A major Canadian real estate brokerage predicts prices will rise by up to 20%

It doesn’t matter if your city just saw massive prize gains; they could see another year of excessive growth, to hell with interest rates. This is essentially the opinion of Re/max, one of the largest real estate agencies in Canada. The company forecasts massive growth across the country next year, with markets up 20% over the next 12 months. Cities like Toronto should even see house prices rise more than they did with lower interest rates.

Muskoka Real Estate expected to experience the strongest growth

They expect the strongest growth in smaller markets that have just seen a massive increase. Muskoka is expected to see the average home price rise to $749,357 in 2022, up 20% from this year. This is on top of the 30% growth Muskoka has experienced over the past year. The region is now tied for first place with Moncton.

Real estate price forecast in Canada 2022

The annual percentage change in the average sale price of a house, as well as the Remax forecast for 2022.

Source: Re/max; Live better.

Moncton Real Estate tied for fastest forecast growth rate

However, the average house price in Moncton is much cheaper. The brokerage forecasts an average home price of $332,735 in 2022, up 20% from this year. Again, this follows the 27% annual growth recorded this year. Imagine living in Moncton and not seeing your income increase by more than 50% in two years? Because that’s what you would need to mitigate increased ownership costs.

Barrie Real Estate was the biggest gainer last year and is set to soar next year

Last year’s biggest gainers are also expected to experience somewhat more excessive growth this year. Barrie real estate was the biggest gainer, posting a 53% gain over the past year. The brokerage is forecasting an average sale price of $88,500 next year, another 15% increase on top of last year’s record gain.

Oakville real estate expected to be most expensive market

Oakville, a suburb of Toronto, is expected to remain the most expensive real estate market in Canada. The average sale price is expected to reach $1,696,646 in 2022, up 7.50% from this year. This is on top of the 21% growth seen in 2021. It is currently the most expensive market, but is expected to create a gap of almost $300,000 between second place, which is York Region.

Real estate price forecast in Canada 2022

The expected dollar value of the average selling price of a home in 2022.

Source: Re/max; Live better.

Vancouver real estate expected to see growth fall, but stay high

Greater Vancouver real estate will follow this year with big gains. The city is expected to reach an average sale price of $1,294,140 in October, up 5.50% from this year. It follows the 13.0% gain achieved this year. Vancouver’s forecast is relatively modest compared to other areas, but it’s also already a much more expensive place.

Toronto real estate growth expected to grow faster next year

After underperforming this year, Toronto real estate is expected to post even bigger gains next year. The average sale price is expected to reach $1,160,491 in October, up 10% from this year. Over the past year, the average sale price has increased by 7%, a substantial amount but not as much as in other cities.

Re/max’s real estate forecast is a bit ambitious, especially given the expected interest rate environment. Lower interest rates have boosted growth, but they are expected to rise next year. However, rising rates only appear to slow growth a bit in this forecast, with fast-growing regions seen as continuing to grow at a blistering pace.