TREB July 2019

GTA Home Sales Jump in July as Supply Falls: TREB

By: Zoocasa

The GTA housing market experienced robust activity in July, as more prospective home buyers tapped into the market while new listings declined compared to July 2018.

The Toronto Real Estate Board (TREB) reported a total of 8,595 transactions over the course of July, marking a 24.3% year-over-year increase. Meanwhile, the number of new listings brought to market increased by a mere 3.7%. Buyers now find themselves on the edge of a sellers’ market, with a sales-to-new-listings ratio (SNLR) of 59%. This ratio, which measures the level of competition in a given market, is up by 10% from July 2018. This shows that there is an expanding supply and demand gap resulting in a 3.2% increase in average home prices, now reported at $806,755.

Undersupply Could Prompt Price Increases

John DiMichele, the CEO of TREB, voices concern over the lack of housing in Toronto. He explains that demand is high as buyers previously sidelined by the mortgage stress test are returning with renewed determination, and migration to the GTA is constant.

“While the OSFI mortgage stress test has clearly had an impact on the number of home sales over the last year and a half, for most GTA residents the goal of homeownership has not diminished,” he stated. “In fact, we’re seeing growing pent-up demand for ownership housing, especially as the number of GTA households continues to increase by 40,000 to 50,000 due to strong population growth.”

He fears that undersupply will push home values to unattainable heights, despite new initiatives from both the City of Toronto and the province to boost supply and offer relief.

Booming Sales in the 416 and 905

Increased sales activity was felt throughout the GTA, with the most notable growth experienced in the 905 markets. Transactions in these areas were up by 25% in July with 5,485 homes changing hands, outpacing a 2.8% increase in new listings, and pushing the average home price up 4% to $787,937. Buyer conditions were also reported to be balanced, with a SNLR of 56%.

In the City of Toronto proper, sales rose by 20.8% with a total of 3,110 transactions. While new listings increased by 5.5%, that’s not enough to manage the high demand. This puts the SNLR in sellers’ territory at 65%, and the average home up by 1.8% to $839,943.

Price Growth Among Condos, Townhouses, and Semis

The MLS Home Price Index, which measures the overall value of homes sold, also rose 4.4%. TREB, however, points out that the majority of price growth is happening in the multi-family segment, such as condos for sale in North York, while average prices in the area remain relatively flat. This indicates that the demand is strongest for the most affordable, entry-level home types.

TREB’s chief market analyst points out that the single-detached market segment, such as houses for sale in North York, have been impacted most by the mortgage stress test. As a result, they have been experiencing slower price growth.

Want to learn more about real estate trends in Toronto and the total TREB area? Check out the infographics below to see the year-over-year sales and price changes:

toronto-home-sales-prices-july-2019

treb-home-sales-prices-july-2019

Zoocasa is a full-service brokerage that offers advanced online search tools to empower Canadians with the data and expertise they need to make more successful real estate decisions. View real estate listings at zoocasa.com or download our free iOS app.

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By: Zoocasa

Windsor residents pay the highest property tax rate in Ontario, according to a new report by Zoocasa, an online real estate brokerage.

Zoocasa ranked 35 cities in the province based on publicly available tax rate information, and found that Windsor, a small city in southwestern Ontario right beside the Detroit border with a population of just 233,800, pays at a rate around 1.79%.
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Could the FTHBI Be Used in Toronto?

By: Zoocasa

Housing prices in major Canadian cities have skyrocketed in recent years. First-time home buyers have found it increasingly challenging to get a foothold on the property ladder.

Sold house prices in Toronto have climbed to an incredible $1.3 million. An alternative used to be for first-time buyers to purchase a smaller, less expensive property type, such as an apartment. But now even that option is increasingly out of reach for most. Condos for sale in downtown Toronto now go for over $600,000 and in some popular neighbourhoods, like Liberty Village condos for sale, units are going for over $700,000. The situation is similar in the Vancouver market.
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Toronto's Skyline

Home Sales Soar while New Listings Remain Flat: June TREB Report

By: Zoocasa

The GTA real estate market continued to experience supply and demand issues throughout June. Home sales surged while new listings brought to market remained stagnant, despite market-cooling efforts put into place in recent years.

Numbers from the Toronto Real Estate Board documented a total of 8,860 transactions in June, marking a considerable 10.4% year-over-year increase. New listings, however, were virtually unchanged, with 15,816 homes brought to market – a dip of just 0.3%.
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May 2019 TREB

Home Sales Up by Almost 20% During May: TREB

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While the increase in sales looks promising for Toronto’s real estate market, it is important to note that sales are still below the 10-year trend for the month, which is usually over 10,000 homes sold.
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OFHP Scholarhood

2 Years Later, York Region Hardest Hit by Fair Housing Plan

By: Zoocasa

York Region was hit hardest by the Ontario Fair Housing Plan introduced two years ago, reports Zoocasa, while Windsor and London home prices have grown substantially.

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The measures included a 15-per-cent foreign buyer tax for non-residents, rent controls for new builds and incentives for developers.
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By: Zoocasa

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Toronto is one of the most expensive places to live in all of Canada, second only to Vancouver. To buy a house there, residents are required to have an income of $205,475, which is among the top 2.5% of income earners. Homes are out of reach for nearly everyone residing in this coastal seaport city. These dramatic real estate prices can be attributed to the ever-increasing population densities in both Vancouver and Toronto.
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April TREB numbers

Real Estate Sales Heating Up for Spring – April TREB Report

By: Zoocasa

After a prolonged dip in real estate sales, the Toronto Real Estate Board (TREB) is happy to report that sales are beginning to increase within the Greater Toronto Area. Houses for sale in Toronto jumped by 11.3% since March, while year-over-year home sales have increased by 16.8%. Toronto’s real estate market conditions have slightly increased towards a ratio of 56%, remaining on the edge of a seller oriented market. The overall sales-to-new-listings ratio for all TREB markets has also increased from 47% in April 2018, to 52% in April 2019. The growth of these new MLS listings is much lower than the growth reported for sales. Although this is still within a balanced range, it is something that may tighten market conditions as the months progress.
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By: Zoocasa

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By: Zoocasa

Condo sales posted unusually weak price gains this March, rising only 2 per cent year over year, says a recently released report by the Toronto Real Estate Board.

It’s surprising because since new mortgage regulations came into effect on January 1, 2018, condo prices have been the darling of the Toronto real estate market, rising between 5- 10 per cent year over year every month, even as detached houses softened. But this March, condo prices only grew slightly.

Units in the 416 rose 2.3 per cent to $603,969, while units in the 905 grew 3.3 per cent to $463,774. Condos for sale in downtown Toronto were still the most expensive units across the TREB region, going for $673,220, but are only $20,000 more expensive than in March 2018.
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