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TORONTO REAL ESTATE NEWS | MAY 2021 MARKET REPORT

By | June 9, 2021

After many months of agitated activity in the Greater Toronto Area housing market, the Toronto Regional Real Estate Board (TRREB) is reporting that the number of home sales in the region has fallen for the second consecutive month.

Toronto Real Estate News | Hover or click over a community to see the local sale prices this month.

Even though sales eased off over the last two months, market conditions remained tight enough to push the average selling price to a record in May. This is fuelled by the confidence in economic recovery and low borrowing costs.

Toronto real estate community map

If we look at the month of May from 2010 through 2019, May is often the strongest sales month in any given year. However, May 2021 results resisted this trend, with sales being below the 15,646 deals reported in March 2021. When comparing May 2021 to April 2021, sales dropped 12.5%, and if we look at May 2021 versus March 2021, sales dropped 23.6%. The market is slowing down, as we cannot continue growing without surplus of immigration and population growth. Currently borders are closed, no immigration is coming in, there is no foreign investment, no tourism, and therefore all this demand that was driven by domestic buyers is now slowing down. 

As for the average prices, they continue to remain high as listings started to drop after March 2021. When we compare the amount of new listings  in May 2021 compared to April 2021, there is a 10.7% decrease. May 2021 vs March 2021, there is a 18.1% decline in sales. Because we have less supply, and decent demand, prices will continue to rise. 

As for what the Real Estate market will bring in the future, now that we have new mortgage stress test rules, which boost the stress test rate to 5.25%, it will directly affect Buyers purchasing power. The market is currently slowing down, and the stress test will affect Buyers (especially first time home Buyers that are coming into transactions with no equity). As Buyers will need to qualify for more, it may keep people off the market for awhile. The province of Ontario is also slowly re-opening, which will affect the market. The prospects of the border opening sometime in the future is also another factor that will affect that market. It seems as though there is a general consensus that opening the borders will bring surge in the market as it will bring renewed immigration and foreign investors. 

“Despite a modest slowing in market activity in April compared to March, selling prices for all major home types remained very high. Low borrowing costs during COVID-19 clearly had an impact on the demand for and price of ownership housing. While the pace of price growth could moderate in the coming months, home prices will likely continue on the upward trend. Renewed population growth over the next year coupled with a persistent lack of new inventory will underpin home price appreciation,” said TRREB Chief Market Analyst Jason Mercer.

As always, it’s good to remember that real estate is local so check out our chart on the different municipalities across Toronto to see what is happening in your neighbourhood.

For TRREB’s full Toronto Real Estate Market News Report continue reading below.

Home Sales and Listings

  • * Greater Toronto Area REALTORS® reported 11,951 residential transactions through TRREB’s MLS® System. This result was up 160.1% increase over May 2020.
  • * New listings amounted to 18,586 in May 2021 – up on a year-over-year basis by 103.7%.

Home Prices

  • * The average selling price for May 2021 transactions was $1,108,453 – up by 28.4% compared to the average price of $863,563 reported for May 2020. Most housing types experienced annual average price growth in the 416 leading with detached homes up 20.5%, followed by townhomes up 19%, semi-detached homes up by 16%, and condos up by 6.3%.
  • * The MLS® Home Price Index Composite Benchmark was up by 19%. The overall average selling price was up by 28.4% year-over-year to $1,108,453.

ARCHIVED TORONTO REAL ESTATE MARKET REPORTS

Many recent reports have stated that the Toronto Real Estate remains hot but it starting to show its first signs of cooling. I personally believe that market is still trekking along well, and that what we are seeing is that people are buying more within the city itself rather than outside the city and in the Greater Toronto Area (GTA). A lot of the reports coming out are general overviews of statistics that are amalgamated from every district. It’s not an accurate way to really determine what’s going on as Real Estate is local market that needs to be looked at and compared through the specific area and type of property that you own or are looking for. As an experienced Broker who sells the city, I can tell you that currently condo prices are skyrocketing, many new records being achieved in east end, and tons of properties are still going for multiple offers. I very much believe that the Toronto Real Estate market is still going strong. I only see the market slowing down in December 2021, when majority of the population is vaccinated and Covid-19 travel restrictions are eased and places open up.

When we look at the report we see that home sales quadrupled that of April 2020 for the Greater Toronto Area (GTA) but we are starting to see sales drop 13% in April 2021, month-over-month.

Over the past few months, Toronto region’s Real Estate market has been blazing in terms of price and pace. The TRREB board states that 13,663 homes were sold in the region in April 2021, which is a 362% increase from the 2,957 properties sold in April 2020 which was the first full month of the Covid-19 pandemic. Whereas home sales increases year-over-year, home sales were actually down 12.7% compared to March 2021.

New listings also dropped this month by 8.4% compared to March 2021, and the average selling price amounted to $1,090,992 which is down by 0.6% from March 2021. With all these month-over-month decreases, it is a sign of a pullback in Real Estate market activity and indicates that the region may be depleting its pool of potential Buyers within the GTA population.

“While sales remained very strong last month, many Realtors noted a marked slowing in both the number of transactions and the number of new listings. It makes sense that we had a pullback in market activity compared to March. We’ve expserienced a torrid pace of home sales since the summer of 2020 while seeing little in the way of population growth. We may be starting to exhaust the pool of potential buyers within the existing GTA population. Over the long term, sustained growth in sales requires sustained growth in population,” said TRREB President Lisa Patel.

TRREB’s chief market analyst, Jason Mercer, accredits the surging prices and consumer demand to low interest rates.

“While the pace of price growth could moderate in the coming months, home prices will likely continue on the upward trend. Renewed population growth over the next year, coupled with a persistent lack of new inventory, will underpin home price appreciation,” he said.

The greatest average price gains were detached homes in the 905 area, as they experienced a 44% increase in average price. Detached homes in the city (416 area) did also experience a 36.8% increase  and puts the average price very close to $1.7 million. Condo prices climbed in both the 905 and 416 area (25.1% & 18.7% respectively) making the average condo price in the 905 areas come to $612,341 and 416 areas come to $727,137.

As always, it’s good to remember that real estate is local so check out our chart on the different municipalities across Toronto to see what is happening in your neighbourhood.

For TRREB’s full Toronto Real Estate Market News Report continue reading below.

Home Sales and Listings

  • * Greater Toronto Area REALTORS® reported 13,663 residential transactions through TRREB’s MLS® System. This result was up 362.1% increase over April 2020.
  • * New listings amounted to 20,825 in April 2021 – up on a year-over-year basis by 237%.

Home Prices

  • * The average selling price for April 2021 transactions was $1,090,992 – up by 33% compared to the average price of $820,226 reported for April 2020. Most housing types experienced annual average price growth in the 416 leading with detached homes up 36.8%, followed by townhomes up 20.1%, semi-detached homes up by 19.6%, and condos up by 18.7%.
  • * The MLS® Home Price Index Composite Benchmark was up by 17.8%. The overall average selling price was up by 33% year-over-year to $1,090,992.

Toronto homes sales surge 97% in March, year-over-year, and average home prices are up to $1,097,565  as demand exceeds new listings.

The Toronto Real Estate market has been red hot as we have been seeing price increases for the majority of home types, as well as many multiple offer scenarios as demand exceeds new listings. For the condominium sector specifically, the market is starting to move again. Although it is not at its peak that it once was, but nor at its lowest, it still makes it a good time to consider investing in a condominium unit. It remains the best priced asset and that market is still a bit softer overall. The acceleration in price growth has been mainly in the suburbs as there was a pandemic-induced eagerness for living in larger spaces for many people. However, this also makes the area more susceptible to volatility and long-term risk. What I expect to happen in 2022 is that majority of people will move back to the city as they realize they don’t want to be living in the suburbs anymore, creating more supply than demand in the area, and causing volatility.

For the third month straight in the Toronto Real Estate market, home sales have continued to climb as buyers are taking advantage of favourable borrowing costs and improvement in many sectors of the economy, vaccine fuelled economic optimism included. Having only surpassed $1 million a month ago, the average sold prices are now close to $1.1 million.

It is important to consider that although sales in March 2021 were double that of March 2020, we are comparing against the first impact of Covid-19 which occurred in the second half of March 2020, when sales activity dropped off significantly. Knowing this, we should consider annual sales growth for the pre-Covid-19 period (March 1 to 14, 2020) and the Covid-19 period (March 15 to 31, 2020). There were 6,504 sales reported during the first 14 days of March 2021 – up 41% compared to the pre-Covid period in March 2020. There were 9,148 sales reported between March 15 and March 31, 2021, an increase of 174% compared to the Covid-19 period of March 2020. This is a blunt reminder of the impact Covid-19 had on the housing market and overall economy a year ago.

TRREB President Lisa Patel credits the confidence in economic recovery and low borrowing costs for the home sales last month. She adds, “While the robust market activity is indicative of widespread consumer optimism, it is also shedding light on the sustained lack of inventory in the GTA housing market, with implications for affordability.”

As a whole, new listings were up 57%, and sales in March picked up 97% when compared to March 2020. The overall average selling price was up 21.6% to $1,097,565. Leading this price growth was the detached, townhomes and semi-detached markets. Detached homes were up 26.6% to hit $1,402,849. The average price for townhomes was up 20.7% to $870,553, and the average price for semi-detached homes was $1,045,519, a 17.5% increase. Condos saw the smallest growth of 2.6%, making the average price $676,052.

As always, it’s good to remember that real estate is local so check out our chart on the different municipalities across Toronto to see what is happening in your neighbourhood.

For TRREB’s full Toronto Real Estate Market News Report continue reading below.

Home Sales and Listings

  • * Greater Toronto Area REALTORS® reported 15,652 residential transactions through TRREB’s MLS® System. This result was up 97% increase over March 2020.
  • * New listings amounted to22,709 in March 2021 – up on a year-over-year basis by 57.3%.

Home Prices

  • * The average selling price for March 2021 transactions was $1,097,565 – up by 21.6% compared to the average price of $902,787 reported for March 2020. Most housing types experienced annual average price growth in the 416 leading with detached homes up 19.2%, followed by townhomes up 15%, and semi-detached homes by 11.5%. The annual average price for condos in the 416 dropped by 0.7%, however sales in the area increased by 87.9%.
  • * The MLS® Home Price Index Composite Benchmark was up by 16.5%. The overall average selling price was up by 21.6% year-over-year to $1,097,565.

TRREB reports 10,970 sales in February 2021, a 52.5% increase compared to the 7,193 sales reported in February 2020. Although all home types experienced an increase in sales, the condominium segment led the way with a 64.3% increase compared to last year, with a similar rate of increase in the ‘905’ and ‘416’ area code themselves.

“It’s clear that the historic demand for housing experienced in the second half of last year has carried forward into the first quarter of this year with some similar themes, including the continued popularity of suburban low-rise properties. It’s also evident that the supply of listings is not keeping up with demand, which could present an even larger problem once population growth picks up following widespread vaccinations later this year and into 2022,” said TRREB President Lisa Patel.

The average selling price for all home types was up 14.9% to $1,045,488. This is an increase from the average selling price in February 2020, which was $910,142.  February 2021’s numbers indicate that the COVID-19 fears are not keeping buyers and sellers out of the market and their interest in purchasing, or listing their homes, will fuel prices to climb even higher.

The current low interest rates and the confidence in employment situations are pushing the average selling prices of the detached homes in the 905 to $1,300,853. This is a 27.8% increase compared to February 2020. In the 416, or City of Toronto, detached homes sold for $1,684,073, a 13.2% increase year-over-year. Semi-detached homes and townhomes also saw price increases above 20% in the 905 area. In the 416, these homes saw prices increases below 10%. For the condominium segment, prices dropped 6.4% in the 416 area. However, if the sales continue to outstrip the new listings, those prices could also climb, says TRREB Chief Market Analyst Jason Mercer.

As always, it’s good to remember that real estate is local so check out our chart on the different municipalities across Toronto to see what is happening in your neighbourhood.

For TRREB’s full Toronto Real Estate Market News Report continue reading below.

Home Sales and Listings

  • * Greater Toronto Area REALTORS® reported 10,970 residential transactions through TRREB’s MLS® System. This result was up 52.5% increase over February 2020.
  • * New listings amounted to 15,137 in February 2021 – up on a year-over-year basis by 42.6%.

Home Prices

  • * The average selling price for February 2021 transactions was $1,045,488 – up by 14.9% compared to the average price of $910,142 reported for February 2020. Most housing types experienced annual average price growth in the 416 leading with detached homes up 13.2%, followed by semi-detached homes up 9.7%, and townhouses by 7.8%. The annual average price for condos in the 416 dropped by 3.7%, however sales in the area increased by 63.2%.
  • * The MLS® Home Price Index Composite Benchmark was up by 14.8%. The overall average selling price was up by 14.9% year-over-year to $1,045,488.

Toronto real estate market February 2021 home prices

TRREB reports home sales reached 6,928, a 52.4% jump from the 4,546 homes that were sold in January 2020. Home sales growth was across all major segments including condominium apartments, both in the 416 and surrounding GTA regions.

New listings were also up on a year-over-year basis with 9,430 listings in January of 2021, up 20.2% from 7,848 the homes listed in the same month last year. However, new listings were not up by the same annual rate as sales, meaning the market conditions stiffened compared to January 2020, resulting in the continuance of double-digit growth in the MLS® Home Price Index and the average selling price.

The average selling price for January 2021 was $967,885, up 15.5% compared to January 2020. This price growth was driven by the low-rise market segments, while the average condo apartment prices were down in Toronto (-8.0% year-over-year in the 416 area). However, if condo sales continue exceed the condo listings growth, we could see revived growth in condo prices later this year.

Insight from Pierre:

“If December and January are any indication of what the 2021 Toronto Real Estate market will be like, we are set to have a huge year. Previously we had said that homes would see double digit increases, but what we’re starting to see is that downtown Toronto condominiums are really starting to move (similar to the way it was pre-pandemic).Based on what’s happening in January, it looks like spring will come early and it will be a great spring market for Toronto Real Estate. If you are expecting condo prices to go down further, it does not seem like that is happening at all because properties are selling quickly with multiple offer scenarios. If you have been on the sidelines and wanting to buy, now is your chance to get in. Currently all indicators suggest that it will be a huge year for Toronto Real Estate, however there is no real inventory just yet which could be the factor and we’ll only know more in March.”

As always, it’s good to remember that real estate is local so check out our chart on the different municipalities across Toronto to see what is happening in your neighbourhood.

For TRREB’s full Toronto Real Estate Market News Report continue reading below.

Home Sales and Listings

  • * Greater Toronto Area REALTORS® reported 6,928 residential transactions through TRREB’s MLS® System. This result was up 52.4% increase over January 2020.
  • * New listings amounted to 9,430 in January 2022 – up on a year-over-year basis by 20.2%.

Home Prices

  • * The average selling price for January 2021 transactions was $967,885 – up by 15.5% compared to the average price of $838,087 reported for January 2020. Most housing types experienced annual average price growth in the 416 leading with semi-detached up 21.5%, followed by detached homes up 16.0%, and townhouses up 4.1%. The annual average price for condos in the 416 dropped by 8.0%.
  • * The MLS® Home Price Index Composite Benchmark was up by 11.9%. The overall average selling price was up by 15.5% year-over-year to $967,885.

Toronto real estate market January 2021 home prices

After a pronounced dip in market activity between mid-March and the end of May, market conditions improved dramatically in the second half of the year, with multiple consecutive months of record sales and average selling prices.

The number of homes sold in 2020 in the Greater Toronto Area totalled to 95,151, up from 87,751 in 2019, making it the third best year on record, according to the board. This includes a record result for the month of December, with 7,180 home sales, a year-over-year increase of 64.5%. Condos and detached home sales led the way for month of December 2020 in the City of Toronto.

Insight from Pierre:

“It’s important to remember that TRREB market reports are a general overview of statistics that are amalgamated from every district. It’s not an accurate way to really gauge what’s going on as Real Estate is a local market that needs to be looked at and compared through the specific area and type of property that you own.

For 2020, you probably saw reports that the average prices have gone up by 11.2%. This is because the 905 areas experienced gains as during the Covid-19 lockdown people were looking for more space and moving out of the city provided a cheaper alternative allowing this sector of the market to go up. Consequently, one of the areas that saw a decline was the condominium sector in downtown Toronto. This reason behind this is that during the lockdown most people wanted to have more space, so they moved out of the city causing a surplus of inventory that pushed prices downwards. Another factor was over 6,000 students not being in school, which allowed properties to remain vacant, and causing more investors to sell their properties and add downward pressure on pricing. This is exactly why you should not be looking at reports that talk about average pricing because it is not specific  to your particular sector or type of property necessarily. 

July and August of 2020, which are traditionally slow months, were excellent for Real Estate. I think this was due to Toronto entering Stage 2 and 3 for the Covid-19 reopening framework, as it allowed people to get back out in the market. Traditionally, the spring and fall market are the busiest times for Toronto Real Estate. As a result, when September rolled around, the normal amount of inventory came on but did not get absorbed which caused the market to go down for the first time since the global financial crisis in 2008.  

A lot of people ask me if it is a good time to buy right now and it’s important to take a look at what history has shown us. In the 14 years that I have been a Broker, condominium prices have only come down only once and that was during the 2008 financial crisis. The depression in prices lasted 6 months where prices dropped 5-10%, and then after 6 months they went up 10-20% higher than they were before. The depression was short lived, and those who made the most amount of money were the people who acted during this period of time. I always caution people that our current situation due to the Covid-19 pandemic could be short lived given that it is circumstantial, and there seems to be an end to this apocalypse in sight. 

In December, we saw properties that had been on the market for a long time, starting to sell. Everything started selling, including homes and condos that had been on the market for months and that were passed up by every buyer. In my opinion, this happened because traditionally people do not list their properties in the winter as it is a slower period of time. Many people had taken their property off the market which is usually pretty typical, and what this did was create a lack of inventory which allowed the market to move again and prices to nudge upwards. 

As for what could happen in the future, the big tell will be the spring Real Estate market as one of two things may happen. One, the trend we are seeing this winter could continue and the lack of inventory will cause prices to continue upwards until the spring when we see more inventory come on. At this point we would likely see a normal spring market pattern. Alternatively, we could wind up getting a lot more inventory than the amount of buyers to support it (similar to September 2020), causing the market to stay flat. I see the latter situation being a potential for the condominium sector as there are a lot of condominiums available, but considering schools will not be back until September 2021, the recovery for this sector could take longer. Having said that, the price delta between houses and condominiums is starting to spread again rather quickly and if this happens it will also force more people back into the condominium market as that will be the more affordable option. I’m expecting zero slow down for the freehold/houses in the city. I see it being a big year for equity growth and if you are a savvy investor and looking to enter the Real Estate market, now could be your last opportunity to get into the condominium market at a depressed value of what it was. This opportunity could be short lived, as we may have already seen a bottom and we could see a very rapid recovery like we did in 2008.”

As always, it’s good to remember that real estate is local so check out our chart on the different municipalities across Toronto to see what is happening in your neighbourhood.

For TRREB’s full Toronto Real Estate Market News Report continue reading below.

Home Sales and Listings

  • * Greater Toronto Area REALTORS® reported 7,180 residential transactions through TRREB’s MLS® System. This result was up 64.5% increase over December 2019.
  • * New listings amounted to 5,865 in December 2020 – up on a year-over-year basis by 66.1%.

Home Prices

  • * The average selling price for December 2020 transactions was $932,222 – up by 11.2% compared to the average price of $838,662 reported for December 2019. Most housing types experienced annual average price growth in the 416 leading with townhomes up 17.6%, followed by semi-detached homes up 15.3%, and detached homes up 8.1%. The annual average price for condos in the 416 dropped by 4.7%.
  • * The MLS® Home Price Index Composite Benchmark was up by 11.1%. The overall average selling price was up by 11.2% year-over-year to $932,222.

Toronto real estate market December 2020 home prices

According to the November Toronto Regional Real Estate Board (TRREB) market report, the average selling price in Toronto was $955,615. This average is up 13.3% from $843,307 a year earlier. Board president Lisa Patel says homebuyers continued to take advantage of very low borrowing costs in November, especially those looking to buy some form of single-family home. Along with the increase in average selling price y-o-y, new listings were up 33.5% y-o-y, and active listings up 15.4% y-o-y.

While detached home prices in the Greater Toronto Area rose to an average of $1,202,281, up 15.2% from November 2019, the average condo prices fell 2% to $605,863. However, for the second consecutive month, the number of new condo listings was about double last year’s levels. “The condominium apartment market is certainly more balanced than in previous years, with some buyers benefitting from lower selling prices compared to last year. However, this may be somewhat of a short-term phenomenon. Once we move into the post-COVID period, we will start to see a resumption of population growth, both from immigration and a return of non-permanent residents. This will lead to an increase in demand for condominium apartments in the ownership and rental markets,” said Jason Mercer, TRREB Chief Market Analyst.

As always, it’s good to remember that real estate is local so check out our chart on the different municipalities across Toronto to see what is happening in your neighbourhood.

For TRREB’s full Toronto Real Estate Market News Report continue reading below.

Home Sales and Listings

  • * Greater Toronto Area REALTORS® reported 8,766 residential transactions through TRREB’s MLS® System. This result was up 24.3% increase over November 2019
  • * New listings amounted to 11,545 in November 2020 – up on a year-over-year basis by 33.5%.

Home Prices

  • * The average selling price for November 2020 transactions was $955,615 – up by 13.3% compared to the average price of $843,307 reported for November 2019. Most housing types experienced annual average price growth in the 416 leading with semi-detached homes up 8.8%, followed by detached homes up 8.7%, townhomes up 7.3% and condos down 3%.
  • * The MLS® Home Price Index Composite Benchmark was up by 10.6%. The overall average selling price was up by 13.3 year-over-year to $955,615.

Toronto real estate market October 2020 home prices

Toronto home sales and prices have been climbing over the past few months, even as the city remains affected by the COVID-19 pandemic, and October was no exception.

According to the October Toronto Regional Retail Estate Board (TRREB) market report, the average selling price in Toronto was $968,218. This average is up 13.7% year-over-year. This is yet another record-high in Toronto’s Real Estate market, which has been climbing to unprecedented levels since June 2020. Along with the increase in sales, new listings were up 36.4% y-o-y, and active listings up 12.6% y-o-y.

Lisa Patel, TRREB’s President states, “Competition between buyers of single-family homes, and particularly detached houses, remained strong last month and continued to support double-digit annual rates of price growth in many GTA neighbourhoods. In contrast, condo buyers have benefitted from much more choice compared to last year. Pre-COVID polling had already pointed to an increase in investor selling in 2020. The pandemic only added to this trend with a stall in economic growth and a halt to tourism impacting cashflows for many investors.”

We did see y-o-y growth rates for sales and new listings diverge in some market segments. In the 416 or Toronto Proper, detached homes lead price gains at 11.2%, followed by semi-detached at 4.8%, townhomes at 4.1% and condos at 0.8%

Jason Mercer, TREB’s Chief Market Analyst says, “Year-to-date home sales through October were above last year’s level. The economic recovery in some sectors coupled with low borrowing costs has kept home purchases top-of-mind for many GTA residents. With this being said, we have not accounted for all of the pent-up demand that resulted from the spring downturn. Expect record or near-record home sales for the remainder of 2020.”

As always, it’s good to remember that real estate is local so check out our chart on the different municipalities across Toronto to see what is happening in your neighbourhood.

For TRREB’s full Toronto Real Estate Market News Report continue reading below.

Home Sales and Listings

  • Greater Toronto Area REALTORS® reported 10,563 residential transactions through TRREB’s MLS® System. This result was up 25.1% per cent increase over October 2019
  • New listings amounted to 17,802 in October 2020 – up on a year-over-year basis by 36.4 per cent.

Home Prices

  • The average selling price for October 2020 transactions was $968,318 – up by 13.7 per cent compared to the average price of $851,877 reported for October 2019. All housing types experienced annual average price growth in the 416 leading with detached homes up 11.2 per cent, followed by semi-detached homes up 4.8 per cent, townhomes up 4.1 per cent and condos up 0.8 per cent.
  • The MLS® Home Price Index Composite Benchmark was up by 10.8 per cent. The overall average selling price was up by 13.7 per cent year-over-year to $968,318.

Toronto real estate market October 2020 home prices

President of Toronto Regional Real Estate Board announces a strong rebound for the month of September in the Greater Toronto Area with 11,083 residential sales through TRREB’s MLS System – up by 25.1 per cent compared to September 2019. Sales through the first nine months of 2020 were up by approximately one per cent compared to the same period in 2019.

Patel states that there is still pent-up demand from the spring downturn. There still needs to be improvements in the economy such as job growth to support home sales moving forward. COVID-19 is unpredictable and monitoring the government policy response and impact on jobs directly relates to consumer confidence.

The MLS® Home Price Index Composite Benchmark was up by 11.6 per cent in September 2020 compared to September 2019. However, when breaking down the numbers, the price growth trend is less clear. Detached homes typical home price advanced to $1,069,500, up 12.9 per cent from last year. If we are looking at condo pricing, the rate of growth actually fell. Detached home sales increased by almost 4 times condo apartment sales. The volume of detached homes is twice that of condos at this time. There has been a huge bump in sales and price growth as many sellers in the City are hitting the market. There were 20,420 new listings in September, up 30.8% from last year and 8,689 of the new listings were in the city of Toronto – up 49.6 per cent from last year. New listings increased at a faster pace than sales meaning that there is a lack of inventory in the suburbs and the City approached a buyer’s market.

Jason Mercer, TRREB’s Chief Market Analyst states “On a GTA-wide basis, market conditions tightened in September relative to last year, with sales increasing at a faster pace than new listings. With competition between buyers increasing noticeably, double-digit year-over-year price growth was commonplace throughout the region in September, resulting in the overall average selling price reaching a new record,”.

As always, it’s good to remember that real estate is local so check out our chart on the different municipalities across Toronto to see what is happening in your neighbourhood.

For TRREB’s full Toronto Real Estate Market News Report continue reading below.

Home Sales and Listings

  • Greater Toronto Area REALTORS® reported 11,083 residential transactions through TRREB’s MLS® System. This result was up a record-breaking 42.3% per cent increase over September 2019
  • New listings amounted to 20,420 in September 2020 – up on a year-over-year basis by 30.8 per cent.

Home Prices

  • The average selling price for September 2020 transactions was $960,772 – up by 14.0 per cent compared to the average price of $842,421 reported for September 2019. All housing types experienced annual average price growth in the 416 leading with semi-detached homes up 48.8 per cent, followed by detached up 28.1 per cent, townhomes up 21.5 per cent and condos up 7.0 per cent.
  • The MLS® Home Price Index Composite Benchmark was up by 11.6 per cent. The overall average selling price was up by 14 per cent year-over-year to $960,772.
  • Year-over-year growth in sales remained high in the high single digits. Especially notable were the low-rise home types.
President of Toronto Regional Real Estate Board announces a strong rebound for the month of August in the Greater Toronto Area with 10,775 residential sales through TRREB’s MLS System – up by 40.3 per cent compared to August 2019.

10,775 sales through TRREB’s MLS® System in August 2020 – a 40.3 per cent increase over August 2019 and a new record for the month of August. Overall average selling price up 20.1 per cent from $792,134 (August 2019) to $951,404.

The MLS® Home Price Index Composite Benchmark was up by 11.1 per cent in August 2020 compared to August 2019. Over the same period, the overall average selling price was up by 20.1 per cent to $951,404. Annual detached and semi-detached sales growth was stronger in the comparatively more-expensive City of Toronto compared to the surrounding GTA regions, which helps explain why growth in the overall average selling price outstripped growth in the MLS® HPI Composite Benchmark.

The pandemic has moved the busy spring Real Estate season through the summer as GTA home prices hit another record last month. The market saw a surge of condo listings and buyers competing for detached and semi-detached houses. Lisa Patel, Toronto Regional Real Estate Board (TRREB) President states that “Increased demand for ownership housing has been based on improving economic conditions, in terms of monthly GDP growth and job creation, and the continuation of very low borrowing costs. In addition, fewer households have chosen to go on vacation as a result of COVID-19 and instead have remained in the GTA and been active in the housing market, satisfying pent-up demand from the spring,”. Jason Mercer, TRREB’s Chief Market Analyst continues “…market conditions remained very tight in the GTA resale market in August. Competition between buyers was especially strong for low-rise home types, leading to robust annual rates of price growth. However, with growth in condominium apartment listings well-outstripping condo sales growth, condo market conditions were comparatively more balanced, which was reflected in a slower pace of price growth in that segment,”.

In an overall tight market, there was a 68.5 per cent increase in the number of new apartment condo listings this year compared to last resulting in a 9.5 per cent rise in the average condo sale price in the GTA to $629,643. Condo sales rose 10.9 per cent across the GTA, but the 905 communities saw the biggest jump in condo transitions at 14.5 per cent compared to 9.2 per cent in the city of Toronto. Detached houses in the City of Toronto sold for about $1.5 million on average which is a 21.4 per cent increase compared to last August. Buyers are competing for detached and semi-detached houses likely due to signs that COVID-19 has people seeking space on the ground. The 1,099 detached house transactions in Toronto represent a 63.5 per cent year-over-year increase. The semi-detached home sales were 80 per cent above last August.

As always, it’s good to remember that real estate is local so check out our chart on the different municipalities across Toronto to see what is happening in your neighbourhood.

For TRREB’s full Toronto Real Estate Market News Report continue reading below.

Home Sales and Listings

  • Greater Toronto Area REALTORS® reported 10,775 residential transactions through TRREB’s MLS® System. This result was up a record breaking 40.3% per cent increase over August 2019
  • New listings amounted to 18,491 in August 2020 – up on a year-over-year basis by 56.8 per cent.

Home Prices

  • The average selling price for August 2020 transactions was $951,404 – up by 20.1 per cent compared to the average price of $792,134 reported for August 2019. All housing types experienced annual average price growth, leading with the semi-detached homes up 81.2 per cent, followed by detached up 65.3 per cent, townhomes up 43.3 per cent and condos up 9.2 per cent.
  • The MLS® Home Price Index Composite Benchmark was up by 11.1 per cent. The overall average selling price was up by 20.1 per cent year-over-year to $951,404.

Year-over-year growth in sales remained high in the high single digits. Especially notable were the low-rise home types.

The July 2020 MLS® Home Price Index (HPI) Composite Benchmark was up by 10 per cent compared to July 2019. The overall average selling price was up by 16.9 per cent year-over-year to $943,710. On a preliminary seasonally adjusted basis, the average selling price was up by 5.5 per cent compared to June 2020.

In the city of Toronto alone, sales were up on a year-over-year by 15 per cent and 26 per cent month-over-month. The average price across all housing types has also increased 17 per cent year-over-year in the Toronto region to $943,710 and 17 per cent to $1,017,320 in the city of Toronto. Patel states that “Normally we would see sales dip in July relative to June as more households take vacation, especially with children out of school. This year, however, was different with pent-up demand from the COVID-19-related lull in April and May being satisfied in the summer, as economic recovery takes firmer hold, including the Stage 3 re-opening. In addition, fewer people are travelling, which has likely translated into more transactions and listings…”. Buyers who have the ability to work from home are seeking larger properties outside of the city’s core which has sparked remarkable growth in sales activity in Toronto’s surrounding regions for the month of July.

Areas surrounding the City of Toronto with substantial growth in sales include Durham, Halton, Peel and York regions. Durham region saw a steep increase in home sales this July by 52 per cent but buyers face competition with only 1,905 listings hitting the market. The SNLR (sales-to-new-listings ratio) for Durham was 83% which means fewer homes are available relative to the demand. Halton region also faced strong competition in July with the number of homes being sold at 1,198 compared to 1,619 new listings being added to the market. In Peel region, the market exhibited seller’s market conditions with the SNLR at 66% (home sales at +29% and home listings at +23%). In York Region, the housing competition was fairly balanced with a SNLR of 56% (home sales at +28% and home listings at +14%). Although the City of Toronto home sales have risen at the slowest relative pace, detached and semi-detached sales are still in the double digits.

As always, it’s good to remember that real estate is local so check out our chart on the different municipalities across Toronto to see what is happening in your neighbourhood.

For TRREB’s full Toronto Real Estate Market News Report continue reading below.

Home Sales and Listings

  • Greater Toronto Area REALTORS® reported 11,081 residential transactions through TRREB’s MLS® System. This result was up a record breaking 29.5% per cent increase over July 2019
  • New listings amounted to 17,956 in July 2020 – up on a year-over-year basis by 24.7 per cent.

Home Prices

  • The average selling price for July 2020 transactions was $943,710 – up by 16.9 per cent compared to the average price of $806,971 reported for July 2019. All housing types experienced annual average price growth, leading with the semi-detached homes up 36.3 per cent, followed by detached up 27.5 per cent, townhomes up 20.2 per cent and condos up 4.7 per cent.
  • The MLS® Home Price Index Composite Benchmark was up by 10 per cent y. The overall average selling price was up by 16.9 per cent year-over-year to $943,710. On a preliminary seasonally adjusted basis, the average selling price was up by 5.5 per cent compared to June 2020.
  • Year-over-year growth in sales remained high in the high single digits. Especially notable were the low-rise home types.

The month of June shows a very substantial increase in sales due to the movement to reopen the economy following COVID-19. Although we are still in early days of recovery, there is pent up demand in the market. Notable growth is reported to be in the detached and townhouse market segments in the GTA regions surrounding the City of Toronto. Toronto Regional Real Estate Board President Lisa Patel announced that Greater Toronto Area REALTORS® reported 8,701 sales through TRREB’s MLS® System in June 2020. In comparison to the May 2020 sales report, the increase is both on an actual (+89 per cent) and seasonally adjusted basis (+84 per cent). TREBB CEO John DiMichele states that “It will be important to closely monitor housing market conditions as economic recovery continues in the second half of 2020 and into 2021”. Although COVID-19 had a significant impact on the market, in order to ensure long-term affordability in the GTA, supply should be top-of-mind.

For the month of June, the average selling price of all home types combined was $930,869, up 11.9 per cent compared to June 2019. The actual and seasonally-adjusted average selling price was also up compared to May 2020 by 7.8 per cent and 9.8 per cent. Average price growth in the Toronto Proper (416) reports that all home types are up year-over-year leading with semi-detached homes up 22.0 per cent. Detached homes are next with a growth of 14.3 per cent followed by townhomes (+6.2 per cent) and condos (+5.6 per cent). This points to an upturn in the higher-end market segments. Jason Mercer, TREBB’s Chief Analyst states that “the housing market is an important driver of economic recovery for 2020 and 2021”.

As always, it’s good to remember that real estate is local so check out our chart on the different municipalities across Toronto to see what is happening in your neighbourhood.

For TRREB’s full Toronto Real Estate Market News Report continue reading below.

Home Sales and Listings

  • Greater Toronto Area REALTORS® reported 8,701 residential transactions through TRREB’s MLS® System. This result was only down by 1.4 per cent compared to June 2019.
  • New listings amounted to 16,153 in June 2020 – up on a year-over-year basis by 2.1 per cent.

Home Prices

  • The average selling price for June 2020 transactions was $930,869 – up by 11.9 per cent compared to the average price of $831,882 reported for June 2019. All housing types experienced annual average price growth, leading with the semi-detached homes up 22 per cent, followed by detached up 14.3 per cent, townhomes up 6.2 per cent and condos up 5.6 per cent.
  • The MLS® Home Price Index Composite Benchmark was up by 8.2 per cent year-over-year in June. This, coupled with the fact that average selling price growth outstripped growth in the MLS® HPI benchmarks, points to a resurgence in the higher-end market segments.
  • Year-over-year growth in sales was reported in some areas and market segments. Especially notable were the detached and townhouse market segments in the GTA regions surrounding the City of Toronto.

The Toronto real estate market began to really pick up in the month of May. The TRREB stats for May 2020 show more activity and higher sales than April 2020 but of course the market is still down from this time last year. In May 2020 the sales dipped 53.7% from the May 2019 report, but on a month-to-month basis from April 2020 to May 2020, the rise in sales has been 55.2%. There is still continued impact on the real estate market due to COVID-19, but we are starting to see a light at the end of the tunnel. Although necessary social distancing regulations are still in place, realtors have been able to facilitate many transactions through virtual open houses and one on one appointments. We anticipate that we will continue to see a rise in sales as Doug Ford implements each new stage in his plan to open the city and get it back to ‘normal’.

For the month of May 2020 TRREB reported that the average price of homes is $863,599, up 3% from last year at this time. However, when it comes to the Toronto proper we are seeing a much more positive outlook. Leading the price growth in Toronto Proper (416) are semi-detached homes, up 8.8% year-over-year, followed by condos up 5.0% and detached up 2.7% while townhomes have dropped -0.2%.

As always, it’s good to remember that real estate is local so check out our chart on the different municipalities across Toronto to see what is happening in your neighbourhood.

For TRREB’s full Toronto Real Estate Market News Report continue reading below.

Home Sales and Listings

  • Greater Toronto Area REALTORS® reported 4,606 residential transactions through TRREB’s MLS® System. This result was down by 53.7% per cent compared to May 2019.
  • New listings amounted to 9,104 in May 2020 – down on a year-over-year basis by a similar rate compared to sales (-53.7%).

Home Prices

  • The average selling price for May 2020 transactions was $838,248 – up by 3 per cent compared to the average price of $863,599 reported for May 2019. The semi-detached and townhouse market segments experienced annual average price growth above the rate of inflation. The condominium apartment and detached segments experienced year-over-year price declines on average.
  • The MLS® Home Price Index Composite Benchmark price was virtually unchanged in May 2020 compared to April 2020. On a year-over-year basis, the composite benchmark was up by 9.4 per cent
  • The difference in year-over-year growth between the MLS® HPI Composite Benchmark and the average selling price was related to the fact that home sales in the City of Toronto, particularly in the detached segment, were down by a greater annual rate than overall sales in the GTA. This resulted in a compositional impact on the overall average selling price.

Amidst a global pandemic the Toronto real estate market appears to be holding steady in April as demand slows and the listing supply depletes.

Real Estate Home Prices Hold Steady as Sales and New Listings Fall 67% and 64.1%

Amidst a global pandemic the Toronto real estate market appears to be holding steady as demand slows and the listing supply depletes.

Toronto real estate sales were down 67% as new listings fall 64.1% from April 2019. The semi-detached and townhome segments in Toronto remain up 4% and 3.5% over their 2019 prices while the condo and detached segments are down 4% and 7.8% respectively. The average GTA selling price for April 2020 transactions was $821,392 – up 0.1% from April of 2019.

Although there are many waiting and hoping for Toronto prices to dip, there hasn’t been a rush of new inventory to hit the market as most sellers choose to hold off. Without this rush of new inventory — especially in Toronto’s market of limited housing inventory and a finite demand — prices have held steady amidst this pandemic.

The market however, is a little softer, more days on market is the norm but special properties are continuing to sell quickly in multiple offer scenarios.

The April 2020 numbers are showing that if you’re a prospective first-time buyer looking to purchase a condo — now is the time to do so. While move-up buyers looking to get into a detached home can take advantage of the lower detached prices and increasing townhome, and semi-detached prices.

Ford’s announcement yesterday highlights the most recent Covid-19 numbers and shows promise, and a light at the end of the tunnel. As restrictions begin to lighten in Toronto we expect the market to bounce back – and quickly.

For TREB’s full Toronto Real Estate Market News Report continue reading below.

Home Sales and Listings

  • Greater Toronto Area REALTORS® reported 2,975 residential transactions through TRREB’s MLS® System. This result was down by 67 per cent compared to April 2019. Weekday sales remained within a relatively steady range during the month, averaging 130 per day.
  • New listings amounted to 6,174 in April 2020 – down on a year-over-year basis by a similar rate compared to sales (-64.1 per cent).

Home Prices

  • The average selling price for April 2020 transactions was $821,392 – up by 0.1 per cent compared to the average price of $820,373 reported for April 2019. The semi-detached and townhouse market segments experienced annual average price growth above the rate of inflation. The condominium apartment and detached segments experienced year-over-year price declines on average.
  • The trend for the MLS® Home Price Index Composite Benchmark, which had been on an upward trajectory since the beginning of 2019 flattened in April. On a year-over-year basis, the Benchmark was up by 10 per cent.
  • The MLS® HPI indices represent prices for typical homes with consistent attributes from one period to the next. The fact that the MLS® HPI was up year-over-year by a greater rate than the average selling price suggests that the share of higher end deals completed in April 2020 versus April 2019 was down.

Toronto Real Estate Market Sees Decline in Transactions in Last Half of March 2020

This year’s Spring market will be one for the books as it was a little different in comparison to previous years.

Amidst Covid-19, work from home and stay at home recommendations the Toronto real estate market has seen almost a ‘split’ March. There was a clear break in market activity between the pre-COVID-19 and post-COVID-19 periods. The market was up by 50% in terms of transactions for the first half of March and then down 15% for the second half of the month after Covid-19 hit. The number of trades and new listings has dropped a tell tale that most buyers and sellers are waiting until after the crisis is over to re-enter the market

Although we’d usually be in full swing of spring market, less and less  properties are coming to market each day. For March as a whole, new listings were up by only 3%. However, similar to sales, new listings dropped during the second half of the month by 18.4%. Those who do not NEED to sell are not listing which is depleting the market of necessary inventory. Most of the buyers looking right now are looking for a deal and those sellers who do not NEED to liquidate are sitting on the sidelines until the market has rebounded. For these sellers it makes sense to hold onto their largest asset until they are confident that the market has returned to ‘normal’.

The economic impact of Covid-19 may have large effects on the lower end of the housing market. Would-be first-time buyers may choose to continue to rent for another year while they continue to save up the necessary funds needed for a deposit and this may take more time than originally anticipated due to the financial impacts of Covid-19.

For TREB’s full Toronto Real Estate Market News Report continue reading below.

TORONTO, ONTARIO, April 3, 2020 – Toronto Regional Real Estate Board President Michael Collins announced that Greater Toronto Area REALTORS® reported 8,012 home sales through TRREB’s MLS® System in March 2020 – up by 12.3 per cent compared to 7,132 sales reported in March 2019.

However, despite a strong increase in sales for March 2020 as a whole, there was a clear break in market activity between the pre-COVID-19 and post-COVID-19 periods. For the purposes of this release, the start of the post-COVID-19 period was the week beginning Sunday, March 15.

• The overall March sales result was clearly driven by the first two weeks of the month. There were 4,643 sales reported in the pre-COVID-19 period, accounting for 58 per cent of total transactions and representing a 49 per cent increase compared to the first 14 days of March 2019.

• There were 3,369 sales reported during the post-COVID-period – down by 15.9 per cent compared to the same period in March 2019.

For March as a whole, new listings were up by three per cent year-over-year to 14,424. However, similar to sales, new listings dropped on a year-over-year basis during the second half of the month (beginning March 15) by 18.4 per cent.

The MLS® Home Price Index Composite Benchmark price was up by 11.1 per cent year-over-year in March 2020. The average selling price for March 2020 as a whole was $902,680 – up 14.5 per cent compared to March 2019. The average selling price for sales reported between March 15 and March 31, was $862,563 – down from the first half of March 2020, but still up by 10.5 per cent compared to the same period last year

All Home Types Experienced Double-Digit Gains in February 2020

Following January’s unusually strong start, February 2020 home prices continue to see positive change. The TREB average home price now stands at $910,290 up 16.7% year-over-year. In the City of Toronto specifically, the average home price is up 17.7% y-o-y to $989,218.

All home types saw double-digit gains this month. Leading the price growth in Toronto Proper (416) are condos, up 18% year-over-year, followed by detached homes up 14.4%, and finally semi-detached homes and townhomes up 10.6% and 10.5% respectively.

Accelerated price growth is attributed largely to the ongoing competition between buyers. Buyers who lost in bidding wars in January are forced to be more aggressive with their offer strategies.

While February 2019 had experienced a ten year low in terms of home sales with only 4,982 transactions  we saw this turn around in February 2020 with sales up 45.6% for a total of 7,256 transactions. Though this number still sits below the 2017 record.

february 2020 toronto home prices

Detached Toronto Homes Lead Toronto Price Growth Up 16.7%

January 2020 has kicked the real estate market off with a bit of a bang. Unlike the precedented slow start we usually see, the TREB market has realized 15.4% year-over-year sales growth. Continuing with the same trends seen in the last quarter of 2019 is a strong growth in sales coupled with a decrease in available listings leading to tighter market conditions.

TREB average sale price has increased 12.3% year-over-year. When we isolate Toronto sales detached Toronto homes are leading the way for the first time in a quite a while up 16.7% y-o-y followed closely by condos at 15% and semi-detached homes at 1.1%.

TREB President, Michael Collins equates this to steady population growth, low unemployment and low borrowing costs underpinning substantial competition between buyers.

At Pierre Carapetian Group, we’ve definitely noticed an increase in activity this January. Strong competition seems to almost be an understatement in Toronto as many homes have pushed double-digit multiple buyer bidding wars. Competition has been fierce and there is no sign of this cooling off in the near future.

If you’re considering buying this year be ready to jump into the market early and be prepared to loose out on a few offers before you win.

january average home price 2020

Sales Up While New Listing Supply Remains Low

In December Toronto real estate sales saw an increase of 17.4% year-over-year. Many Toronto home buyers returned from the sidelines in the Spring of 2019 which lead to a recovery in sales activity for the latter half of 2019. While sales may have been up in December, new listings remained low, down by 2.4% y-o-y. Just like the previous months before, tighter market conditions translated into accelerated price growth.

In the Toronto Proper, detached homes lead December price growth up 19.5% year-over-year followed by condos up 10.3%, semi-detached homes 6.9% and townhomes at 0.4%

Expect Further Price Growth in 2020

As we put 2019 in the rear view, so too are the final impacts of the mortgage stress test and 2017’s fair housing acts.

TREB’s Chief Market Analyst urges buyers to expect further price acceleration in 2020 if there is no relief on the supply front. And, quite honestly, I don’t see this happening in the near future. Toronto is continuing to build and sell new condos at an all time rate but it doesn’t match the need for supply or the future expected immigration that will continue to put pressure on Toronto housing.

The average selling price in December 2019 was $837,788 – up almost 12% y-o-y ending 2019 on a very strong note.

2019 Average Prices Up 4% Over 2018

On a yearly basis Toronto home sales amounted to 87,825 sales up 12.6% from the decade low of 2018 and generally in line with the median annual sales results of the last decade. For calendar year 2019, the average selling price was $819,319 – up by four per cent compared to $787,856 in 2018.

Toronto Average home prices December 2019

Toronto Real Estate Sales Up 14.2%, Sale Prices Up 7.1% in Highest Price Gain of 2019

November 2019 has been another strong month for Toronto’s real estate market. Sales are up year-over-year by 14.2% in November 2019. GTA-wide sales were up y-o-y for all major market segments. In the 416 or Toronto Proper, condos lead price gains at 10.9%, followed by detached home at 4.9%, townhomes at 3.2% and semi-detached at 0.3%.

Despite the increase in sales, new listings were down 17.9% y-o-y and active listings down 27.2% y-o-y. This has led conditions in the Toronto Real Estate Market to continue to tighten in the last quarter of this year with increased sales up against an increasingly constrained supply of listings. This increased competition among buyers has lead to a continued acceleration of the annual rate of price growth. The average sale price increased by 7.1% y-o-y to $843,637.

Michael Collins, Toronto Real Estate Board President attributes the most recent uptick in sales to the fact that many buyers likely have adjusted their preferences, changing the type and/or location of home they ultimately chose to purchase now that the 2017 Ontario Fair Housing Plan and stress test have set in with buyers.

Jason Mercer, TREB’s Chief Market Analyst says, “We should expect the rate of price growth to increase further if we see no relief on the listings supply front.”

Toronto November Home Prices 2019

Average Home Prices Rise 5.5% Amid Tight Market Conditions

The Toronto real estate market continued to tighten in October 2019. Amongst even tighter market conditions new listings fell 9.6% and the average home price rose 5.5% year-over-year.

As the trend of annual growth in sales versus annual decline in new listings continued into October 2019 Michael Collins, Toronto Real Estate Board President notes, “The problem is that the supply of available listings is actually dropping, resulting in tighter market conditions and accelerating price growth.” He says this as the trend of annual growth in sales versus annual decline in new listings continued into October 2019.

This months trends lead the Financial Post to describe Toronto’s real estate sales as, “the biggest jump since December 2017 [the year the market peaked].” And what a month it has been. In October 2019 we’ve watched as sales rose 14% year-over-year.

GTA-wide sales were up y-o-y for all major home types. While in the Toronto Proper, condos lead this price growth up 9.6% year-over-year followed by semi-detached homes up 7.1%, townhomes up 3.5% and detached homes up 1.1%.

Stronger and continued price growth is likely to continue as sales outpace new listing growth in Toronto. Leading this trend is a growing population due to high levels of immigration and steady mortgage rates holds.

october 2019 average home prices

Toronto Real Estate Sales Up 22%, Prices up 5.8% in September 2019 Y-O-Y

September is typically noted in the Toronto real estate market as the peak of the fall market and this year appears to be no different. Sales were up 22% from September of 2018.

Sales levels however continue to remain well below the record breaking September 2016 peak of more than 9,800 sales. With new listings down 1.9% from already previously low levels in 2018, and active listings down 14.1% y-o-y, lower sales levels are to be expected.

Despite lower sales levels, tighter inventory has led to continued annual price growth. The annual rate of price growth in September actually reached its highest point so far in 2019. The average sale price in Toronto rose 5.8% y-o-y to $843,115 from $796,782. On a preliminary seasonally adjusted basis, the September 2019 average selling price was up 1.2% compared to August 2019.

As always, please check your local Toronto neighbourhood and municipality in the map chart above or chart below to see how your neighbourhood is performing.

september 2019 average home prices

New Listings Down as Toronto Real Market Tightens

The Toronto real estate market sees a return to moderate price growth as sales rebound and listing supply tightens in August 2019. But competition between buyers has begun to heat up.

In the GTA sales are up year-over-year with the strongest annual rates of sales growth in the detached market. This reflects a rebound from the low volume of expensive home sales in 2018. The average sale price across the GTA $792,611 up 3.6% y-o-y and the condo segment continues to lead the market in price growth.

The Toronto market however grows tighter in August as sales rise but new listings were down 3% and overall active listings were down 11% y-o-y. Semi-detached homes lead Toronto’s price growth at 7.3%, followed by condos at 5.7%, townhomes at 4.1% and finally detached homes at 0.3%

August 2019 Toronto Average Home Prices

Toronto Real Estate Market Sales up 24.3% in July, Prices up 3.2%

Toronto’s growth in sales this past month far outweigh new listings. This has lead to a further tightening of the Toronto real estate market as we move into what is typically a slower month — August.

New listings were down 9% year-over-year, sales were up 24.3% and prices increased by 3.2% year-over-year to $806,755. Tighter market conditions, increased competition — especially in the entry-level and higher density market segments — has lead to continue price growth

As we look to the Toronto Proper or the 416 we can see that Toronto’s detached home market is the only Toronto market not realizing positive sales and price growth. Toronto condos are leading price growth up, 7.7% y-o-y, followed by townhomes, up 5.5% and the semi-detached market up 5%.As always though, we want to get local. Check out your local Toronto municipalities in the chart above.

It’ll be interesting to watch and see what happens for the coming month of August. Typically a slower summer month for Toronto real estate, but we still have many buyers committed to their hunt this August. With Canada’s recent decrease to its mortgage rates and ultimately the Stress Test rate — it’ll be interesting to see what happens. But personally I’m expecting it to remain busy.

July 2019 Toronto Average Home Prices

Toronto Real Estate Sales Up 10.4%, Prices Up 3% in June Y-O-Y

It’s been a busy first half of the year for the Toronto Real Estate market. With new listings remaining at similar levels to that of 2018 but an healthy increase in sales, market conditions have once again begun to tighten.

For Q1 and Q2 of 2019, sales were up overall by 8.5%. With inventory remaining at similar levels to last year, competition between buyers has increased which has lead to renewed price growth in a number of municipalities.

Sales in June this year picked up 10.4% when compared to June 2018 and the overall selling price was up 3% to $832,703. Leading this overall price growth as usual is the condo, townhome and semi-detached markets.

The Toronto Real Estate Board’s new President, Michael Collins credits Toronto growing employment, population and overall diversity as large contributing factor of Toronto’s growth rate.

Anecdotally, we’ve noticed an increase in buyers in the Downtown Core this spring. After an initial slow start — perhaps weather related — the market began to heat up this Spring.

But ,without an increase in new listings this year’s market conditions have tightened and price growth has picked up, especially for high-density home types, specially Toronto’s condo market.

Toronto real estate market june 2019 home prices

It’s been a good month for the Toronto real estate market this past May. Sales have been steadily climbing and in May the Toronto real estate market saw a major increase in sales, up 18.9% year-over-year, TREB’s reported 15-year monthly low.

Following trend, average home prices are also up in the GTA by 3.6% to $838,540. As always though, we are focused on the 416 (Toronto Proper) which has realized even greater year-over-year gains of 7.8% to $937,804.

Leading this year-over-year price growth (as usual) is Toronto’s most affordable market, the condo market up 6.6% year-over-year, followed by townhomes up 6.2%, detached homes up 1.5% and semis down 0.2% year-over-year.

However, even though sales are up, they are still below the month of May’s 10-year average. With new listing only up slightly in may by 0.8% to 19,385 it’s clear that supply is still a major issue in the Toronto real estate market equating to tighter market conditions in favour of sellers.

Garry Bhaura of the Toronto Real Estate Board stated, “After a sluggish start to 2019, the second quarter appears to be reflecting a positive shift in consumer sentiment toward ownership housing. Households continue to see ownership housing in the GTA as a quality long-term investment as population growth from immigration remains strong and the regional economy continues to create jobs across diversity of sectors.” 

It’s clear however that although there has been a positive shift, potential home buyers are still struggling with the stress test and stringent lending guidelines, many of which are still waiting on the sidelines to buy.

What is of note and importance this month though is this note by Jason Mercer, TREB’s Chief Market Analyst, “We are experiencing annual rates of price growth that are largely sustainable right now in the GTA – above the rate of inflation, but in the single digits. If, however, we continue to see growth in sales outstrip growth in new listings, price growth will accelerate. This potential outcome underpins calls from TREB and other housing industry stakeholders to address roadblocks preventing a more sustainable and diverse supply of housing reaching the market. Many households are not comfortable listing their homes for sale because they feel that there are no housing options available to better meet their needs.

April shows strongest annual rate of growth so far in 2019

The Toronto real estate market came out of the gates hot this spring. The April market stats are in and they paint to a picture of increasing sales, rising prices and tightened market conditions.

Although many Torontonians, especially those looking to finally break into the market, were hoping to see the market — and prices— settle this year, those who have been reading this blog know that we didn’t predict any long-term market lulls. So to anyone who’s been saying the market has “bounced back”, we say, “Don’t call it a comeback, we’ve been here for years!”

All kidding aside, this April we saw a substantial increase in home sales year-over-year. Transactions were up 16.8% and new listings were up 8%. However, with the growth rate of new listings much lower than sales, you can expect market conditions to continue to tighten and the housing supply issues to remain.

With the average sale price in April up by 1.1% compared to March 2019 and the benchmark price up by 3.2% — the largest rate of price growth in more than a year — the Toronto real estate market is poised for a promising 2019. The average sale price of a Toronto home increased year-over-year by 1.9 per cent to $820,148 from $804,926, the strongest annual rate of growth so far in 2019.

Toronto’s average price growth continues to be driven by Toronto’s condo and apartment market segment. Condos were up 5.8% year-over-year. While the average price for detached homes dips year-over-year in the GTA and remains neutral for 416 detached homes. Semi-detached homes in Toronto were up 2.9% while townhomes fell 4.7%.

TREB ends their monthly summary with a note on April sales: “While sales were up year-over-year in April, it is important to note that they remain well-below April levels for much of the past decade.” TREB notes that many home buyers arguably remain on the sidelines due to the Stress Test and increased costs of borrowing. However, we’d also like to note the lack of inventory on the market. If there is nothing to sell, there really is nothing to buy. We’ve also anecdotally noticed that many buyers are choosing to hold off for the right purchase and are spending a bit more time in the ‘search’ phase of purchasing a new home.

Average home prices chart for Toronto April 2019

Townhomes Lead Sales Up 15.2% Y-O-Y | March Market Stats

March sales stats are in and, compared to last year, the market change has been pretty uneventful with prices across all home types within a plus or minus 3% change. Sales volume remains on par with March 2018, literally down one single transaction. The biggest takeaway is the lack of new listings hitting the market, down 5.1% year-over-year.

Focusing our attention on the 416 — Toronto Proper — it’s the townhome market leading sales volume, up 15.2% y-o-y, with all other home types seeing a drop in sales. Detached homes down 4%, semi-detached down 8.5% and condos down 14.1% y-o-y.

The biggest change in price is, as usual, the condo market up a modest 2.3% y-o-y, followed by townhomes up 0.4%, semi-detached homes down 1.3% and finally, detached homes down 2.1% y-o-y.

Remaining on the forefront of Toronto real estate news is the demand for the mortgage stress test guidelines to be reviewed. Jason Mercer, TREB’s Chief Market Analyst says that the tight market conditions are indicative of the moderate growth in real estate prices. He goes on to say “Despite sales being markedly lower than the record levels of 2016 and early 2017, the supply of listings has also receded. This means that in many neighbourhoods throughout the GTA, we continue to see competition between buyers for available listings, which provides a level of support for home prices.”

Is it the calm before the storm of spring market? We’ll have to wait and see what April brings.

March 2019 Toronto Average Home Prices

FEBRUARY 2019 MARKET REPORT

This February was a VERY busy one for our office. So it was surprising to read that sales were actually down 2.4% compared to this time last year. This is a symptom of the GTA market as a whole due to a decrease in listings and tighter market conditions. This lead to GTA price growth of 1.6% on average.

As always though, we’re taking a look at the 416 or Toronto Proper. There is a similar picture with tight market conditions and slowing sales. Actually the only market segment that didn’t have slowing sales was Toronto’s semi-detached market. Sales were up 20% y-o-y which led to increasing prices up 10.5% y-o-y.

In comparison, Toronto detached homes, townhomes and condos have realized slowing sales. Down 9.6%, 12.6% and 6.7% respectively. Toronto’s tight real estate conditions however have average prices up for all home types except townhomes.

Leading Toronto’s average price growth is the semi-detached market up 10.5% y-o-y followed by condos up 7.4%, detached up 0.8% and townhomes down 1.7%.

Making headlines this week are the comments made by Garry Bhaura, Toronto’s Real Estate Board President as TREB released February’s 2019 market stats. These remarks have definitely not gone unnoticed. Bhaura comments, “The OSFI mandated mortgage stress test has left some buyers on the sidelines who have struggled to qualify for the type of home they want to buy. The stress test should be reviewed and consideration should be given to bringing back 30 year amortizations for federally insured mortgages. There is a federal budget and election on the horizon. It will be interesting to see what policy measures are announced to help with home ownership affordability.”

February 2019 Average Home Price Chart

JANUARY 2019 MARKET REPORT

January’s Toronto real estate news picture hasn’t departed far from the script over the last few months. We’ve seen slow but stable price growth and this month appears to be no different.

The average price of GTA home is up 1.7% year-over-year to $748,328.

But what is of news is the moderate increase in transactions in January 2019 over December 2018. On a seasonally adjusted basis, sales were up 3.4% and TREB President Garry Bhaura sees this increase as, “…in line with TREB’s forecast for higher sales in calendar year 2019.”

Sticking to the script, condos continue to lead price growth in the GTA. However if we take a look at the 416, or Toronto Proper, townhomes lead price growth up 12.3% y-o-y. This is followed by condos up 8.8%, semi-detached homes up 6.1% and trailing behind are detached homes down 8.8%

Pro-Tip: If you’re a move-up buyer, now is your time to take that leap!

As always, make sure you check out your neighbourhood in the local market stats below.

Chart showing average Toronto home prices for January 2019

TORONTO CONDOS LEAD 2018 PRICE GROWTH UP 11.4% Y-O-Y

Making Toronto real estate news headlines this month are a few ‘scary’ stats. Sales may be down in the Toronto and GTA but so are listings. In 2018 total sales were down 16.1% from 2017. Leading to this decrease, however, is a decline in new listings entering the TREB MLS market. Total new listings were down 12.7% in 2018.

As a TREB MLS Realtor I noticed that fuelling these recent changes in the market were condominium apartment sales. Across the TREB market area (416 + 905), they are up 7.8% year-over-year. With overall sale prices down 4.3% y-o-y in the GTA.

Don’t be fooled by the BS floating around Toronto real estate ‘news’ channels this past week. They are lumping GTA stats with Toronto Proper stats and making a few people cr*p their pants in fear in the process. Although home sales may have slowed and the entire market as a whole is down, these stats lump all home types together. What we really care about is our local market. The 416 or “Toronto Proper” has actually been mostly isolated from these declines.

Toronto Real Estate News December Market Stats

Let’s break down the December Toronto real estate market stats for you.

When we lump all home types in the 416 together the average price is up 2.1% to $750,180 from $734,847 in 2018. Leading this trend is the least expensive Toronto real estate market type, condos. The Toronto condo market is up 11.4% followed by townhomes up 10% and semi-detached homes up 4% y-o-y.

The month of December continued to see slowing sales and decreasing inventory. Sales were down 22.5% with new listings down 31.5% compared to this time last year.

Average Home Prices for Toronto Proper in December 2018

LEADING THE 2018 TORONTO REAL ESTATE MARKET TRENDS

High Borrowing Costs

Canada’s new mortgage stress test coupled with rising interest rates moved many would-be buyers to the sidelines. The Toronto Star actually stated that interest rates have risen five times since July 2015 with two more hikes to be expected this year.

Lack of Inventory

After new listings spiked in 2017, we continued to see a shift in the Toronto real estate market. Inventory began to dry up and many would-be home buyers weren’t finding homes that met their needs.

Toronto Condo Market Leads 2018 Price Growth

Jason Mercer of TREB MLS stated, “Price growth was strongest for less expensive home types, as many home buyers sought more affordable home ownership options”

As the least expensive Toronto real estate markets, condos, semi-detached homes and townhomes realized price growth gains in 2018. Toronto condos are up 11.4%, with townhomes up 10% and semi-detached homes up 4% year-over-year in the 416 (Toronto Proper).

Toronto Housing Market For Detached Homes Down 4%

Slowing sales and a decrease in prices contributed to the tampering of the overall market growth in Toronto and the GTA. Detached homes represent the top end of the Toronto real estate market and the hardest home type hit.

NEW CONSTRUCTION & PRE-CONSTRUCTION CONDO PRICES UP 12%

The greatest price growth this year can be seen in the new construction condo market. New construction condos are up 12% year-over-year with their re-sale counterpart following behind at 7.5% year-over-year.

PRE-CONSTRUCTION CONDO CONSTRUCTION COSTS UP 10%

Inflation of Toronto’s pre-construction condo market was fuelled by the cost of construction and land, up 10% year-over-year. You can read more on pre-construction development costs in our blog “Why $1,000 psf is Toronto’s new Real Estate Norm“.

Low Vacancy, High Rental Prices

It’s hard to keep up with the increasing demand for rental inventory. Without the help of investors there’d be even fewer units added to alleviate the strain on the rental market. According to a study by Ryerson last year, more than half of the 105,000 condos being developed in the GTA were investor-owned.

Home Affordability Expected to Continue Decline in 2019

According to a report from the Royal Bank of Canada and reported by CBC, home affordability is expected to decline in most Canadian cities. The report states, “[In Toronto] the cost of owning a home will take up 79 per cent of the median household income of $71,631 by the fourth quarter of this year, up from nearly 76 percent in 2018.” Rising interest rates will also continue to make carrying a mortgage more expensive.

Growing Toronto Job Market Will Bring Long-Term Housing Shortage

Toronto is a World-Class city and job market. As such, it has seen consistent immigration with two million more immigrants expected by 2023. Toronto has more than twice the proportion of recent immigrants (8.4%) to Canada (3.5%).

First-Time Buyers Hardest Hit By Increasing Mortgage Rates

Interest rates have been raised five times since July 2015 with two more hikes to be expected this year. Hardest hit will be those on the lowest end of the Toronto housing market. Specifically first-time buyers looking to break into the Toronto real estate market. Adding to the difficulty of breaking into the market is Canada’s Stress Test.

As a Toronto real estate agent one of the major things I’ve noticed this year—and it really was to be expected—is that condos have become the default choice for first-time home buyers, especially those looking to live in the Downtown core. Those looking to jump into the Toronto real estate market face increased competition and rising prices. The most affordable option — studio condos—increased 16.8% y-o-y with one bedroom condos increasing 10%, two beds up 7.5% and three beds up 3.3%.