How COVID 19 Changed Bramptons Real Estate Market
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Despite the negative impact COVID-19 had on several industries and the overall Canadian economy, housing prices in southern Ontario and the GTA continue to rise. This is especially true in Brampton.
Canada's ninth-largest city by population, Brampton has long been a cost-effective alternative for people looking for a family-friendly suburb with access to big city life.
If you're thinking of buying or selling real estate in Brampton, keep reading to learn the latest trends in Brampton's real estate market. When you're ready to buy or sell in Brampton, shop around for local professionals like Brampton real estate lawyers and realtors. Real estate lawyers in Brampton work with its bylaws, taxes, zoning regulations, etc., every day, making your Brampton real estate transaction seamless. And Brampton real estate agents are intimately familiar with each of its neighbourhoods, which helps you find the perfect fit at the right price.
How Did COVID-19 Impact Brampton's Real Estate Market?
Like housing markets across Canada, the number of sales and average sale prices in Brampton had been trending upward between mid-2018 and the start of 2020. Understandably, when the COVID-19 coronavirus began shutting down workplaces in April 2020, housing sales plummeted for two straight months.
They returned to pre-pandemic numbers in June 2020, but then in July with PPE, social distancing measures and virtual open houses firmly established, Brampton's housing market rebounded with a vengeance.
The number of sales between July and the end of 2020 skyrocketed and more than made up for the drop-off in April and May. When all was said and done, total overall sales in 2020 increased by 11% over 2019. The average price for a home in Brampton also increased in 2020, by 16%, from $735,694 in 2019 to $875,827. In fact, 2020 was the third-highest year on record for the number of home sales across the GTA.
Low interest rates and lockdowns helped spark the massive growth in sales during the second half of 2020. Families had more disposable income with retail, restaurants and travel shutdown and working from home cut down on transportation and daycare costs.
The shift to work-from-home also caused a much steeper increase in home sales and prices outside of Toronto as people looked to expand their living spaces and spend more time outdoors now that they were working from home.
What Does the Future Hold for Real Estate in Brampton?
Housing prices have continued their dramatic rise in Brampton with average selling prices for most types of dwellings breaking records throughout 2021. The average price of a home sold in Brampton now stands over $1.1 million - the highest it's ever been. However, the number of sales has dropped considerably since early 2021, which has, in turn, helped drive up prices. The drop off in sales is due to less inventory, increasing the competition for homes in Brampton.
Moving forward, expect these trends to persist. Demand continues to outgrow supply and population numbers are expected to increase as Canada recovers from the pandemic and immigration programs resume.
