Toronto Market Increases 2% since May 2013
Toronto Mid-Month Numbers
Just to keep up to date we should look at the mid-month numbers and the report from the Toronto Real Estate Board (TREB):
TORONTO, December 16, 2014 – Toronto Real Estate Board President Paul Etherington announced that
Greater Toronto REALTORS® reported 2,496 sales through the TorontoMLS system during the first 14
days of December 2014. This result was up by 1.9 per cent compared to the same period in December
2013. Over the same period, new listings were down by 1.8 per cent year over year.
“Greater Toronto Area households remain upbeat about buying a home, as evidenced by the increase in
sales compared to last year. However, many would-be home buyers continue to have problems getting a
deal done due to the lack of listings for some home types. The lack of listings has definitely been a drag
on sales this year,” said Mr. Etherington.
The average selling price for December mid-month transactions was $565,873, which represented a
year-over-year increase of 8.6 per cent. Price growth was driven by the detached market segment in the
City of Toronto.
“Sellers’ market conditions remain in place for low-rise home types, including detached and semidetached
houses and townhouses. The condominium apartment segment of the market has been more
balanced due to strong project completions, but there has been enough buyer interest to prompt condo
price growth above the rate of inflation,” said Jason Mercer, TREB’s Director of Market Analysis.
In order to bring us a little more current, the sales for the GTA for the week ending 18 December 2014 were 1,095 and the average price was $556,405.
You can appreciate that with its eternal optimism about the Toronto and GTA markets, this is not a statistic that amuses the Board.
So, let’s ignore that!
We’ll talk about year over year numbers. That’s always good. In fact, why not talk about decade over decade? They’re always good too!
The market peaked this year at $587,795 in October. The usual high water mark is May. At that time, average GTA prices were at $584,902.
Where do we find something close to $556,405?
How about March 2014 at $557,982, or May 2013 at $540,581.
Let’s do the math.
The market has dropped since March by $1,577. Statistically, that’s very close, so we’ll call it “dead even”, no increase, no decrease since the Spring.
However, May 2013 is a little different. There has been a $15,824 increase since then. That would be 2.92% over 17.5 months. That works out to an annual increase of 2%.
That’s a far cry from the 8% range often quoted.
It’s important to note that the market goes up and down. It’s not just one ascending straight line continuously.
We’ll look at the year end numbers next week.
Brian Madigan LL.B. Broker