Mississauga is a growing entity. The number of residents in the city has significantly grown from 698,000 in 2006 to 721,599 in the 2016 census report. There’s no sign that the influx of residents moving to Mississauga is going to slow down, either, with experts estimating that the population size by 2041 will reach 878,000.
The growing demand for real estate in Mississauga, whether it be a condo apartment, semi-detached or detached, is driving prices up in the city. This is expected to continue through 2020 at the very least.
Demand for Real Estate in Mississauga
Demand for property in Mississauga is spiraling upwards at a rate that supply is struggling to keep up with.
Compared to May last year, demand for Mississauga homes increased by 18 percent, with a total of 1,042 homes changing hands in the month. However, the supply of new homes declined, with just 1,732 brought to the market – a 4.8 percent decrease.
On a year-to-year basis, the figures show an even more alarming contrast between the sales and supply. Up to July 2019, home sales totaled 5,286 units, up 8 percent from the same period in 2018. This is while there is a 15 percent decrease in the number of residential listings, with July having one of the lowest levels on record for the time of year.
With transactions up and supply dwindling, pressure has been put on property prices.
Real Estate Prices in Mississauga
Nationally, the average sale price rose by 1.7 percent in June to $505,500. It is the strong performance of Southern Ontario and Quebec that have kept the average up following a home price index dropped by 0.3 percent Greater Vancouver, Calgary, and Halifax-Dartmouth.
The GTA, including Mississauga, saw a price increase of roughly 3.6 percent over June. And in July the average price of Mississauga real estate sold in July 2019 was $764,463, up 8.2 percent from July 2018.
The low supply is meaning more competition for buyers, which leads to upward pressure on home prices compared to other provinces.
Additional Price Increase Factors
At a recent Budget Committee meeting held to introduce the preliminary 2020 Budget, the City of Mississauga announced planned investment in several areas.
The committee pledged to more transit service, enhanced public safety, enhanced road safety and quality of life preservation would remain priorities for the city in 2020. Should the budget pass, overall property tax will increase by 3.04 percent.
There are hundreds of reasons to purchase Mississauga real estate. The area is booming with excitement for people of all ages, and its proximity to neighbouring areas like Toronto and Lake Ontario makes it an unquestionably sound investment! Click here to find out more about the Mississauga real estate market.