Brian Madigan LL.B., Broker
BRMadigan@iSourceRealEstate.com

RE/MAX West Realty Inc.,
Brokerage
Independently owned and operated

96 Rexdale Blvd. 
Toronto, Ontario 


Phone: 416-745-2300
Toll Free: 1-888-507-0817

 

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Toronto Market Consistently Produces 10.71% Annual Return Over 5 Years

January 7, 2018 - Updated: January 12, 2018

Real Estate Performance over Five Years (2013 to 2017)
 

Far too often, consumers will focus upon very short periods of time as an indicator of the real estate market.
 

We have a 10.71% annual increase over 5 years.
 

I think a five year history is a fairly good indicator of the market. Here are the average sale prices as reported by TREB for single family homes of all types in the GTA, including houses, townhouses and apartments, for the period commencing 1 January 2013 and ending 31 December 2017:
 

2013
 

January 1st            $478,739
 

January 31st          $482,080
 

February               $509,396
 

March                   $517,223
 

April                     $524,870
 

May                      $540,544  
 

June                      $529,616
 

July                      $512,298
 

August                 $501,790
 

September            $532,574
 

October                $539,460  
 

November            $539,001
 

December             $520,398
 

2014
 

January 1st            $520,398
 

January 31st          $526,965
 

February               $552,857
 

March                   $557,982
 

April                     $578,364
 

May                      $584,902
 

June                      $569,187
 

July                      $550,677
 

August                 $546,683
 

September            $574,421
 

October                $588,018
 

November            $578,353
 

December             $556,602


 2015
 

January 1st          $556,259 
 

January 31st         $552,925 
 

February               $596,320 
 

March                   $613,875 
 

April                    $636,089 
 

May                     $649,650 
 

June                      $639,300 
 

July                       $609,124 
 

August                 $603,512 
 

September            $627,752 
 

October                $630,311 
 

November            $633,048 
 

December             $609,278


 

2016
 

January 1st            $609,278       
 

January 31st          $630,193     

 

February              $685,628             
 

March                   $688,011  

           

April                    $739,762             
 

May                      $752,068        
 

June                      $747,018          
   

July                      $710,471            
 

August                 $710,978             
 

September            $756,054            
 

October                $762,691             
 

November            $777,091             
 

December             $730,124             

 

2017
 

January 1st            $730,124             
 

January 31st          $768,351
 

February               $876,363
 

March                   $915,353
 

April                    $918,138
 

May                      $862,109
 

June                      $791,949
 

July                      $745,909
 

August                 $731,606

 

September            $774,946
 

October                $780,643
 

November            $761,985
 

December             $735,021
 

COMMENT
 

In raw numbers, the average value over the 60 months went from $478,739 on 1 January 2013 to $735,021 on 31 December 2017. That’s an overall increase of $256,282 or $51,256 per year, or it could be expressed as $4,271.37 per month.
 

Let’s start out at the beginning of 2013 and compare that to now. We saw a $256,282  increase or 53.53% over 60 months, or 0.0089% per month which is 10.71% annually.  That’s the straight line percentage calculation not one which is internally compounded.
 

So, that’s certainly a reasonable percentage return over the last five years. The number is a much more accurate reflection of real estate market performance since we are dealing with a full five year period rather than a few months.
 

Brian Madigan LL.B., Broker

www.iSourceRealEstate.com


Tagged with: market 5 year performance toronto gta rate of return
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Brian Madigan LL.B. Broker

RE/MAX West Realty Inc. Brokerage

Independently owned and operated

96 Rexdale Blvd. , Toronto Ontario,

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