Rising cost to buy a Toronto home is driving buyers to Oakville and BurlingtonLeave a Comment
The controversial municipal land transfer tax in the City of Toronto is adding thousands of dollars to the price of a home there. This extra tax is adding close to $6,900 to the purchase price of the average home. Factor in the more than $7,500 the province charges as its land transfer tax and you can see why people are looking outside Toronto where they will pay only the provincial tax.
Include the changes in the mortgage rules and we can see why house sales in Toronto have taken a nosedive – transactions were down in June 13 percent compared to June 2011.
According to the Greater Toronto Realtors, transactions in the GTA were down 5.4 percent last month compared with the same month last year. The decrease was attributed to the deep dive in transactions in the City of Toronto while the rest of the GTA was comparable to a year ago.
“Buyers continue to face the substantial upfront cost associated with the City of Toronto’s unfair land transfer tax,” said Toronto Real Estate Board President Ann Hannah. “Recent polling by TREB suggests that many households are considering home purchases outside of the City of Toronto to avoid paying the land transfer tax. This goes a long way in explaining the disproportionate decline in sales in the city versus surrounding regions.”
The result is more and more homebuyers are looking elsewhere and this is having an impact on home sales in the Oakville and Burlington areas. Buyers are weighing the downside of having to commute into Toronto against the fact they can get more home for their money outside the city.
We have a good transportation network so the reality is, owners can likely get into the Toronto core as quickly as it would take from Willowdale in north Toronto.
The first areas buyers from Toronto are looking at are Oakville and Burlington. The reason is simple – they are among the most desirable communities in Canada in which to own a home, and home valuations have maintained or surpassed the national average year over year.
When buying a home, choosing a realtor who knows the area, has the resources to find the home that best fits your needs and can negotiate the best deal on your behalf is critical.
The key to buying or selling your home is to choose an experienced realtor who will market your home effectively. Innovative advertising, knowledge about the marketplace, commitment and exemplary service differentiate The Dan Cooper Team. The result is that we are achieving accomplishments that illustrate the Dan Cooper difference. We have been the Number 1 team in Canada for Royal LePage for seven of the past 13 years, which is a testament to our ability to effectively sell homes in the Oakville and Burlington areas.
Our expertise, our position as one of the leaders in this area and our innovative approaches to selling homes has garnered us a growing fan base following us on www.facebook.com/dancooperteam. Join us now and discover what many already have – that we are on top of the latest developments in real estate in Oakville and Burlington.
The Dan Cooper Team is an award-winning brokerage with Royal LePage Real Estate Services Ltd., Brokerage – the Number 1 Royal LePage Team for Canada in 2009, 2007, 2005, 2002, 2001, 2000 and 1999. Call the office today for your free home evaluation or to learn more about the firm’s innovative marketing solutions. And join us on Facebook at www.facebook.com/dancooperteam for the latest real estate and community news.