October Real Estate Sales Up
The Toronto Real Estate Board released the sales data for the month of October, and for a seventh consecutive month, year-over-year sales volume is on the rise. Following a very strong start to the fall, the market is showing no signs of letting up with 8,491 sales reported in October. This represents a 14% increase compared to the same period last year. Total sales for 2019 are now at 76,413, up 13.4% year-over-year.
Average Price of October Real Estate Sales
The average price of all sales in October was $852,142, up 5.5% from a year ago. The MLS Home Price Index Composite Benchmark, which shows real inflation in the market, was up 5.8%, the strongest annual rate of growth since December 2017. It increased for all major housing categories but was highest in condo apartments at 8.57%. Price growth was also up for all major categories, led by condo apartments at +9.6% (+9.6% in the 416). This was followed by semi-detached homes at 4.2% (+7.1% in the 416), townhomes at 3.1% (+3.5% in the 416), and singles at 3% (+1.1 in the 416).
As prices continue to rapidly accelerate in the high-rise market, low-rise options are garnering increased attention from buyers. Townhomes saw the greatest gain in unit sales at +21.3% (+25.5% in the 416), while sales of single detached homes jumped 19.6% (+18.3% in the 416).
New listings fell 9.6% year-over-year, well off the pace of sales. There is currently a 1.8-month supply in the GTA, the lowest level of inventory since May 2017. With reduced choice in the market and an increased demand, expect upward pressure on prices in the face of strong sellers’ market conditions.
The GTA housing market has been on a tear since March. With limited supply, and as buyers and sellers look to wrap up their real estate needs before the holiday season, we should see a busy and competitive November. For more insight, be sure to speak with your Harvey Kalles Real Estate sales professional.