February 2015 Industry Stats
The Canadian Association of Accredited Mortgage Professionals (CAAMP) released their new set of statistics on February 3rd, 2015. The major statistics are summarized as follows:
Bank of Canada interest rate dropped to 0.75%
Prime lending rate dropped to 2.85%
The 5Y variable qualifying rate remains at 4.79%
The Government of Canada Bonds have declined significantly
The number of housing starts increased from 56,800 (December 2013) to 60,600 (December 2014), a 6.7% increase
The average MLS resale price in Toronto increased from $520,398 (December 2013) to $556,602 (December 2014), a 7.0% increase
What does this mean for industry professionals? Overall, the Toronto housing market remains strong, as growth is present. The decline in interest rates is likely to increase property demand and affordability.
What does this mean for homebuyers? Due to the Bank of Canada’s surprise reduction in interest rates, a decline in mortgage rates is likely to continue for the next few months.
This month’s report features more accurate data relating to housing prices by housing type. It shows that detached bungalows went up 11.6% in Toronto in 2014 as compared to 2013, and two storey homes went up 8.6%.
Stay tuned for next month’s update!
For a more in-depth and professional review of your individual and personalized situation please give Harpreet Singh The Mortgage King a call at (416) 795-1919.
The full document of statistics is as follows: