Toronto home prices continue to rise


Toronto home prices continue to rise

Tags: Homes In Toronto, TREB, Home Prices

As a Real Estate Agent it is crucial that I stay up to date with the current market. That is why when the Toronto Real Estate Board Market figures appear, I analyze them immediately and think about the impact it will have on my clients. The market figures of October show a 14% increase increase in sales in the GTA, while the supply of new listings declines. Read the full report below. 

“A strong regional economy obviously fuels population growth. All of these new
households need a place to live and many have the goal of purchasing a home. The
problem is that the supply of available listings is actually dropping, resulting in tighter
market conditions and accelerating price growth,” said Toronto Real Estate Board President Michael Collins.

Sales prices rise

The trend of annual growth in sales versus annual decline in new listings continued in
October 2019, with new listings down by 9.6 per cent compared to October 2018. The
resulting tighter market conditions compared to a year ago resulted in positive annual
rates of price growth across all major market segments, from a GTA-wide perspective.
“All levels of government affecting the GTA plus many international organizations have
recognized that we continue to face a supply issue in our region for all types of housing.
TREB looks forward to continuing its work with policy makers at all levels to bring more
supply online, which will help ensure a sustainable pace of price and rent growth over the
longer term,” said TREB CEO John Di Michele.

The MLS® Home Price Index Composite Benchmark was up by 5.8 per cent on a yearover-year basis in October 2019 – the strongest annual rate of growth since December
2017. The average selling price for all home types combined was up by 5.5 per cent to
$852,142, compared to $807,538 in October 2018.

More competition 

“As market conditions in the GTA have steadily tightened throughout 2019, we have seen
an acceleration in the annual rate of price growth. While the current pace of price growth
remains moderate, we will likely see stronger price growth moving forward if sales growth
continues to outpace listings growth, leading to more competition between home buyers,”
said Jason Mercer, TREB’s Chief Market Analysist. 

Want to know more about these Market Figures? Schedule an introductory appointment with me so I can explain to you what this means for you as a Home Buyer or Seller. 
Nick Caccavella