay at home, it makes it more feasible for them to live further from their workplaces. This could reduce the demand for housing in the downtown areas and lead to a price drop. Finally, a change in foreign investment patterns also stands to influence real estate prices.

Mats Moy sums up the future of the Toronto real estate market by saying, “There are many reasons to hope that soon prices in the city’s real estate market will stabilize signaling a good time to make the leap and buy property in the city. Whether you think the time is right or are just tired of waiting, contact me to find and lock in the ideal home for sale Brampton has to offer.”

Homebuyers in Brampton are urged to contact Mats Moy at (647) 519-6287 for inquiries.