JLL expands strategic partnership with Manulife Investment Management to provide property management services across its Canadian real estate portfolio

JLL expands strategic partnership with Manulife Investment Management to provide property management services across its Canadian real estate portfolio

by Investment Property

CHICAGO, December 15, 2022 – JLL declared currently that it has expanded its strategic partnership with Manulife Financial investment Management to assume home administration and setting up functions obligation at 195 Canadian belongings managed by Manulife Financial commitment Administration. The portfolio comprises business office, industrial, multi-family and retail structures totaling almost 30 million sq. feet in Alberta, British Columbia, New Brunswick, Nova Scotia, Ontario and Quebec.

“JLL has extended been a assets administration partner to Manulife Financial investment Administration in the United States, and we’re thrilled to increase our partnership and partnership into Canada. We goal to generate operational performance making use of technology and most effective operating procedures, and to align all assets initiatives and money expenses with asset and portfolio methods by bringing a deep bench of operator and administration skills,” claimed Jay Koster, President, Americas Investor Services at JLL.

“Manulife Financial investment Administration has been strengthening its asset management platform to scale for expansion, and with this assets management partnership with JLL, we attain access to an remarkable depth and breadth of methods that will enable us produce for our shoppers,” explained Scott Gordon, Head of Real Estate Asset Administration, North America, Manulife Financial investment Administration.

In addition to acquiring operational efficiencies, JLL and Manulife Investment decision Administration will establish many virtual innovation labs at its belongings to speed up proptech initiatives and sustainability effects evaluation. Manulife Expense Management will also undertake PRISM by Building Engines as its common making operations and tenant encounter platform and will interact in strategic pilots with JLL Technologies and its partners for other technology options. The partnership will also concentration on implementing local weather-good initiatives with a commitment to steer the complete portfolio to attain net-zero carbon effectiveness by 2050. This will be done in partnership with JLL’s Global Centre of Excellence for Sustainability in True Estate positioned in Montreal.

“As a result of this partnership with JLL, our portfolio will benefit from expanded accessibility to procurement, technology, and sustainability means that will fuel the growth of our company,” said Marc Feliciano, World-wide Head of Real Estate, Personal Marketplaces, Manulife Expenditure Administration. “By getting deeper insights in these places, we greatly enhance our performance in staffing, operations, and cash expenses, and we expand our abilities to detect sustainable investment decision options. This lets for emphasis and acceleration in our main competencies and the capacity to generate advancement in our financial investment techniques and meet the requirements of our shoppers.”

“Our Property Management platform has noticed exponential advancement in Canada, because of to our people’s travel to elevate the regular of greatest-in-course products and services for our purchasers and the market,” explained Alan MacKenzie, CEO, JLL Canada. “Joining forces with Manulife Expense Administration is a testomony to our mutual willpower to provide unmatched worth to our customers and our individuals. As a result of this partnership, we will not only supply actual estate solutions, but methods and breakthroughs to a much more sustainable and brighter foreseeable future.”

JLL is a main provider of assets administration services through Canada. JLL’s 4,400 assets management experts in Canada and the U.S. offer in depth authentic estate products and services in far more than 4,000 properties totaling far more than 800 million sq. ft. JLL provides a collaborative culture, diverse skills and unmatched world wide infrastructure to help clients attain success for their genuine estate portfolio throughout the complete property administration spectrum.

Manulife Investment Management develops and manages business genuine estate about the globe as element of its complete non-public markets’ capabilities. As of June 30, 2022, it managed on behalf of consumers more than 63 million square toes of business office, industrial, retail, and multifamily house strategically located in marketplaces throughout Canada, the United Stated, and Asia Pacific. The group leverages its global platform and neighborhood abilities to present market place-foremost solutions and supply success for its investment decision clientele.

For far more information, movies and investigate methods on JLL, remember to go to our newsroom.

Canadian home prices fall 6{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} in April, down for 2nd month in a row

Canadian home prices fall 6{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} in April, down for 2nd month in a row

by Real Estate News

Canadian property charges fell six for each cent to $746,000 in April, as larger desire prices poured cold water on a red-sizzling real estate current market.

Household profits fell 12 for each cent nationally in April, with the largest drops witnessed in significant towns like Toronto, the Canadian True Estate Association claimed Monday.

Costs peaked at a history substantial of additional than $816,000 in February this year and average home rates have now declined for two months in a row. In March, the common selling price stood at $796,000, in advance of slipping a different six for each cent in April, which is commonly a solid thirty day period for the housing industry.

“Pursuing a report-breaking few of a long time, housing markets in a lot of areas of Canada have cooled off fairly sharply above the final two months, in line with a jump in curiosity charges and customer fatigue,” CREA chair Jill Oudil stated in a statement.

CREA suggests the ordinary promoting rate can be misleading since it is easily skewed by expensive and several product sales in massive metropolitan areas like Toronto and Vancouver. It highlights a various selection named the Home Rate Index (HPI) as a much better gauge of the current market simply because it adjusts for the quantity and variety of households bought.

The HPI shrank by .6 for each cent in April, the very first monthly drop in two years.

Although rates are down from their new peak, they remain up by about 7 for each cent from wherever they had been a year ago.

Even now, the figures paint a image of a housing market cooling from its feverish exercise just a several months ago. Even though the figures revealed Monday are countrywide in scope, the national ordinary is being dragged down by Toronto, where by regular advertising costs are down by about $80,000 since March.

Real estate agent Daniel Foch suggests it can be not nevertheless a buyer’s current market, but issues are showing indications of heading that way. For now, it really is what he phone calls a “magnificence pageant sector.”

“If a item actually stands out and it can be underpriced, it will catch the attention of a whole lot of the customers from that rate variety. But you might be not seeing it throughout each and every single [property],” he said in an job interview.

Although he isn’t going to hope a main correction simply because there are continue to a lot of properly-financed customers eager to get in, he has heard of situations of buyers attempting to back out of high priced deals they committed to previously this yr.

“The challenge is if you default on the transaction and the vendor wants that funds, you are continue to heading to be held liable for that distinction in any case. So in most conditions, sadly, you are ideal off to honour the deal simply because at the very least you finish up with the house,” he stated.

A problem for sellers — and some customers, way too

Decreased rates may perhaps be welcome news for customers striving to get into the market place, but they’re nervousness-inducing for individuals attempting to offer — particularly if they’ve already purchased someplace else.

Some who bought at the highs assuming their lenders would mortgage them a sure quantity are finding in the appraisals method that the bank is valuing that residence by less than expected, which forces the potential buyers to have to occur up with more than they have been anticipating up front.

Leah Zlatkin, a property finance loan broker with Lowestrates.ca, gives the instance of a buyer who makes an offer assuming their loan provider will finance 80 for each cent of the charge. But when the home will get appraised, it is valued at a amount a great deal decreased than the offer you selling price, which forces the buyer to scramble to occur up with a significantly larger down payment than they predicted.

“When household purchasers have truly stretched their price range and bid over inquiring price tag, we are commencing to see these appraisals come in a minimal bit lessen in some cases,” Zlatkin advised CBC News.

Keith Lancastle, CEO of the Appraisal Institute of Canada, claims it is really not unheard of in frothy marketplaces for buyers to get carried absent and give much additional than an appraiser values the house at — and the similar is correct of down markets.

“The offering selling price will not drive the mortgage, the appraised benefit drives the home loan, and that’s the value that the loan companies base their choice on,” he mentioned.

A slowing sector is also panic-inducing for those people who jumped in at the peak and have buyer’s remorse now. Which is something the latest prospective buyers Joshua Keyes and Yuri Nakashima are sadly familiar with, right after buying their initially home in Sudbury, Ont., before this year.

Joshua Keyes and Yuri Nakashima recently purchased a residence in Sudbury, Ont., without the need of a dwelling inspection and say they regret not performing sufficient thanks diligence on their house. (Gillian Wheatley/CBC)

Considering the fact that they were living in Vancouver, they worked with a Sudbury-centered realtor who the pair claims failed to stimulate more than enough because of diligence, producing them to supply far over asking rate for a residence that has since demonstrated to have a lot of problems with water and other damages, a cockroach infestation and other structural difficulties. 

They say they didn’t watch the home virtually or in person prior to submitting their unconditional supply, with no home inspection. They say they now encounter a six-determine invoice to repair service their currently uninhabitable desire house.

“We are hoping that our tale serves as a cautionary tale for other 1st-time residence purchasers,” Keyes advised CBC in an interview. “Make positive you do your thanks diligence or else persons will acquire advantage of your ignorance.”

“We want to make positive that this will not happen to other people today.”

Condominium Sales Dominate Canadian Luxury Real Estate

Condominium Sales Dominate Canadian Luxury Real Estate

by Luxury Real Estate

2022 First Quarter Highlights

  • Rising inflation and favourable interest rates continue to strengthen demand for Canadian real estate as a hedge investment.
  • Greater Toronto Area luxury residential sales over $4 million rose 30{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year, as City of Toronto $4 million-plus transactions climbed 29{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9}. Condominium sales gains dominated the $1 million-plus market, with annual gains of 120{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} and 72{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} in the GTA and City of Toronto respectively.
  • Vancouver luxury residential sales were capped by the city’s significant inventory deficit, as residential sales over $4 million contracted 14{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year overall. Annual percentage gains in $1 million-plus condominium sales surpassed other top-tier housing types at 29{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} with 559 units sold, just shy of the 599 $1 million-plus single family homes sold in the city.
  • Calgary posted annual gains of 82{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} in residential sales over $1 million as buoyant consumer optimism and improving economic performance drove new demand and a sellers’ market.
  • Montreal sales over $4 million were up 140{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year; approximately one in three $1 million-plus sales were in the luxury condo market.

TORONTO , April 13, 2022 (GLOBE NEWSWIRE) — Against a backdrop of global turbulence, Canada’s luxury real estate market stood as a bulwark of strength in the first quarter of 2022. While scarce inventory continued to undermine prospective sales, the continued upswell of consumer optimism, economic revitalization, demand for housing mobility, and renewal of urban life bolstered top-tier sales across all major metropolitan areas in the initial months of the year, particularly in the market for condominiums over $1 million.

According to Sotheby’s International Realty Canada’s Top-Tier Real Estate: Spring 2022 State of Luxury Report, residential sales in Canada’s largest luxury real estate market continued to climb in the first quarter of 2022, following record-breaking performance in 2021. The robust performance of the Greater Toronto Area (Durham, Halton, Peel, Toronto and York) luxury market in the initial months of the year foreshadows strength across every residential housing segment through the spring market. Residential real estate sales (condominiums, attached and single family homes) over $4 million from January 1– March 31, 2022, increased 30{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year with seven sales over $10 million, an adjustment from nine properties sold above this ultra-luxury price point in the first quarter of 2021. $4 million-plus condominium sales surged to lead the market with 160{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} annual gains, while single family home sales increased 24{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9}. Four attached homes sold over $4 million where none had sold during this time in 2021. Overall, $1 million-plus residential sales saw annual gains of 11{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} in the first quarter of the year, led by condominiums which surged 120{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} compared to attached home gains of 79{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} and a 10{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year decline in single family home sales over $1 million.

Top-tier condominium sales also dominated Vancouver’s $1 million-plus real estate market in the first quarter of 2021, as the city’s longstanding single family and attached home supply deficit channeled prospective buyers into high density housing. Between January 1– March 31, 2022, overall luxury residential sales over $4 million declined 14{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} from the same period in 2021, with three properties selling over $10 million on MLS in the first quarter of 2022 compared to six sold in the first quarter of the previous year. Residential sales over $1 million were down 10{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year in the first quarter. While Vancouver luxury condominium sales over $4 million were up 8{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year during this time, overall condominium sales above the $1 million mark increased a healthy 29{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9}. As a result, 559 $1 million-plus condominiums sold, just shy of the 599 $1 million-plus single family homes sold in the first quarter of 2022. Frustrated by the city’s supply deficit, luxury single family home sales over $4 million, saw a 13{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year decline, with three homes sold over $10 million on Multiple Listing Service (MLS) compared to six homes sold in the first quarter of 2021. Despite strong consumer demand, inadequate supply also depressed $1 million-plus attached home sales, which fell 16{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} from the first quarter of 2021.

Montreal’s top-tier real estate market moderated to more balanced conditions in the preliminary months of the year, as sales activity normalized from record-breaking gains in 2021. The city’s $4 million-plus residential real estate sales were up 140{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} in the first quarter of 2022 from the same period in 2021, while sales over $1 million balanced with a 6{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} annual increase. Notably, approximately one in three $1 million-plus residential sales were in the luxury condo segment. Condominium sales over $1 million also saw the greatest year-over-year percentage gains of the residential housing types at 73{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9}, as $1 million-plus single family and attached home sales declined 11{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} and 8{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year respectively.

Sellers’ market conditions continued to strengthen in Calgary in the first quarter of 2022, as local consumer optimism continued to rise along with the province’s steady economic recovery. Residential real estate sales over $1 million soared 82{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year from the same period in 2021, while sales over $4 million increased to two sales where there had been no sales above this price in the same period last year. The city’s $1 million-plus single family and attached home sales rose a monumental 71{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} and 258{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year respectively, while condominium sales over $1 million increased to seven properties sold between January 1–March 31, compared to two units sold in the same period in 2021.

“Across Canada’s major metropolitan areas, we have seen extraordinary sales activity and consumer demand in the luxury condominium market this year, leaving no doubt that consumer and investor confidence in the downtown and urban market has been fully restored,” says Don Kottick, President and CEO of Sotheby’s International Realty Canada. “While there are lifestyle, family stage, financial planning and generational drivers behind the super-charged luxury condominium market, its strength also reflects the stark imbalance between strong demand and inventory challenges we are seeing across the real estate market overall. In Toronto and Vancouver in particular, heated market conditions and evaporating single family and attached home supply have left many potential buyers with condominiums as their best, and in some cases, only option. This will only fuel additional demand in the months ahead.”

According to Kottick, while major adverse events may instill anxiety in the top-tier market, Canadian real estate is regarded locally and globally as a safe haven in challenging times. As a result, Canada’s luxury market is poised for robust performance through spring, with the most realistic headwinds being the inadequate supply of housing, and the potential for demand-side government policy interventions to have unintended negative financial consequences for Canadian homeowners.

Top-Tier Market Highlights: Q1 2022

Vancouver
The City of Vancouver continued to navigate the challenges of soaring housing prices, population gains, insatiable local demand for housing and housing mobility, and the cascading repercussions of its longstanding deficit of conventional and luxury real estate supply in the first quarter of 2022.

A resilient economy enabled Vancouver to maintain the lowest unemployment rate amongst Canada’s four largest cities for most of 2021, and the metropolitan area’s unemployment rate fell to 5.4{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} in February 2022, below the national average. According to the Vancouver Economic Commission, regional economic productivity has now rebounded, and Metro Vancouver employment has recovered in absolute terms. Confidence in the local economy and housing market has only magnified pent-up consumer demand for conventional and luxury real estate this spring. As a result, while the Real Estate Board of Greater Vancouver (REBGV) reported that residential sales contracted 8.1{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year to 3,424 transactions in February 2022, the MLS® Home Price Index composite benchmark price for all residential properties in Metro Vancouver surged 20.7{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} from February 2021 to $1,313,400.

Within the City of Vancouver’s embattled luxury residential real estate market, sales over $4 million (condominiums, attached and single family homes) fell 14{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year to 99 properties sold between January 1–March 31, 2022. Three properties sold over $10 million on Multiple Listing Services (MLS) during this period compared to six properties sold in this ultra-luxury price range in the first quarter of 2021. Overall, residential real estate sales over $1 million contracted 10{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} to 1,470 properties sold. While heated bidding wars remain endemic for all residential housing types under $3 million, prospective luxury buyers are now well armed with market data and intelligence; they are increasingly wary of property prices significantly inflated above current norms and weary of multiple offer scenarios. As a result, despite strong consumer demand and limited inventory, luxury properties that have been over-ambitiously priced compared to neighbourhood comparables are less likely to draw multiple bids and are at increasing risk of languishing on the market.

Vancouver’s condominium market dominated the top-tier real estate market in the first quarter of 2022, as the number of units sold over $1 million came just shy of the number of single family homes sold above this price point. Luxury condominium sales over $4 million increased 8{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} to 14 units sold between January 1–March 31, however, there were no ultra-luxury condominium sales over $10 million recorded on MLS during this period in 2022, as was the case in 2021. Sotheby’s International Realty Canada experts continue to note that as luxury condominium prices rise to new records, there is an increasing disconnect between the expectations of ultra-high-net-worth (UHNW) buyers who are prepared to pay such prices, and the relatively limited supply of ultra-luxury condominiums that offer the lavish, bespoke and prestigious features, amenities and services commonly found in other major North American and international luxury condominium markets. Therefore, the city’s ultra-luxury supply deficiency is discouraging activity despite pent-up local and global demand.

Overall, $1 million-plus condominium sales increased a healthy 29{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year to 559 units sold in the first quarter of 2022, representing 38{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} of total residential real estate sales over $1 million in the city during this period. Consumer demand for Vancouver top-tier condominiums remains relentless, and robust sales activity as well as price gains are anticipated through the spring market.

As lack of prospective single family home buyers continued to retreat to higher density housing options due to lack of supply choice, demand for luxury attached homes in Vancouver continues its multi-year surge despite an insurmountable shortage of supply. In the first quarter of 2022, there were no attached homes sold over $4 million, down from four homes sold in the first quarter of 2021 levels. Overall, $1 million-plus attached home sales were down a modest 16{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year to 315 properties sold between January 1–March 31.

On the heels of a year that saw City of Vancouver luxury single family home sales over $4 million soar 172{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year in 2021, $4 million-plus home sales moderated in the first quarter of 2022, declining 13{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year as the city’s scant listings inventory left consumer demand unfulfilled. During this time, three ultra-luxury single family homes sold over $10 million, down from six sold in the first quarter of 2021. Overall, 599 single family homes sold over $1 million between January 1–March 31, down 28{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year.

Calgary
A booming energy sector, rapidly diversifying economy, employment gains and favourable interest rates continued to stoke real estate consumer confidence and activity in the City of Calgary’s conventional and luxury real estate market in the preliminary months of 2022, foreshadowing an active spring market ahead.

According to the Conference Board of Canada, Alberta is projected to lead the country in economic growth in 2022 and 2023 due to the strong recovery in prices for energy products and key commodities. By February 2022, the unemployment rate in Calgary had declined to 8.0{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9}. Buoyed by economic optimism, real estate consumers steadily absorbed an influx of listings inventory through early 2022, resulting in record-breaking sales volume in February 2022, with 3,305 property sales reported by the Calgary Real Estate Board.

Strength in Calgary’s conventional market was mirrored in the city’s well-supplied luxury segment. Residential real estate sales over $1 million (condominiums, attached, and single family homes), surged 82{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year, with a total of 427 homes sold from January 1– March 31, 2022. Calgary’s luxury $4 million-plus market observed growth in the first quarter of the year with two sales thus far in 2022, up from zero sales in the first quarter of 2021. There were no ultra-luxury home sales reported in the $10 million-plus segment on MLS, consistent with 2021. While days on market diminished for top-tier properties overall, and well-priced premier luxury homes in sought-out neighbourhoods saw bidding wars, Sotheby’s International Realty Canada market experts caution that given the city’s sufficient supply of listings over $1 million, luxury property pricing strategies should reflect hyperlocal and current market conditions to attract qualified buyers and to avoid listing stagnation.

In a city where demand for single family homes continues to dominate the luxury housing market, top-tier single family home sales were brisk in the first quarter of 2022, with 377 total homes sold in the $1 million-plus segment, an increase of 71{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year. Two single family homes in the luxury $4 million-plus market sold thus far in 2022, while none had been reported in this price segment in the first quarter of 2021. Consistent with 2021 numbers, there were no homes sold in the $10 million-plus segment in the first quarter of 2022.

The city’s $1 million-plus luxury attached home market saw substantial sales gains in the first quarter of 2022. 43 sales in the $1 million-plus segment were reported in the first three months of the year, an increase of 258{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year. No sales were reported in the ultra-luxury $4 million-plus and $10 million-plus segments, as was the case in the same period of 2021.

The still tenuous recovery of Calgary’s downtown core has slowed the recovery of the luxury condominium market relative to other property types thus far in 2022. Despite consistent gains, condominium sales over $1 million did not gain the same momentum as the city’s top-tier single family and attached home segments. However, in the first quarter of 2022, seven properties sold over $1 million, compared to two properties sold in the same period of 2021. There were no sales yet reported over $4 million, on par with 2021. According to CBRE’s recently released 2022 Canada Real Estate Market Outlook, the city’s downtown office vacancy rate, which fell to a record low of 33.2{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} in 2021, is projected to stabilize this year. Although consumer demand for luxury condominiums is currently uneven, Sotheby’s International Realty Canada experts anticipate that this will strengthen through 2022 as continued economic recovery draws new residents and investment into the city.

Calgary has recast itself as a destination for young talent and new business investment. As one of Canada’s most affordable metropolitan luxury real estate markets, the city is retaining and attracting a newly empowered, work-from-anywhere professional class from across Canada. According to Sotheby’s International Realty Canada experts, the city has seen a marked increase in out-of-province top-tier real estate inquiries throughout the first quarter of 2022 from across Canada and notably Ontario, as well as the United States. There has also been an uptick in enquiries from mainland China. Increasingly regarded as a destination for affordable conventional and luxury housing, as well as real estate investment, the city is well-positioned for sustained growth and development throughout the spring and beyond.

Greater Toronto Area
Following a year that saw luxury residential sales over $4 million soar 224{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year in the Greater Toronto Area (Durham, Halton, Peel, Toronto and York) to record highs in 2021, the chasm between prospective buyers’ insatiable demand and scant supply widened further in the initial months of 2022, extinguishing potential activity while igniting bidding wars and price escalation. As real estate consumer confidence and demand rose to surpass levels seen in 2021 according to Sotheby’s International Realty Canada experts, $4 million-plus residential real estate sales (condominiums, attached and single family homes) increased a robust 30{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year to 239 properties sold between January 1– March 31, 2022. Ultra-luxury sales over $10 million recorded on Multiple Listings Service (MLS) fell to seven properties sold compared to nine sold during this period in 2021. Overall, GTA top-tier real estate sales over $1 million were up 11{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year to 15,209 properties sold in the first quarter 2022. Within the City of Toronto, luxury transactions over $4 million increased 29{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year to 129 properties sold between January 1– March 31, with one unit selling above $10 million on MLS compared to six units sold above this ultra-luxury price point in the same period of 2021. Residential sales over $1 million in the City of Toronto were up a modest 10{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year to 4,388 properties sold in the first quarter of 2022. According to Sotheby’s International Realty Canada, sales activity continues to stem predominantly from locals, including those seeking housing upgrades to meet family stage and lifestyle needs, along with local investors seeking real estate assets to hedge against inflation and take advantage of strong residential rental demand and low interest rates.

Toronto’s luxury condominium market gained additional momentum in the preliminary months of 2022, as fading pandemic restrictions revitalized the desire for urban living, and as prospective buyers across demographics and generations sought the convenience, safety, and increasing opulent lifestyle offered by condo living in the city. The region continues to raise the bar for ultra-luxury condominium design, architectural excellence, smart home technology, amenities and services for Canada, as renovations and new construction adapt to increasingly elevated tastes of cosmopolitan, ultra-high-net-worth and largely local buyers.

Between January 1– March 31, the luxury condominium segment led annual percentage sales gains within the GTA top-tier residential market as sales over $4 million saw a 160{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} annual increase to 13 units sold. There were no properties sold over $10 million during this time, on par with the same period in 2021. $1 million-plus condo sales increased 120{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year to 1,555 units sold in the first quarter of 2022. City of Toronto condominium sales over $4 million between January 1– March 31, soared 225{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year to 13 properties sold. There were no sales yet recorded over $10 million, as was the case in the same period last year. Overall, first-quarter $1 million-plus condominium sales rose 72{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year in the City of Toronto to 994 units sold.

The GTA’s top-tier attached home activity reflected healthy demand, as sales over $1 million rose 79{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} to 3,761 homes sold in the first quarter of 2022. During this time, sales of $4 million-plus attached homes increased to four properties sold, all in the City of Toronto, while none had sold in the first quarter of 2021. Overall, in the City of Toronto, attached home sales over $1 million experienced a 17{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} annual increase in sales volume to 1,018 homes sold in the first three months of the year.

Intense demand for top-tier single family housing in the initial months of 2022 overwhelmed available supply, as bidding wars and price gains continued to spiral upward in the GTA. In the first quarter of 2022, sales over $4 million rose 24{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} from 2021 levels to 222 homes sold. Of these, seven ultra-luxury single family homes sold over $10 million, compared to nine sold in the first quarter of 2021. Overall, $1 million-plus single family home sales fell 10{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year to 9,893 homes sold in the GTA between January 1–March 31. Within the City of Toronto, luxury single family home sales over $4 million were up 17{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year to 112 homes sold. Of these, one home sold over $10 million compared to six sold in the first quarter of 2021. Sales over $1 million in the City of Toronto were down a nominal 6{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} overall to 2,376 homes sold during this time.

According to Sotheby’s International Realty Canada experts, local luxury and conventional real estate market demand, which has set new records since the start of the pandemic, will only see additional activity as the provincial economy recovers from some of Canada’s toughest COVID-19 public health measures. Bolstered by low interest rates and confidence in local real estate as a secure asset class in an inflationary environment, conventional and luxury real estate demand is poised to see additional demand this spring. As a result, price gains atop the 27.7{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year surge that saw the average selling price for all home types combined to $1,334,544 in February 2022, is imminent in the months ahead.

Montreal
The City of Montreal’s top-tier real estate market saw a return to more balanced conditions in the first quarter of 2022, as sales activity normalized across all housing types from 2021’s fevered pace. Despite calmer market activity, diminishing inventory and enduring demand for luxury real estate in sought-after neighbourhoods led to bidding wars and continued gains in housing prices, primarily in the single family home segment.

The province’s reviving economy, as well as easing COVID-19 public health restrictions, underpinned continued gains in real estate consumer confidence. According to Statistics Canada, ​employment in Quebec increased by 82,000 or 1.9{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} in February 2022 from the previous month, while employment increased by 37,000 or 1.6{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} in the Montreal metropolitan area. During this time, Montreal’s unemployment rate declined to 5.2{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9}.

Overall, sales in Montreal’s $1 million-plus residential real estate market (condominiums, attached and single family homes) experienced a modest 6{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year increase in comparison to the first quarter of 2021, with 431 total units sold between January 1–March 31, 2022. However, this decrease, according to leading Sotheby’s International Realty Canada market experts, can be attributed to low inventory levels, rather than lack of demand. As noted by the Quebec Professional Association of Real Estate Brokers (QPAREB), there were 11{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} fewer active residential listings for sale in the Montreal metropolitan area in February 2022 than in February 2021, with 9,864 properties for sale compared to 11,145 in the previous year. Montreal’s $4 million-plus luxury real estate market saw significant gains in the preliminary months of the year, as ongoing pandemic and changing lifestyle priorities continued to spur fresh demand for additional space and amenities such as home gyms and offices. In the first quarter of the year, Montreal saw 12 properties sold in this price bracket, an increase of 140{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} when compared to the same period last year. There were no transactions in Montreal’s ultra-luxury $10 million-plus market in the first quarter of the year as of yet, in comparison to one home sold in this price bracket in the first quarter of 2021.

As reported by Statistics Canada, downtown Montreal experienced the highest population growth rate in the metropolitan region from 2016 to 2021, at 24.2{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9}, and the second greatest increase for a downtown metropolitan core in the country. This, coupled with job growth, economic recovery, and loosening of COVID-19 restrictions, led to a return to city living that resulted in $1 million-plus condominium sales surging 165{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year in 2021, to a new record that saw condominium sales comprising 24{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} of all luxury real estate transactions over $1 million in Montreal last year. This growth trajectory continued into the first quarter of 2022 as $1 million-plus condominium sales continued to experience the greatest percentage sales gains of the city’s residential housing types, with an increase of 73{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year to 137 total units sold between January 1– March 31. Montreal’s ultra-luxury $4 million-plus condominium market posted strong gains in the first quarter of 2022 with five units sold, up from one unit sold in the first quarter of 2021, foreshadowing continued strength through the spring.

Limited supply contained activity in Montreal’s luxury attached home market in the first quarter of the year, with 131 total home sales reported in the $1 million-plus segment down 8{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} compared to the same time period in 2021. Of these attached home sales, one transaction was reported in the luxury $4 million-plus segment, while none had sold over $4 million in the first quarter of 2021. Consistent with the same time last year, there were no attached homes sold in the $10 million-plus segment from January 1– March 31, 2022.

Single family home sales made up 38{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} of $1 million-plus real estate transactions in Montreal in the first quarter of the year, with 163 total properties sold, a decrease of 11{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year. $4 million-plus sales increased by 50{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year with six homes sold compared to four in 2021, and the ultra-luxury $10 million-plus single family home market reported no sales in the first quarter of the year, as was the case in 2021. Strong demand for single family homes led to steep price increases across the conventional and luxury market in February 2022. According to QPAREB, the median price of a single family home increased by 26{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year to $550,000. A housing segment also marred by low inventory, active listings were down in the single family home market, with 3,847 listings reported in February of this year, a decrease of 6{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year.

Despite top-tier real estate transactions stabilizing in the first quarter of the year, predictions for Montreal’s top-tier real estate market are optimistic with solid gains expected. With stock market uncertainty and global unrest leading to increased anxiety, many are turning to Montreal’s top-tier real estate market to diversify their wealth, with real estate perceived as a safe and sound investment. As the provincial economy recovers from pandemic health measures that were amongst the strictest in Canada, and as easing travel restrictions increase interest from U.S. and European buyers, the Montreal luxury market is set for a bright and optimistic spring.

About Sotheby’s International Realty Canada
Combining the world’s most prestigious real estate brand with local market knowledge and specialized marketing expertise, Sotheby’s International Realty Canada is the leading real estate sales and marketing company for the country’s most exceptional properties. With offices in over 30 residential and resort markets nationwide, our professional associates provide the highest caliber of real estate service, unrivalled local and international marketing solutions and a global affiliate sales network of approximately 1,000 offices in 74+ countries and territories to manage the real estate portfolios of discerning clients from around the world. For further information, visit www.sothebysrealty.ca.

Disclaimer
The information contained in this report references market data from MLS boards across Canada. Sotheby’s International Realty Canada cautions that MLS market data can be useful in establishing trends over time but does not indicate actual prices in widely divergent neighborhoods or account for price differentials within local markets. This report is published for general information only and not to be relied upon in any way. Although high standards have been used in the preparation of the information and analysis presented in this report, no responsibility or liability whatsoever can be accepted by Sotheby’s International Realty Canada or Sotheby’s International Realty Affiliates for any loss or damage resulting from any use of, reliance on, or reference to the contents of this document.

Contact Information
For more information on Sotheby’s International Realty Canada and the Top-Tier Real Estate Report contact:

Talk Shop Media
Nicole Jerick
778-877-8801
nicole@talkshopmedia.com

MyHomeUpgrade.ca Launches a Free Tool Designed to Help Canadian Consumers Plan Their Home Improvement Projects

MyHomeUpgrade.ca Launches a Free Tool Designed to Help Canadian Consumers Plan Their Home Improvement Projects

by Home Improvement

TORONTO–(Organization WIRE)–We are fired up to announce the start of a model-new web-site, MyHomeUpgrade.ca—a totally free useful resource to Canadian owners for inspirational articles and house renovation suggestions and tricks to assist customers get the house advancement venture of their desires. It also provides a free renovation calculator, connects customers with recommended local contractors, distinctive offers, versatile funding selections, and just one-on-one aid from residence enhance authorities.

The dwelling renovation calculator is created to function across distinctive varieties of residence renovation assignments. Buyers will stroll via a sequence of thoughts concerning their household renovation. As they give information, the calculator will update the believed price of the venture. At any position, shoppers can call to talk to a reside specialist who will assistance them total the calculator and supply recommendations for community contractors and exceptional offers.

“Home renovation projects can be complicated, and it is difficult to know in which to start off. MyHomeUpgrade.ca is a cost-free device created to clear away the uncertainty and exchange it with a complete undertaking prepare that is made up of pretty distinct subsequent ways to get buyers the property enhance of their dreams even though remaining inside of budget,” mentioned Jacob Watson, VP of Marketing for MyHomeUpgrade.ca. “Canadians should not sense like they are on their personal in this system. That’s why we’re also furnishing shoppers with entry to a devoted crew of residence enhance experts who they can connect with and communicate with at any time throughout the process, free of charge of cost.”

The household upgrade gurus will also supply people ground breaking funding options to help them extend their spending budget more. Funding possibilities are helpful resources that aid shoppers take care of unforeseen expenditures and lower the sacrifices they have to make since of price range constraints. Funding answers can strengthen the affordability of a undertaking by breaking up the full price tag into every month installments.

“Providing funding alternatives to individuals in the organizing stage of a home advancement undertaking is a gamechanger,” ongoing Watson. “Consumers will need to know the financing choices they have out there to them upfront to make informed monetary decisions all over their house renovation job.”

Canadians looking to commence a renovation venture must pay a visit to MyHomeUpgrade.ca for inspiration, professional advice, and a phase-by-phase plan to convert their dream household enhancement job into a actuality.

To discover a lot more, please go to MyHomeUpgrade.ca or make contact with 1.833.554.1229 to speak to a household up grade professional.

At least 20{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} of Canadian MPs hold rental, investment real estate amid housing crunch – National

At least 20{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} of Canadian MPs hold rental, investment real estate amid housing crunch – National

by Investment Property

At least 65 Canadian members of Parliament hold rental or investment real estate assets, according to their filings with the federal conflict of interest commissioner.

However, that number may actually be much higher because 91 MPs either have not yet completed their disclosure process or the conflict of interest commissioner’s office hasn’t yet published their filings.

All of that is legal and all of the MPs disclosing the assets have fulfilled their duties under Canadian conflict of interest laws to report their assets to the federal conflict of interest commissioner.

Yet their disclosures come at a time of growing scrutiny and frustration about the role of real estate investors in fuelling the country’s housing unaffordability crunch.

Read more:

Roughly one-third of Liberal cabinet ministers own rental, investment real estate: records

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Among the 91 MPs whose disclosures are not yet public are Liberal MP Taleeb Noormohamed, who faced criticism in the last election for flipping dozens of properties, and Conservative leadership candidate Pierre Poilievre.


Click to play video: 'Politicians doubling as landlords while governments are pushed for affordable housing solutions'







Politicians doubling as landlords while governments are pushed for affordable housing solutions

Politicians doubling as landlords while governments are pushed for affordable housing solutions

According to the available filings, at least 42 Liberal MPs own rental or investment real estate assets, such as rental or investment properties, real estate holding companies, vacant land, recreational properties, or income from or significant interests in real estate brokerages.

Of those 42, 30 are not in cabinet, while 12 are the members of cabinet whose holdings were previously reported on by Global News last week.

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Click to play video: 'Canadian home prices could rise 15{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} in 2022: Royal LePage'







Canadian home prices could rise 15{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} in 2022: Royal LePage

Canadian home prices could rise 15{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} in 2022: Royal LePage

In total, according to publicly available data listed on the registry, those 30 Liberal MPs own a total of 38 properties listed as being for rental or investment purposes. They also disclosed a range of other real estate assets including ownership of real estate holding companies, income from real estate brokerages, or either “controlling” or “significant” interests in brokerages.

Those 42 Liberals who disclosed rental or investment real estate represent 26 per cent of the caucus.

Read more:

Canadian home prices rose 11{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} annually in March while sales fell: CREA

In comparison, at least 16 per cent of the Conservative caucus — 19 MPs — disclosed owning rental or investment real estate, including vacant land, farmland that is being leased out, residential rental properties or commercial rental properties as well as real estate holding companies.

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The biggest property owner by far is Conservative MP Marty Morantz, with a total of 21 properties.

Morantz disclosed joint ownership of five residential rental properties in Winnipeg, Man., as well as of 12 multi-unit residential rental properties in the same city.

He also disclosed joint ownership of two multi-unit residential rental properties in Edmonton, Alta., and two commercial rental properties also in Winnipeg.

Conservative MP Mike Lake disclosed joint ownership of two rental properties in southwestern Ontario, as well as sole ownership of a rental property in Ottawa and a rental duplex in Edmonton.

Alistair MacGregor was the only NDP MP to disclose joint ownership of a rental property on Vancouver Island, while Matthew Green disclosed sole ownership of a real estate holding company.

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Rhéal Fortin from the Bloc Quebecois disclosed sole ownership of a rental property in Saint-Sauveur, Que., while no independent or Green MPs disclosed any rental or investment real estate assets to date.

The numbers do not include MPs who hold multiple mortgages if they did not list those as being for rental or investment purposes. They also do not include MPs such as the NDP’s Alexandre Boulerice who disclosed that his spouse, but not him, owns a rental property in Montreal.


Click to play video: 'Flipping homes for big profits is pricing some buyers out of the market'







Flipping homes for big profits is pricing some buyers out of the market

Flipping homes for big profits is pricing some buyers out of the market – Mar 31, 2022

“In our current cultural context, there is no problem with someone buying another home and treating it as a rental property. That has been a common part of Canadian culture these days,” said Paul Kershaw, founder of Generation Squeeze.

He noted, though, that when politicians talk about financialization — the trend of viewing real estate as an investment vehicle rather than a place to live — they are leaving out part of the conversation by focusing on corporate players like companies, pension trusts and real estate investment trusts.

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“It also happens more at the regular, everyday person level.”

According to a Bank of Canada analysis earlier this year, home purchases by investors have outpaced those of first-time homebuyers or even repeat homebuyers during the COVID-19 pandemic.

Investors account for one-fifth of home purchases in Canada, that analysis found, while the share of purchases by first-time homebuyers hit a new low last year.

Will anti-flipping tax, foreign buyers ban help?

Canadian governments of all levels are facing mounting pressure to act as the country grapples with a major housing crunch spawning red-hot home prices, soaring rents, and dimming hopes for a generation hit hard by the 2008 financial crash, the COVID-19 pandemic, and now the current frenzy.

Wages — and savings — too often simply cannot keep up.

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Coupled with soaring costs of living, the issue of housing unaffordability and its spillover effects on Millennials and younger Canadians has smashed into the political realities of NIMBY-ism and the financialization of Canadian real estate.

Financialization is a term increasingly being used in reference to investors buying up real estate — typically residential real estate that could otherwise serve as starter homes or affordable rental units — and then treating those as financial assets to generate profit, either through resale or raising rents.

Read more:

Sky-high home prices in Canada are ‘intergenerational injustice,’ Freeland says

Deputy Prime Minister and Finance Minister Chrystia Freeland pointed to the sky-high home prices fuelled by the financialization of housing as an “intergenerational injustice” earlier this month.

Prime Minister Justin Trudeau also pointed the finger at the trend.

“We will be cracking down on the financialization of the housing market,” Trudeau said on April 8 during a press conference about the promises in the budget. “Houses aren’t supposed to be assets for wealthy investors, they’re supposed to be homes where families can raise their kids.”

He also added: “When foreign investors and corporations use housing as an asset, it drives prices higher and higher and makes homes out of reach for the middle class.”

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Read more:

Home prices could rise 15{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} in 2022 despite efforts to cool market: Royal LePage

But when asked on Tuesday what he would say to the 30 per cent of his cabinet ministers — and dozens of caucus members — who are also using real estate as an investment, he appeared to defend them.

“I think there are a lot of people across the country who have rental properties as part of their retirement plans, as part of their lives. Lots of Canadians need to rent,” he said.

“What we’re cracking down on is the fact there are foreign investors and big corporations that buy homes in Canada and then just let them sit, and bid up the prices so that they get more and more expensive, and use them as an asset class for revenue for people who have a lot of money.”


Click to play video: 'Budget 2022: Will feds be able to deliver on housing affordability?'







Budget 2022: Will feds be able to deliver on housing affordability?

Budget 2022: Will feds be able to deliver on housing affordability? – Apr 8, 2022

The federal Liberals promised actions in the budget such as an anti-flipping tax for residential properties resold within 12 months, along with a two-year ban on foreign buyers and a homebuyer’s bill of rights.

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Those had formed a central plank in the party’s 2021 campaign platform, amid a race that saw one of their own candidates under scrutiny for flipping properties.

CityNews reported in August 2021 that Taleeb Noormohamed, who won the Vancouver-Granville riding, had “bought and sold at least 21 homes within a year of buying them since 2005.”

The NDP later released a statement suggested Noormohamed had made $5 million since 2005 on the sale of 41 properties in the province, citing BC Assessment property sale records.

Global News asked Noormohamed on Tuesday whether he has sold any properties that he has owned for 12 months or less, or purchased any properties that he does not intend to live in, since being elected.

A spokesperson for Noormohamed said he has done neither and that he will approve the publication of his submitted disclosures to the conflict of interest commissioner once the process is done.

© 2022 Global News, a division of Corus Entertainment Inc.

Condominium Sales Dominate Canadian Luxury Real Estate

Canadian Luxury Real Estate Market Caps Historic Year with

by Luxury Real Estate

2021 Highlights

  • Significant deficit of conventional and luxury housing severely constrained sales and the housing mobility of Canadians.
  • The Greater Toronto Area’s luxury performance transcended the Canadian market as $4 million-plus residential sales soared 224{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year and $10 million-plus sales increased 238{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9}. City of Toronto sales over $4 million and $10 million surged 188{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} and 173{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} respectively.
  • Vancouver posted annual gains of 171{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} in sales over $4 million, saw the highest annual percentage gains in single family home sales over $10 million of Canada’s largest cities at 240{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9}, and broke historic regional records for the highest single family residential sale on a single lot.
  • Multiple records were shattered by Montreal as sales over $4 million surged 171{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year; approximately one in four $1 million-plus sales in the luxury condo market, a new high.
  • Economic recovery revitalized Calgary as tightening market conditions drove 222{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} annual gains in residential sales over $1 million.

TORONTO, Jan. 12, 2022 (GLOBE NEWSWIRE) — The country’s major metropolitan luxury real estate markets broke consecutive records throughout 2021 as Canadians’ urgent, pandemic-influenced demand for housing mobility and strengthening confidence in the country’s economic recovery drove price gains, eroded inventory and propelled markets to historic highs.

According to new data released by Sotheby’s International Realty Canada, the performance of the Greater Toronto Area (Durham, Halton, Peel, Toronto and York) transcended that of other Canadian markets in 2021, as the region’s breakaway performance established a new and unrivalled benchmark for luxury real estate for the nation. Residential real estate sales over $4 million (condominiums, attached and single family homes) soared 224{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year while ultra-luxury sales over $10 million saw annual gains of 238{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} from 2020 levels. Consumer demand gained traction across all luxury housing types through 2021, and $4 million-plus condominium, attached and single family home sales rose 179{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9}, 267{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} and 227{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year, respectively. Overall, residential sales above $1 million saw annual sales gains of 194{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9}, despite significant constrictions on activity due to enduring supply shortfalls.

As in the case of other major Canadian metropolitan areas, Vancouver’s monumental deficit of conventional and luxury housing supply frustrated sales activity and the mobility of prospective homebuyers and sellers in 2021, leaving demand unsatiated despite urgent and evolving housing needs. Despite supply constraints, residential sales over $4 million and $10 million closed the year at record-breaking volumes that surpassed 2020 levels by a significant 171{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} and 218{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} respectively. Luxury condominium sales over $4 million soared 137{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year, while attached home sales climbed 367{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9}. As $4 million-plus single family home sales rose 172{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} in the city, ultra-luxury home sales on Multiple Listing Service (MLS) over $10 million surged a noteworthy 240{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9}, the highest annual percentage gains in sales volume experienced in $10 million-plus single family transactions of Canada’s largest urban markets. Vancouver also set a new price record with the private sale of the region’s highest single-family residential sale on a single lot by Sotheby’s International Realty Canada. Overall, 2021 residential real estate sales over $1 million were up 145{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} from 2020 levels.

Montreal’s luxury real estate market surpassed record after record through the course of 2021, setting new benchmarks for sales volume and prices. The city ended the year with $4 million-plus residential real estate sales up 171{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} from 2020 levels, while sales volume over $1 million was up 137{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9}. Single family home sales over $1 million increased 130{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year, while $1 million-plus attached home and condominium sales rose 130{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} and 165{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} respectively.

The $1 million-plus residential real estate market in Calgary transitioned into balanced conditions by mid-year, before evolving into sellers’ market conditions through the latter half of 2021. As local consumer confidence firmed with recovering global oil and gas prices and Alberta’s economy, the city’s top-tier market revitalized and sales over $1 million rose 222{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year from the levels seen in 2020, while sales over $4 million doubled to four properties sold. The city’s market for $1 million-plus single family and attached homes saw healthy 219{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} and 244{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} annual sales gains respectively. While condominium sales over $1 million saw robust year-over-year gains of 267{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9}, this housing type constituted a minimal percentage of the luxury market with 24 units sold in 2021.

“Canada’s real estate market was redefined in 2021. There has been a transformative change in Canadians’ perceptions of the importance of their homes as an investment in lifestyle and pleasure, physical sanctuary and security, as well as financial stability and generational wealth,” says Don Kottick, President and CEO of Sotheby’s International Realty Canada. “Within the luxury real estate market, one of the pandemic’s lasting influences has been the elevation in standards of what constitutes ‘luxury’. Today’s affluent consumers are seeking a calibre of architectural excellence, design, technology, service and amenities that meet lofty global standards. This willingness to invest in excellence will continue to foster a competitive environment for luxury real estate in the market ahead.”

According to Kottick, local demand was the principal driver of Canada’s luxury and conventional housing market in 2021, as low-interest rates, record cash savings and underlying anxiety regarding future stock market performance continue to encourage diversification into real estate. A gradual increase in international enquiries on luxury properties through the year reflect an ongoing build-up in demand from expatriates, new Canadians and permanent residents that will flow into the market as travel restrictions gradually ease.

2021 Top-Tier Market Highlights

Vancouver

The City of Vancouver’s luxury real estate market maintained a feverish pitch through the course of 2021. Driven by pressing local demand for enhanced living spaces, secondary vacation homes and financial investments due to the repercussions of the COVID-19 pandemic, luxury sales finished the year at record high prices and sales volumes across all top-tier housing types.

Overall, luxury residential real estate sales over $4 million (condominiums, attached and single family homes) soared 171{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year to 410 properties sold in 2021. Despite the increasing desire for privacy by owners of prestigious residences, 24 properties sold over $10 million on Multiple Listing Services (MLS) over the course of the year, a significant 218{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} increase over the 11 properties sold in this ultra-luxury price range in 2020. Overall, residential real estate sales over $1 million were up 145{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} to 5,794 properties sold in 2021.

$4 million-plus sales trends in the latter half of 2021 reflected the monumental constraints that the city’s shortfall of housing inventory placed on sales activity and the mobility of prospective Vancouver homebuyers. Despite strong underlying local demand, scarce supply resulted in double-digit price gains and frenetic bidding wars. This amplified shortages by discouraging potential sellers from placing homes on the market due to concerns about their ability to secure a new home that would match increasingly lofty prices and desired lifestyles. Overall, sales over $4 million were up a modest 10{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} to 163 properties sold between July 1 – December 31, 2021, while $10 million-plus luxury sales were up 14{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} to eight properties sold. Overall, residential $1 million-plus sales experienced a nominal 1{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} gain to 2,470 properties sold in the last half of 2021.

As in the case of the country’s largest metropolitan real estate markets, the City of Vancouver had experienced its initial post-pandemic rebound in its single family home segment. This demand endured through 2021, propelling luxury single family home sales over $4 million to rise 172{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year to 362 homes sold, as ultra-luxury sales over $10 million surged 240{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} to 24 sold in 2021. Overall, $1 million-plus single family home sales were up 129{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year to 2,909 homes sold.

Sales trends in the latter half of 2021 reflected the pressures placed on a market where the demand for conventional and high-end single family homes significantly outstripped listings. Sales over $4 million saw annual gains of a more moderate 9{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} to 139 homes sold between July 1– December 31, 2021. During this time, ultra-luxury home sales over $10 million increased 14{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} to eight homes sold. Overall, $1 million-plus single family home sales were down 16{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year to 1,170 homes sold in the last half of 2021.

The city’s luxury attached home market remained robust through 2021, as sales over $4 million climbed 367{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} to 11 homes sold. As was the case in 2020, no ultra-luxury attached home sales over $10 million were reported in 2021. Overall, 1,285 attached homes sold over $1 million in 2021, up 158{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year. The retreat of discouraged buyers and hesitant sellers from the hyper-competitive attached home market in the latter half of 2021 only magnified the city’s deficiency in attached housing options. While $4 million-plus attached home sales increased to six properties sold between July 1 – December 31, 2021, compared to two sold in the last half of 2020, overall, $1 million-plus attached home sales were up a modest 10{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year during this time to 557 homes sold.

Underlying demand for luxury Vancouver condominiums propelled the market to new records in 2021, even as prospective buyers hesitated given the widening disparity between rising prices and the options available on the market. Over the course of the year, luxury condominium sales over $4 million rose 137{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} to 37 units sold. There were no ultra-luxury condominium sales over $10 million recorded on MLS in 2021, as activity normalized in this exclusive segment. Overall, $1 million-plus condominium sales increased 171{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year to 1,600 units sold in 2021.

Sotheby’s International Realty Canada experts noted that as price gains propelled Vancouver luxury condo prices to record highs, potential luxury and ultra-luxury condo purchasers sought features and amenities to match. In the last half of 2021, there was growing discord between the expectations of affluent and ultra-high-net-worth (UHNW) buyers for escalating price points, and the city’s comparatively limited supply of ultra-luxury condominiums reflecting the standards of opulence, prestige and bespoke features, amenities and services common in other major North American and global luxury condo markets. Despite strong underlying demand, sales of condominiums over $4 million were down 5{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year from July 1 – December 31, 2021, to 18 properties sold while the overall $1 million-plus market saw gains of 36{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} to 743 units sold.

Calgary

Following a tenuous 2020 marked by COVID-19 restrictions and economic uncertainty, the City of Calgary’s $1 million-plus real estate market regained momentum, growth and optimism in 2021. Consumer confidence rose steadily through the year as the job market recovered and unemployment rates reached pre-pandemic levels. The slow but steady recovery of Alberta’s oil and gas industry, the diversification of Calgary’s economy into sectors such as technology, and the attraction of new corporations including Amazon’s cloud-computing server hub into the region, led to a boost in local confidence in top-tier real estate.

With some of the country’s most affordable prices for conventional and luxury homes, a recent generational trends report released by Sotheby’s International Realty Canada revealed that Calgary is not only retaining young locals with affordable housing options, it is also attracting young first-time homebuyers and upsizers from other major Canadian metropolitan areas who are seeking better living standards and top-tier homes at accessible prices. While activity in the conventional and luxury real estate market is predominantly driven by locals, there has also been a new and notable upswing in interest from foreign buyers, particularly from Mainland China and the United States, a reflection of the city’s emerging position on the international real estate stage.

Overall residential real estate sales over $1 million (condominiums, attached, and single family homes), increased 222{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year to a total of 1,101 homes sold in 2021, and Calgary reported four luxury property sales in the $4 million-plus segment, double the properties sold in this price category in 2020. Consistent with 2020, there were no ultra-luxury property sales reported over $10 million on MLS; however, local Sotheby’s International Realty Canada experts noted a rise in luxury real estate auctions in the Calgary region through strategic partner Concierge Auctions, in which Sotheby’s, the world’s premier destination for fine art and luxury goods, and Realogy Holdings Corp., the largest full-service residential real estate services company in the United States, recently acquired a joint 80{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} ownership stake. 

While sales activity and housing prices in Calgary’s top-tier real estate market continued to trend upward throughout 2021, the surge in demand rapidly absorbed housing supply; as such, inventory levels, particularly for single family homes, dwindled throughout the year. By December, overall inventory levels were down 29{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year, according to the Calgary Real Estate Board. As a result, Calgary saw fewer conventional and top-tier real estate transactions than its potential in the last six months of the year. From July 1– December 31, 2021, 483 properties sold over $1 million, up 54{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} from the last half of 2020, while three properties sold over $4 million.

Top-tier single family home sales made up 92{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} of 2021 $1 million-plus real estate transactions, with 1,011 homes sold over $1 million, an increase of 219{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year. Of these, three homes sold in the luxury $4 million-plus range, an increase from two sold in 2020. According to leading Sotheby’s International Realty Canada experts, sales activity was restricted in the latter half of the year by the city’s lack of available inventory, rather than lack of demand. As a result, single family home sales over $1 million in the second half of 2021 were up a moderate 53{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year to 441 properties sold, while luxury sales over $4 million rose to three homes sold from two sold in 2020.

Sales activity in Calgary’s luxury attached home market also soared in 2021, with total sales over $1 million experiencing a 244{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} increase year-over-year. Of the 66 $1 million-plus attached homes sold, none were in the luxury $4 million-plus segment, on par with 2020 levels.

Calgary’s $1 million-plus condominium market was red hot in 2021, signalling a return to city living led by job creation and revitalizing downtown corporate headquarters. According to the Calgary Real Estate Board, 307 total condominium sales were reported in December the City of Calgary in 2021, an increase of 66{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year. Total new listings increased by 2{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9}, with benchmark condominium prices holding steady, reporting only a 3{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} increase in 2021 in comparison to 2020, making Calgary’s condominium market an attractive housing type for investors and locals alike. The city’s luxury $1 million-plus condominium sales increased 267{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year to 24 units sold in 2021. $4 million-plus condominium sales saw a marginal increase to one unit sold in 2021, compared to zero sales above this price point in 2020. In the last half of 2021, top-tier condominium sales over $1 million saw more modest annual gains than in the first half of the year. $1 million-plus sales increased 114{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year to 15 units sold between July 1– December 31, 2021.

Greater Toronto Area

Canada’s largest luxury real estate market transcended the robust gains experienced across the country as the breakaway performance of the Greater Toronto Area (Durham, Halton, Peel, Toronto and York) catapulted the region to record highs in 2021. According to Sotheby’s International Realty Canada experts, local real estate market confidence has been robust since the start of the pandemic; through 2021, this confidence was amplified by the strength of the GTA economy and continued pandemic-driven lifestyle pressures that resulted in an outpouring of record savings accumulation into housing. The fact that real estate is now a preferred asset class given low-interest rates, inflationary pressures and heightened sensitivity across global financial markets also fueled local demand.

2021 also marked a year in which local ultra-high-net-worth (UHNW) consumers and market-responsive developers and home builders redefined the concept of luxury real estate for the region and for Canada. As GTA buyers increasingly sought bespoke condominiums and single family homes reflecting standards of luxury seen only in the world’s most prestigious real estate markets, regional architectural, interior and outdoor design trends, amenities, and services elevated to new extremes.

Overall, the $4 million-plus residential real estate market (condominiums, attached and single family homes) soared 224{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year to 805 properties sold in 2021. Ultra-luxury property sales over $10 million recorded on Multiple Listings Service (MLS) surged 238{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} to 31 properties sold, even as luxury sales continued to migrate away from MLS towards exclusive sales and marketing platforms as homeowners sought to protect privacy. Overall top-tier real estate transactions over $1 million in the GTA were up 194{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} to 52,776 properties sold in 2021. Within the City of Toronto, luxury sales over $4 million surged 188{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year to 465 properties sold in 2021, with 19 of these selling over $10 million, up 173{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} from 2020 levels. Overall City of Toronto sales over $1 million rose 158{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} from 2020 to 16,041 properties sold.

Despite the record-setting annual performance, top-tier sales in the last half of 2021 revealed significant strains in the market brought on by the growing imbalance between relentless consumer demand and limited inventory. From July 1–December 31, 2021, the GTA’s $4 million-plus real estate market saw a comparably modest 58{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year increase to 396 properties sold, even though ultra-luxury real estate sales over $10 million were up 167{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} to 16 units sold. GTA sales over $1 million were up 31{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} overall to 23,506 properties sold in the last half of 2021. During this period, sales in the City of Toronto mirrored this trend. Between July 1–December 31, 2021, sales over $4 million were up a moderate 41{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year to 234 properties sold while sales over $10 million doubled to 10 units sold. $1 million-plus sales were up 9{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year in the last half of 2021, to 7,028 properties sold.

The luxury condominium market was exuberant in the GTA through 2021. Demand for expansive “mega-units” equipped with international-calibre, ultra-luxury amenities and services such as private entrances and elevators, spacious outdoor spaces, on-call concierge and sommeliers, full spa facilities, state-of-the-art fitness and recreational facilities, and comprehensive business and meeting centres, strengthened amongst local UHNW buyers. Overall luxury condominium sales over $4 million saw a 179{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} annual increase in activity to 43 units sold, with two units selling over $10 million where none had sold above this price in 2020. $1 million-plus condo sales were up 195{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year to 3,194 units sold in 2021.

The condo market’s steady momentum was reflected in the last half of 2021 when sales over $4 million increased 75{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year to 28 units sold, while ultra-luxury sales over $10 million rose from zero units sold in 2020 to one unit sold in the last half of 2021. Overall GTA condo sales over $1 million were up 73{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} overall to 1,589 properties sold during this time. City of Toronto condominium sales over $4 million between July 1–December 31, 2021, increased 69{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year to 27 properties sold, while sales over $10 million were up from zero units in 2020 to one unit in the latter half of 2021. Overall, $1 million-plus sales rose 60{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year in the last half of 2021 to 1,246 condominiums sold.

Attached homes remained one of the GTA’s most coveted luxury housing types in 2021, as diverse buyers bid for limited inventory. The region’s $4 million-plus attached home market experienced a significant 267{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} increase year-over-year to 16 homes sold in 2021 and saw the greatest annual percentage gains of the housing types. Overall top-tier attached home sales over $1 million increased 288{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} to 9,188 homes sold. In the City of Toronto, sales over $4 million experienced a 267{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} annual increase in sales volume with 16 homes sold in 2021; while overall $1 million-plus attached luxury home sales increased 156{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} to 3,727 units sold.

Despite strong demand, attached home sales activity reflected the pressures of insufficient regional supply in the latter half of 2021. GTA sales over $4 million were up a healthy 120{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year to 11 units sold between July 1– December 31, 2021, while sales over $1 million were up 114{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} overall to 4,570 properties sold during this time. With potential activity constrained by limited inventory, City of Toronto attached home sales over $4 million were up 120{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year in the last half of 2021, while $1 million-plus sales were up a modest 3{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9}.

The GTA luxury single family home market eclipsed previous sales and price records in 2021. As sales over $4 million increased 227{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} from 2020 levels to 746 homes sold, ultra-luxury sales over $10 million also surged 223{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} to 29 properties sold. Overall, $1 million-plus single family home sales were up 181{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year to 40,394 homes sold. In 2021, City of Toronto luxury single family home sales over $4 million and $10 million experienced a 188{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} and 155{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year surge in annual sales activity to 409 and 17 homes sold. Overall sales over $1 million increased 157{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} to 10,020 homes sold.

The GTA luxury single family home market came under pressure in the last half of 2021, as buyers competed for scarce inventory. $4 million-plus luxury sales rose to 357 homes sold during this period, up 56{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year, while 15 ultra-luxury homes sold over $10 million, up 150{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9}. Single family home sales over $1 million were up a modest 16{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year in the latter half of 2021 overall. During this time, City of Toronto single family home sales over $4 million rose 35{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year to 196 homes sold, while $1 million-plus sales were up 9{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} to 4,444 transactions.

Montreal

The City of Montreal’s luxury real estate market shattered multiple records in 2021. The city saw steady gains in sales activity and prices that reflected consumer optimism in light of a recovering job market and economy. As low interest rates and pandemic influences continued to motivate buyers to prioritize their living space and focus on upward housing mobility, limited inventory in sought-after neighbourhoods led to a hyper-competitive market within the city and thriving demand for luxury real estate cascaded beyond the city to surrounding areas. Notably, in December 2021, the highest residential property sale through the MLS® (Multiple Listing Service) system in Quebec’s history was recorded by Sotheby’s International Realty Quebec for a private waterfront estate listed at $19,885,000 CAD in the village of Senneville, situated outside the city on the western tip of the Island of Montreal.

Overall, the City of Montreal’s $4 million-plus luxury residential real estate sales (condominiums, attached and single family homes) saw bold gains of 171{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year, with 41 total units sold in 2021. Of these, two properties sold above $10 million, the same number of sales reported in this prestigious price segment in 2020. Sales over $1 million were up 137{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year to 1,810 properties sold in 2021. Despite steady consumer demand, top-tier sales activity slowed in the second half of 2021 as the shortfall of premier housing inventory coupled with rising prices and buyer expectations thwarted potential transactions. Sales over $4 million between July 1 – December 31, 2021, were up 50{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} to 27 properties sold, with one transaction reported in the $10 million-plus price point. Overall, $1 million-plus sales were down 3{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year to 826 properties sold during this time.

Single family home sales made up 44{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} of $1 million-plus real estate transactions in Montreal, with 794 total properties sold in 2021, a 130{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year increase. Strong demand for top-tier single family homes led to steady price gains throughout the year, with the median cost of a single family home in the metropolitan area increasing to $525,000 in November 2021, according to the Quebec Professional Association of Real Estate Brokers, an increase of 21{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year. Of the 794 $1 million-plus single family home sales reported in 2021, 32 did so in the luxury $4 million-plus range, an increase of 178{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} from 2020. One single family home sale was reported in the $10 million-plus price point. Deficient single family home supply limited transactions in the latter half of 2021; as a result, while luxury sales over $4 million were up 46{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year to 19 homes sold between July 1 – December 31, 2021, overall sales above $1 million fell 11{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} to 360 transactions during this time.

Montreal’s top-tier attached home market reflected similar trends. In 2021, this housing segment saw 578 home sales reported over $1 million, an increase of 130{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year. Of these, two were reported in the $4 million-plus range where none had sold in this price range in 2020. No attached homes sold over $10 million, as was the case in 2020. Severe supply constraints depressed sales activity in the last half of 2021, as attached home sales over $1 million fell 17{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} to 237 properties sold. Of these, two attached homes sold over $4 million, compared to the fact that there had been no transactions above this price during the same period last year.

Most notably, Montreal’s luxury condominium market soared to new records in 2021, with sales over $1 million rising 165{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year. In fact, condominium sales made up 24{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} of all luxury real estate transactions over $1 million in Montreal in 2021, a new high. As local end-user, investor and out-of-province demand for high-end, high-density housing strengthened, overall, $1 million-plus condominium sales increased 165{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year to 438 units sold, while the city’s $4 million-plus condominium market saw sales climb 117{d4d1dfc03659490934346f23c59135b993ced5bc8cc26281e129c43fe68630c9} year-over-year to seven units sold in 2021. One ultra-luxury condominium sold over $10 million in 2021: listed at $12.9 million by Sotheby’s International Realty Quebec, the sale of the penthouse at the Ritz-Carlton Residences in Montreal to a U.S. buyer broke the province’s historic for condominium prices on MLS.

For more information on Sotheby’s International Realty Canada and the 2021 Year End Top-Tier Real Estate Report contact:

Talk Shop Media
Nicole Jerick
778-877-8801
nicole@talkshopedia.com

About Sotheby’s International Realty Canada
Combining the world’s most prestigious real estate brand with local market knowledge and specialized marketing expertise, Sotheby’s International Realty Canada is the leading real estate sales and marketing company for the country’s most exceptional properties. With offices in over 30 residential and resort markets nationwide, our professional associates provide the highest caliber of real estate service, unrivalled local and international marketing solutions and a global affiliate sales network of approximately 1,000 offices in 74+ countries and territories to manage the real estate portfolios of discerning clients from around the world. For further information, visit www.sothebysrealty.ca.

Disclaimer
The information contained in this report references market data from MLS boards across Canada. Sotheby’s International Realty Canada cautions that MLS market data can be useful in establishing trends over time but does not indicate actual prices in widely divergent neighborhoods or account for price differentials within local markets. This report is published for general information only and not to be relied upon in any way. Although high standards have been used in the preparation of the information and analysis presented in this report, no responsibility or liability whatsoever can be accepted by Sotheby’s International Realty Canada or Sotheby’s International Realty Affiliates for any loss or damage resultant from any use of, reliance on, or reference to the contents of this document.