Last month we predicted that the unusually high number of Condo sales and shrinking inventory would continue to put upward pressure on prices and that's what we've seen. The Supply and Demand ratio was solidly in the Seller's Market, almost identical to the previous month's level.

It's rare to see this ratio this high but when it is, it's followed by rising prices. What we experience as agents working in the market is the desirable suites in spontaneous bidding wars and selling within 2-3 days. If you're looking to buy in a specific building, you need to visit the suite the first day it's on the market and act quickly.

The median price for July was up from $422,500 to $430,000. This was an increase of 1.8% month to month. If the Supply and Demand ratio remains at these levels, should we expect prices to continue to increase at this rate? That would be about a 21% per year rate of appreciation. Although we've seen that in detached homes over the last year, I don't think we'll see that in condos this year. Since January, condo prices are up 8% and if we ended the year with prices up more than 10%, that would be a fantastic year for condo owners.