29 | | durhamregion.com | This Week | Thursday, June 23, 2022 | Over the past few weeks, I have read some online articles, blog posts and some streaming services suggesting that housing in the suburbs around the city of Toronto will drop in value much more than the city of Toronto itself. Some of the reasoning is due to the fact that the prices have spiked so quickly in the GTA that we are more at risk for a severe drop in value. With our market shifting and values decreasing across Ontario, what areas will you find that have declined the most or least over the past few months? Oshawa, Whitby, and Clarington are located about the same distance as Mississauga and Brampton from downtown Toronto. When you look at the values in these communities an interesting pattern becomes apparent. Let's start with the city of Toronto. From the end of May to mid June, the values for detached homes have dropped by 12 per cent. This is a decrease of $348,000. When we compare that to Mississauga, we see that they have dropped by 11 per cent, or $181,000. The average detached home value in Brampton has been reduced by 10 per cent, or $137,000. As we move into Durham, we see a surprising trend unfolding. At the end of May, the average detached home in Durham Region has increased by $22,000, from $1,094,000 to $1,116,000! What I can see from my perspective is that Durham Region, with an average home valued at $380,000 less than a home in Mississauga, continues to be the most affordable part of the GTA. In fact, the difference between a detached home in Mississauga and Oshawa is a staggering $590,000! You can see why Durham prices are faring better than other suburbs in the GTA. No one has a crystal ball; however, in retrospect, the values in Ontario started to slip once the mortgage rates began to increase in March of this year. Five-year mortgage interest rates have jumped to five per cent, causing the market to take a breather, allowing inventory to build, giving buyers more selection and causing the values to slip. If the past few months is an indicator of what the future will bring, our crystal ball predicts that the rates rising in July will cause further slowdowns and eroding values. The real estate market is a blend of mortgage rates, inventory and stable employment. Uncertainty is the unwanted variable. Uncertainty erodes confidence and causes, in real estate, buyers to sit on the fence, observing rather than jumping on a good deal. Currently, we have the distractions of an ongoing war, rising rates, and decades' high inflation. These items can distract buyers from making future long-term commitments. With all these happenings, one of our buyers lost out on a home this past weekend. We were one of 13 bidders on a property and alas, not the highest bidder. This shows me that in certain price ranges, the homes are still attracting serious buyers. With five-year mortgages still at decades low rates, a home is a great investment, and whatever happens short term will be long forgotten at renewal time. Lindsay Smith is with Keller Williams Energy Brokerage and has been a Durham real estate broker for 36 years. He lives in Oshawa and can be reached at lindsay@buyselllove.ca. IS DURHAM THE GTA'S MOST AFFORDABLE AREA? OPINION LINDSAY SMITH CRUNCHES SOME NUMBERS LINDSAY SMITH Column With five-year mortgages still at decades low rates, a home is a great investment. The provincial government has recognized a retired Durham police officer's ongoing volunteer efforts, including his work with a local charity that promotes sports among at-risk youth. Emmanuel (Emmy) Iheme was one of 22 individuals recognized in April as a recipient of the Ontario Medal for Good Citizenship, the province's second-highest award for civilians who have made a lasting impact on their communities. "Those invested with the Ontario Medal for Good Citizenship have devoted their lives to causes such as protecting Ontario's natural heritage; promoting the arts, culture and sports; advocating for safer communities; and, assisting those in need," the Ministry of Citizenship and Multiculturalism said in announcing the awards. Iheme, who retired in 2020 after a 28-year career with Durham police, "is respected and admired for encouraging at-risk youth to get involved in their communities while helping kids enjoy sports without drugs," the ministry said. Volunteerism has long been a passion for Iheme, a resident of Greenbank. He is currently involved with the Oshawa branch of Their Opportunity, a national charity that delivers and subsidizes local sports with a goal of eliminating barriers for youth. Other notable efforts include his tenure as President of the Oshawa Rotary Club and co-chair of the 2019 Para Sport Ontario Games. "It's just a way for me to give back to the community," Iheme said of his volunteerism. "It's very humbling to be recognized among the people who were at the ceremony." Iheme said that while he volunteers to address needs among people in the community, he's also hoping to lead by example. "I just hope others will continue to do the same thing," he said. RETIRED DURHAM POLICE OFFICER RECEIVES CITIZENSHIP AWARD JEFF MITCHELL jmitchell@ durhamregion.com NEWS