Category Archives: Real Estate News

TREB August Report

Heating August Market Raises Concerns: TREB

By: Zoocasa

In August, sales and prices across the GTA continued to increase. This suggests that the efforts to cool the region’s housing market have been absorbed, allowing for the potential reoccurrence of overheating within the market.

The latest numbers reported by TREB show that a total of 7,711 homes changed hands over the course of the month, at an increase of 13.4% year over year. Market conditions steepened and pressure was placed on both buyers and home values as a result of a -3% decline in supply. There was a 3.6% increase in the average price year over year to $792,611. As well on the MLS Home Price Index, a tool utilized to measure the overall value of homes sold, 4.9% growth was documented. 

A Continued Increase in Demand

In comparison to the record-breaking numbers seen in 2016 and 2017, current market conditions are more tempered. However, buyer demand is returning, particularly for higher priced single-family homes as highlighted by TREB President Michael Collins. The renewed increase for demand in the single-family home sector follows the significant hit it experienced from the Ontario Fair Housing Plan and OSFI mortgage stress test. Growth in the prices for condos for sale in Toronto leads the market. Toronto townhouses and other high-density low-rise homes follow condos in regard to their price growth.

“GTA-wide sales were up on a year-over-year basis for all major market segments, with annual rates of sales growth strongest for low-rise home types including detached houses. This reflects the fact that demand for more expensive home types was very low in 2018 and has rebounded to a certain degree in 2019, albeit not back to the record levels experienced in 2016 and the first quarter of 2017,” he stated. “The OSFI mortgage stress test continues to keep some would-be home buyers on the sidelines.”

 Lack of Supply Creates Concern over Rising Prices

There is cause for concern that prices may rise dramatically, in a manner similar to that of the rise of 2016-2017, as a result of the lack of the supply in the market as well as the lack of new housing creation. TREB notes that there is increasing pressure being put onto home buyers as the number of year-to-date sales has significantly outgrown the supply of new listings.

Within the City of Toronto, there has been a 5.1% increase in the number of homes which changed hands in August, a total of 2,553 homes. The number of new listings remained relatively unchanged in the 416, with a slight downward shift of -0.6%. The average home price increased 4.2% to $818,715. The City of Toronto has a 68% SNLR overall.

“This year’s market through August has been characterized by receding listings and increasing sales relative to 2018,” stated Jason Mercer, TREB’s chief market analyst. “Competition between buyers has increased, which has led to stronger annual rates of price growth, most notably during this past spring and summer. Right now, the overall pace of price growth is moderate. However, if demand for ownership housing continues to increase relative to the supply of listings, the annual rate of price growth will accelerate further.”

He adds, “This underpins the importance of solving this region’s housing supply issues, which will go a long way to ensuring a sustainable pace of price growth over the long term.”

Take a look at the infographics below to see the August year-over-year changes in sales and price trends for the City of Toronto and TREB area:



Doubled home prices in Toronto

Areas Where Home Prices Have Doubled Over 5 Years – City of Toronto

By: Zoocasa

The Toronto real estate market has experienced substantial changes over recent years. Factors including robust economic activity, heavy migration, investment in real estate, and low rental vacancy have put upward pressure on home prices. According to a report from the Toronto Real Estate Board (TREB), the average home buyer would need to pay $256,055 more for a home in July 2019 compared to 2014, an increase of 46% and a price of $806,755.

Additionally, despite federal policies put in place to cool the market, recent data from Zoocasa shows that dramatic price increases have persisted in segments throughout the city.

Continue reading

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.

Continue reading

Toronto Property Tax

What Are The Highest and Lowest Property Tax Rates in Ontario?

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%.
Continue reading

FTHBI in Toronto

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.
Continue reading

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%.
Continue reading

May 2019 TREB

Home Sales Up by Almost 20% During May: TREB

For the second month in a row, the Greater Toronto Area experienced double-digit growth in home sales. A total of 9,989 homes were bought, which was an increase of 18.9% from the same time in 2018. Further, sales increased by approximately 10% from the previous month.

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.
Continue reading

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.

Those are just a few of the findings the online brokerage discovered when they examined how the 16 measures introduced by the former Liberal provincial government affected the province’s housing market.

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

Income to Afford a House Across Canada

The Income Required to Purchase a Home in Toronto

By: Zoocasa

Are you interested in buying a home in Toronto? If so, you’ll need to be among the top bracket of income earners, according to a recent report by Zoocasa.

The report states that only the top 10% of income earners can afford to purchase a house in Toronto, at a benchmark price of $873,100. This means that someone would have to obtain an income of $124,554 in order to afford a home of this price.

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.
Continue reading

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.
Continue reading