Featured Toronto Condo News

TORONTO REAL ESTATE BOARD: SELLING PRICES UP IN MARCH AND SET TO ACCELERATE THIS SPRING

TORONTO, ONTARIO, APRIL, 2023

Home sales in March 2024, as reported by TRREB's MLS® System, declined compared to March 2023, partly due to Good Friday occurring in March this year instead of April. Despite a more ample market compared to last year, there was sufficient buyer competition, leading to a moderate increase in the average home price for March compared to the previous year.

REALTORS® in the Greater Toronto Area (GTA) recorded 6,560 sales in March 2024 through TRREB's MLS® System, marking a 4.5% decrease from March 2023. New listings saw a 15% increase during the same period. Adjusted for seasonal variations, sales decreased by 1.1% monthly, while new listings dropped by three percent compared to February.

The first quarter concluded with an 11.2% increase in sales year-over-year, with new listings rising even more significantly by 18.3% annually.

TRREB President Jennifer Pearce remarked, "Market conditions have gradually improved over the past quarter. More buyers have adapted to the higher interest rates, and homeowners may be anticipating a spring market improvement, as evidenced by the notable increase in new listings this year. Assuming forthcoming lower borrowing costs, sales are poised to rise further, absorbing new listings, and tightening market conditions, consequently pushing selling prices higher."

The MLS® Home Price Index (HPI) Composite benchmark rose by 0.3% year-over-year, while the average selling price increased by 1.3% to $1,121,615. On a seasonally-adjusted month-over-month basis, the MLS® HPI Composite and the average selling price increased by 0.2% and 0.7%, respectively, compared to February.

TRREB Chief Market Analyst Jason Mercer stated, "The average selling price experienced a slight uptick in the first quarter of 2024 compared to the previous year. Price growth is anticipated to accelerate in the spring and later in the year as sales growth aligns with listings growth, leading to seller-favorable market conditions in many areas. Lower borrowing costs in the coming months will drive increased demand for homeownership."

TRREB CEO John DiMichele emphasized the importance of addressing the housing supply issue as demand for both ownership and rental housing rises. He urged governments at all levels to focus on innovative solutions to increase housing supply, including facilitating non-traditional arrangements like co-ownership models to aid various demographic groups, such as first-time buyers and seniors. Encouraging gentle density, such as multiplexes, is essential to meeting housing supply targets, particularly in high-demand areas like the Greater Golden Horseshoe

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TORONTO CONDO MARKET REPORT

TRREB Releases 2023 Q4 Condo Market Statistics

TORONTO, ONTARIO, January 31, 2024:

Fourth quarter 2023 condominium apartment sales in the Greater Toronto Area (GTA) remained low historically, as the demand for ownership housing continued to be hampered by affordability concerns brought about by high borrowing costs. Buyers who were active in the market benefitted from a substantial amount of choice. This meant that average selling prices were slightly lower than the fourth quarter of 2022.

“The condominium apartment market, like other segments of the homeownership market, experienced a pull-back in activity since the Bank of Canada started hiking interest rates in early 2022. However, looking forward, borrowing costs are expected to trend lower this year and next. This will improve the affordability picture for many first-time buyers, so the condo market is poised for improvement in 2024,” said TRREB President Jennifer Pearce.

Total condominium apartment sales amounted to 3,446 in Q4 2023 – down by 3.4 per cent on a year-over-year basis. New condominium apartment listings were up by more than 29 per cent over the same period. This divergence between condominium apartment sales and listings also meant that market conditions became more balanced.

The average condominium apartment selling price in the GTA was $702,142 in Q4 2023 – down by 1.1 per cent compared to $710,124 in Q4 2022. In the City of Toronto, which accounted for more than two-thirds of total condominium apartment sales, the average selling price was $720,456. This result was down by 2.4 per cent compared to Q3 2022.

“Condominium apartment prices remained relatively flat over the past year. Buyers had plenty of negotiating power given the level of supply in the marketplace. As we move through 2024, demand for condominium apartments should pick up. Expected decreases in borrowing costs coupled with high average rents could prompt more households to purchase a home over the next year. Condominium apartments are a key entry point into the ownership market,” said TRREB Chief Market Analyst Jason Mercer.

For full report click here> Market Report