Frank Fu Feng

416-800-5898

Re/Max Realtron Realty Inc., Brokerage

www.realtyfrank.com

Mobile: 416-800-5898

Dear friend,

I hope you had a wonderful summer filled with happy memories and lots of vitamin D. With fall quickly approaching, cooler days begin to creep up on us. As the weather begins to cool, studies have shown our productivity increases, since our bodies don’t need to work as hard to maintain their internal temperature, freeing up our energy to be productive.

Maybe that productivity has you considering a fall reno project. The fall is a good time to scan your home and ask yourself what repairs or replacements are needed before they pile up on each other. Or maybe you have been considering a home improvement that has been on your wish list, like an updated bathroom.

Whether it’s a necessary home maintenance project or more of an improvement project, you can always count on me for contractor recommendations for any number of renovation projects, as well as information about what kind of return on investment you could expect from it. I can also provide insights into what buyers are looking for these days. Please feel free to call or email me. I’m always happy to help.

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GTA REALTORS® Release August 2024 Stats

GTA Real Estate Market Update by Toronto Regional Real Estate Board

TORONTO, ONTARIO, September 5, 2024 – Greater Toronto Area (GTA) home sales were down on a yearover-year basis in August 2024. New listings were up slightly over the same period. While the region’s housing market remained well-supplied in August, average home prices only edged slightly lower compared to August 2023.

“The Bank of Canada’s rate cut announced on September 4 will lead to a further improvement in affordability, especially for those using variable rate mortgages. First-time buyers are especially sensitive to changes in borrowing costs. As mortgage rates continue to trend lower this year and next, we should experience an uptick in first-time buying activity, including in the condo market,” said Toronto Regional Real Estate Board (TRREB) President Jennifer Pearce.

GTA REALTORS® reported 4,975 home sales through TRREB’s MLS® System in August 2024 – down by 5.3 per cent compared to 5,251 sales reported in August 2023. New listings entered into the MLS® System amounted to 12,547 – up by 1.5 per cent year-over-year. On a seasonally adjusted basis, August sales edged up on a monthly basis compared to July, whereas new listings were down slightly compared to the previous month.

The MLS® Home Price Index Composite benchmark was down by 4.6 per cent year-over-year in August 2024. The average selling price was down by a lesser 0.8 per cent compared to August 2023 to $1,074,425. The different annual rates of change between the MLS® HPI Composite and the average selling price were largely due to an increase in the share of detached home sales compared to last year, impacting the average price. On a seasonally adjusted basis, the average selling price edged lower compared to July.

“As borrowing costs trend lower over the next year-and-a-half, home buyers will initially benefit from both lower monthly mortgage payments and lower home prices. Even as demand picks up, especially in 2025, it will take time for the inventory of listings to be absorbed. Ample choice in the market will help keep price growth moderate, at least in the initial phases of recovery,” said TRREB Chief Market Analyst Jason Mercer.

“Today’s elevated listing inventory will ultimately recede. We need to maintain a sustained focus on boosting home construction, especially as it relates to producing the right mix of home types to meet consumers’ needs. This new housing also has to be affordable. Municipalities can help by reducing development charges, which are ultimately passed on to home buyers. If people can't find affordable housing in the GTA or surrounding Greater Golden Horseshoe, they will move elsewhere, and not necessarily to other parts of Ontario or Canada. Housing is a key driver of our region's economic development,” said TRREB CEO John DiMichele.

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My Observations:

Nothing spectacular or unexpected in the August real estate market statistics. 4,975 homes sold, and 22,653 homes available for sale, which means that only 1 in 4 homes is selling. This increased inventory has impacted the length of time that a well-priced home (within 5% of market value) sells, 28 days, up from 20 days a year ago. Despite these factors the average price for homes sold in the GTA stand at $1,121,832 down from $1,126,258 ($4,426 or 0.39%). In other words, on average, prices have remained stable. Yes, some areas and price ranges have been more greatly impacted, but overall, prices are relatively stable as we enter the fall market.

The big question is,” what does the future hold?” The outlook has not changed! Huge demand, lack of inventory created by fewer housing starts, improved economy as borrowing rates start to fall. With September’s rate drop, 5-year mortgages are being offered at 4.19%! That will certainly bring buyers of off the sidelines and purchasing homes.

Great opportunities exist in the market today, whether it be in price or as important, choice! Buyers today have a choice of which home to buy, something that was not available a couple of years ago, and something which will disappear once the buying surge restarts in full force.

The government keeps talking about affordable housing, while at the same time increasing development charges and taxes on builders which will ultimately be passed on to consumers. It’s estimated that 25% of the cost of new construction condominiums is due to permits and taxation! As we have seen in the last 2 years, if the builders do not believe they can get the prices they want, they just don’t build! With housing starts down by one half from normal levels (which did not keep up to new demand), there is only one way for prices to go.

If you are considering upgrading your home, buying an investment property or perhaps a condominium for your kids, now might be a good time to explore those opportunities.

Give me a call, let’s chat! After all, you have a friend in real estate.

Have a great September,

Frank Fu Feng

Your Friend in Real Estate.

PS. I am never too busy for your referrals.

Best Regards,

Frank Fu Feng

Direct: 416-800-5898

www.realtyfrank.com

Defending Your Data: Keeping Your Wi-Fi Secure

• Use strong passwords (i.e., at least eight characters using upper and lowercase, numbers, and symbols, and don’t re-use passwords – use a password management software to keep track), change them regularly, and enable two-factor authentication where possible.
• Use a VPN, which encrypts your connection.
• Enable auto updates on your devices, and ensure your modem and router are updated, replacing them at least every 5 years.
• Change default modem and router passwords so no unauthorized user within signal range can access your network.
• Disable remote router access, which can leave the door open to hackers.
• Change your network name. Avoid using the default provider name or a name with personal information, which provides vulnerability clues.
• Enable a Wi-Fi guest network to segregate devices (e.g., put your computer devices on the main network and your smart devices on a guest network), limiting the scope of potential breaches.
• Enable Wi-Fi Protected Access 3 (WPA3) if available on your device, for increased data protection.

A simple online search can guide you through making the above changes if you are unsure.

Cybercrime is only expected to skyrocket in the coming years, so doing everything you can to protect your personal information will help you not become a victim.

How to Create a Fur-Friendly Home

Choose scratch and stain-resistant flooring such as hardwood, laminate, vinyl, and tile. Avoid carpets, which can trap odours and are prone to stains. As for rugs, choose options that are washable, or are forgiving of stains and pet hair.

For storing pet paraphernalia like toys and grooming supplies, think stylish bins or baskets, or an ottoman with storage.  For cats, you can hang a sisal scratch pad cover over the arm of a sofa for a stylish option.

Seamlessly incorporate pet furniture into your décor. Think litter boxes hidden with custom cabinetry or a room divider, a bench with a pet bed underneath, or a pull-out kitchen drawer for pet dishes. Pet furniture that mimics regular furniture, like a mini sofa is also an option. 

As for your furniture, opt for machine-washable slipcovers or fabrics resistant to stains, fur, and odours like leather, velvet, microfiber, and canvas. Protect fabrics with spray-on stain guard.  

Finally, wherever you like to sit in your home, the resident fur babies probably do too, so include throw blankets for them, or place their pet bed nearby.

AI Home Makeover

So how can you use AI for home decorating? It depends on the program you are using, but with some, you can upload a picture of your existing room, select a design style you like, and it will provide you some renderings for ideas.

With some programs, you can also visualize a specific piece of furniture in a room, or get suggestions for furniture layout, lighting, paint colours, and space optimization.

To get other fellow human opinions, some programs have community boards where you can post your designs to get feedback and suggestions.

If you want to take it a step further, there are programs where you can work virtually with an AI program and an interior designer at a fraction of the in-person cost.

Just remember, AI capabilities are brought to their fullest potential if used properly, meaning:

• Be as specific as possible with your prompts.
• Have measurements, photos, and links to current furniture.
• Experiment with different AI design programs for different ideas.

And, of course, don’t forget human creativity. Since AI relies on pre-existing data, it’s best used as a supplementary tool to human imagination.

Notable, Quotable, Quotes!

“Nothing is impossible. The word itself says ‘I’m possible.”
Audrey Hepburn

“Don’t count the days, make the days count.”
Muhammad Ali

“In three words I can sum up everything I’ve learned about life: It goes on.”
Robert Frost