A true market rebound is likely still a ways off, but signs of life were detected in the GTA housing market this September, according to the Toronto Regional Real Estate Board’s (TRREB’s) latest Market Watch report.
Home sales were up by 8.5 per cent year-over-year in September after a subdued spring and summer market. Last month’s data represents the biggest year-over-year sales increase since February, when sales went up by almost 18 per cent. There were 4,996 sales in September, inching up from 4,975 in August.
According to TRREB, the uptick occurred as “Buyers were starting to take advantage of more affordable market conditions brought about by interest rate cuts and lower home prices.” And sales are only going to increase with further cuts and policy changes, TRREB President Jennfier Pearce says.
Of the sales recorded, 2,354 were detached homes, up 10.5% year-over-year, 446 were semi-detached, up 12.6%, and 682 were townhomes, up 14.3%. The only residence type to that remained flat in sales were condos, which saw 1,312 sales, just a 0.8% increase.
Further favouring buyers, new listings totalled 18,089 in September, up by 10.5% year-over-year. “The annual improvement in September home sales was more than matched by the increase in new listings over the same period,” says TRREB’s Chief Market Analyst Jason Mercer. “This resulted in a better-supplied market and increased negotiating power for buyers re-entering the market.”
The average sale price was $1,107,291, down by only 1% compared to September 2023’s average of $1,118,215. What’s interesting to note, is that in every sector prices were up month-over- month from August.
Average sale price up 3% - from $1,074,425 to $1,107,291
Detached homes up 0.6% - from $1,414,070 to $1,423,056
Semi-detached homes up 6.3% - from $1,026,435 to $1,090,749
Condos up 1.2% - from $674,706 to $682,543
TRREB CEO John DiMichele commends the federal government for implementing reforms to mortgage lending guidelines, stating, “Extended amortization periods and the ability to insure mortgages for homes priced over $1 million will provide buyers with more flexibility as the GTA housing market continues to recover.