Toronto Home Prices are up 17% Year over YearOnce again, there’s big news in the Toronto Real Estate Market as the GTA average price moved up 17% year over year in July. The overall average GTA selling price was $943,710 in July 2020, compared to $806,971 last July. This should come as no surprise to active sellers or buyers and their agents – as the market is forging ahead despite all odds.
The month of July 2020 ended with a total of 11,081 resale transactions in the GTA as reported through TRREB, which puts the market back on track for healthy sales numbers. The total year over year increase in sales was 29.5% which is a record posting for July. That means Toronto’s market has bounced back STRONG. Note that; Freehold, specifically detached properties, are in the highest demand in Toronto right now.
What will happen to the Toronto real estate market in the near future:The job market in Toronto is stronger than in other areas of Canada. In a province like Alberta, the overall employment is very dependent on Oil, whereas in GTA we are mostly service-based. A big number of buyers that we are dealing with in Toronto’s real estate market on a daily basis are End users, those who need a home to live and or raise their families, or are already in the market shopping for a home. Some investors are also out there looking for deals! On the other hand the level of standing inventory is shrinking. All these translate to more competition and more bidding wars on remaining properties.
And as we had predicted 4 months ago, the Rebound would be much quicker than the plunge. However, we still think that there will be ups and downs till we reach a balanced market so be creative when searching and find the right home with us.
We’ve mentioned this before to our buyers and sellers, “the time it takes for a buyer to enter the market is much faster than when a seller prepares and puts their house on the market”. And when those buyers on the sidelines enter the market, the demand would be higher than the inventory. And that’s what will and has continued to cause the multiple offers and uptick in prices!
We strongly recommend that you set a strategy with your us now, if you are planning to buy or sell any time soon!
Supply and Demand levels in Toronto’s real estate market (SELLER’S MARKET):Active listings and Month of Inventory are other indicators to keep an eye on. We started Aug 2020 with a total active listing of 15,081. This is down from last year’s 17,938 listings in the same month. That being said, the Month of Inventory (MOI) Decreased to 1.36 Months of Inventory in all property classes in the Greater Toronto Area’s real estate market.
Toronto’s Condo Market (Condo prices UP 8% YoY):Toronto’s Real Estate Agents wrapped up the month with 2,423 condo apartment sales in the past month through the Toronto Real Estate Board MLS system.
The number of condo apartment sales in Toronto fell by approximately 7% compared to last year amid CoronaVirus (COVID-19). And, the average price of a condo apartment in Toronto went UP by almost 8% to $635,778 compared to the year before. It’s a good time to be a Condo buyer in Toronto so please be aware and get in touch if you’re looking.
Toronto’s Detached Houses (Detached house prices are UP 16%!) :Detached is back. Very Strong!
The GTA posted 5,633 detached house sales in July 2020. And the average price of a Detached house in Toronto is $1,154,356 representing a major 25.5% increase.
Month of inventory sits around 1.3 Months for Detached homes in Toronto/GTA and competition is intense.
As always call or emails us at email@example.com for clarity in the market or reach out to Mark or Ari separately.