Condo prices continue to drop in Mississauga

The latest real estate report shows condo prices continuing to drop in Mississauga.

A total of 333 homes traded hands in February, down by 3.8 per cent, at an average price of $1,039,951, a 0.7 per cent drop in Mississauga, real estate brokerage Zoocasa said in its analysis of the Toronto Regional Real Estate Board data.

The average price for condo apartments fell by 3.3 per cent to $581,431 in February and condos were harder to sell.

Currently, apartment condos are sitting on the market the longest at 32 days, followed by detached homes at 28 days, while townhouses are selling the fastest with listing days on market of just 21 days, Zoocasa said. This could be a good time to buy a condo, the real estate brokerage suggested.

“With apartment condos becoming more affordable, this could present an opportunity for first-time buyers to enter the market,” Zoocasa said.

The average price for semi-detached houses reached $992,191, a 0.7 per cent increase in February from the previous month, while condo townhouses averaged $781,259, a 2.9 per cent decrease.

Average prices remained stable for detached homes at $1,606,875, and townhouses at $983,833 in February. The average price for a detached home in January was $1,596,150 and the townhouse average was $991,557.

Sales activity, in general, cooled down in Mississauga in February as most property types experienced decreases in month-over-month sales.

Sellers also took a step back last month as new listings decreased month-over-month by 3.8 per cent to 1,049. Meanwhile, active listings were up by 10.5 per cent to 1,695 and months of inventory increased to 3.8.

Semi-detached and condo townhouses led the increase in sales, up 18.6 per cent and 5.4 per cent, respectively.

Additionally, both semi-detached houses and condo townhouses experienced a significant reduction in listing days on the market, signalling growing buyer interest in these more affordable properties, Zoocasa noted.

Economic uncertainty may be behind some people’s reluctance to enter the market, experts suggest.

“On top of lingering affordability concerns, home buyers have arguably become less confident in the economy,” said TRREB chief market analyst Jason Mercer. “Uncertainty about our trade relationship with the United States has likely prompted some households to take a wait and see attitude towards buying a home. If trade uncertainty is alleviated and borrowing costs continue to trend lower, we could see much stronger home sales activity in the second half of this year.”

Mortgage rate declines could move some people to take the leap into homeownership.

“Fortunately, we anticipate a decline in borrowing costs in the coming months, which should improve affordability,” said TRREB president Elechia Barry-Sproule.

See the full Zoocasa analysis here. The Toronto Regional Real Estate report is here.