The Toronto housing market is already seriously unaffordable and a major stressor to many locals. Unfortunately, relief might not be coming anytime soon – a study is forecasting that prices will continue to significantly rise for the next seven years. The Richards Group and RE/MAX released a "Toronto Real Estate Market Watch" report earlier this month and it predicts that the average cost of a detached house in Toronto will likely rise to $3.5 million dollars by 2026.
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The housing report was published on their website in mid February and contained real estate market predictions for Toronto for the rest of 2019 and several years to come. In addition to being posted online, the report was also sent out to some locals in a flyer. Redditor Tdotrobot told Narcity they received the flyer today on February 22 in the Beaches neighborhood. They shared a picture of the flyer on Reddit Toronto earlier today.
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Check out the Reddit post below from user Tdotrobot that showed the Toronto house price projections from The Richards Group and RE/MAX from now until 2026.
Via Tdotrobot | Reddit Toronto
The report from The Richards Group and RE/MAX shows forecasts that Toronto house prices will rise to $3.582 million by 2026. Based on the chart provided by them, that is a huge jump from Toronto's current housing prices.
In 2018, the average price of a detached house in Toronto was around $1.3 million dollars, according to CBC News. If the forecast provided by The Richards Group comes true, this could mean that detached house prices will more than double in just seven years.
For 2019, The Richards Group predicts that house prices in Toronto will rise by more than the national average, but not by a significant amount. "We predict 2019 should be a year of stabilization and modest gains," reads the report.
"RE/MAX Canada is forecasting a 2% price increase in the Toronto region, compared to the 1.7% Canada-wide. This relative calm is a relief after the turbulence of recent years. We believe a bit of balance will be positive overall."
According to the February report from The Richards Group, both Toronto buyers and sellers are being cautious in regards to real estate. "We are still seeing caution on both sides due to uncertainty and fear of the unknown from the macro-economic conditions and the political landscape of our neighbours – the United States," reads the report.
"The pressure of these external factors combined with ongoing demand and growth in Toronto should even things out in the coming year."
To read the full Toronto Real Estate Market Watch report for February 2019 from The Richards Group and RE/MAX, you can visit their website.