Saying goodbye to 2020 with mixed emotions

As we approach the end of 2020, we look forward to a positive future, having learned a lot about life from the virus that made history over the past several months. The main thing we realized is that people are resourceful, resilient and creative. We saw that in full force in the new home and condominium industry. Having been declared an essential service early in the year, we pulled out all the stops to help people buy homes and condos while minimizing the possibility of spreading the virus.

Befriending technology

Technology was our best friend, as we invented new ways for buyers to view potential choices, negotiate, sign agreements and purchase electronically. Sales centres went from physical to online, and through services such as Zoom, we were able to make presentations to individuals and groups. Wherever potential purchasers were in the world, we were able to serve them well by matching them with the best home or condo for their needs and desires. In addition, as restrictions eased up, we incorporated mask-wearing and social distancing at in-person meetings.

Yes, early in the year, sales slowed for a while as the seriousness of the pandemic set in, but then, things picked up. The September GTA statistics from Altus Group showed that new condominium sales were up 15 per cent from last September, as well as 33 per cent above the 10-year average. In addition, the benchmark price for new condos was $1.01 million, up 20.9 per cent over the previous 12 months. And on top of that, we had the strongest third quarter in our history for new construction condos. The notion that housing demand exceeds supply in the GTA is a given. Condominiums remain the popular choice for everyone from first-time buyers who find them financially attainable, to immigrants who are used to apartment-style living. This is not likely to change in the foreseeable future.

Savvy savers

Regardless of the time of year and economic situation, people have to buy homes and condominiums because of being relocated or having other life circumstances change. The one thing that never changes is the wisdom of owning rather than renting. Equity-building is an important aspect of financial portfolios for savvy savers. Those who choose to purchase new also love the fact that they can select the features and finishes that transform their new digs into whatever “home” means to them.

I imagine 2021 will be different yet again, as we adapt to a “new normal” – as people are calling it. Mortgage interest rates remain incredibly low, which is a major motivating factor for buying homes. For Baker, condominium sales remain brisk, and we expect the new year to begin with robust interest, as it did in 2020. The fact that the public has enough faith in our economy to continue to buy homes and condominiums bodes well for the future. Happy Holidays from the team at Baker Real Estate Inc., and have a wonderful New Year!