WHAT'S THE DIFFERENCE BETWEEN NEW AND RESALE CONDO SALES?

Newspapers are desperate for negative news headlines. They think they sell newspapers?? Last week the talk was about an oversupply of condos and a massive 74% decline in condo sales in the First Quarter of the year in the Toronto Market. Reading further you find out that these figures only relate to the NEW Condo market. The oversupply relates to new condo developments that have not started construction and the sales decline relates to PRESALES of these condos, yet to even reach presale targets that will allow them to begin construction - if lucky at least 18 months away.

Now look at the RESALE condo market. That's for people who want to move in right now!In April, the sale-to-listing ratio was over 40%. That means that out of 100 active listings for sale in the month, 40 sold. In April of 2008 the number was 45%. Compare that to a normal market - a balance for both buyers and sellers - which is 25 to 35%.

If you want real life experiences and not statistics, just talk to any buyer of a resale condo and ask him how many sales went multiple offer? That's all you need to know about this market. But it won't make headlines.

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