From a sales perspective, the Greater Toronto housing market continued to improve last month. The Toronto Regional Real Estate Board (TRREB) has published the sales data, and with 9012 home sales reported through the local MLS, transactions were up 24.7% year-over-year.
That said, housing market conditions continue to tighten across the GTA as demand continues to outpace supply. The 15,194 new listings mark an 18.7% decline from the previous year, with the 11,868 active listings representing just a 1.32-month supply heading into June. The average selling price was $1,196,101, down 1.2% from the previous year, but up 3.7% from April. The MLS Home Price Index (HPI) Composite Benchmark declined 6.85% year-over-year (-6.24% in Toronto) but increased from a month earlier. The share of sales for homes priced below $1,000,000 decreased to 47.6% in May, compared to 50.1% in April.
Looking at price by housing type: detached homes sold for an average of $1,555,566, a year-over-year increase of 0.6%, and a month-over-month increase of 4.5%. The average price for semi-detached homes was $1,198,185 (-0.5%/+5.5%), townhomes sold on average for $1,003,152 (+2.5% /+1.7), and the average price of condos was $748,483 (-3%/+3.4%).
The average sale took place in 14 days on market, down from 17 days in April, and at 105% of the listing price. This marks the third consecutive month where the average sales price exceeded the average listing price.
As competition continues to grow in relation to the supply of available homes for sale, we are seeing steady upwards pressure on the price of housing. With buyers adjusting to higher borrowing costs, soaring rental prices, and increased immigration all driving demand, the issue heading into summer is the lack of supply needed to satisfy demand for home ownership.
If you are planning to to buy or sell real estate, please speak with a member of our sales team. We are here to help you stay informed. Harvey Kalles Real Estate has been in business since 1957, and we bring a wealth of experience to changing markets.
