With the average price for a single-family detached home now in the $1million range in Toronto there are calls for governments to co-ordinate a broad approach to help corral runway prices.
Sales of $1 million houses virtually doubled in January and February of this year to almost 2,900 compared with the same period a year ago.
Sotheby’s Real Estate Executive Officer Brad Henderson says supply and demand is at the root of rising prices; with demand largely coming from Canadians and permanent residents who are taking advantage of a healthy economy and low interest rates.
Henderson says governments need to consider targeting speculators and introducing measures to boost supply.
Meantime, economists continue to predict surging house prices throughout this year.