For the past few months, there has been a pent up demand in housing market due to low interest rates and limited listings. However in November, there is a noticeable increase in interest in single detached homes which made the prices go up. This is mostly because of the current pandemic situation wherein many families are now staying at home most of the time. Additionally, it is expected that remote learning will take place in the restarting of schools this January. Because of this, many homebuyers are now on the lookout for more spacious homes.
Also, it seems like many people now no longer find it appealing to live in the city core given that there are no longer nightlife, festivals, parties and gatherings that made it attractive in the first place. In the case of condo apartment sales, there has been a slowdown due to a massive increase in listings now that investors are selling out and there are new projects coming in as well.
Let us take a look now at the numbers presented by TRREB in their latest November 2020 statistical update for GTA.
Source: TRREB December 2, 2020
Year-over-year Total Residential Transactions
November 2019 - 7,054
November 2020 – 8,766
There is an outstanding increase of 24.3% in sales compared to last year. However, there is a drop in November 2020 sales result over October 2020.
October 2020 – 9,408
November 2020- 9,209
There is a decrease of 2.1% in sales compared the previous month.
The number of home sales in November 2020 increased by a high record of 24.3% on a year-over-year basis, but a slight decrease of 2.1% from last month.
The average selling price of homes continues to rise steadily.
November 2019 - $ 843,307
November 2020 – $ 955,615
There is a 13.3% increase in selling price compared to last year.
The increase is just minimal if we compare the average selling price in the previous month
October 2020 – $ 953,654
November 2020 – $ 961,012
There is an increase of 0.8% in selling price compared the previous month.
Total New Listings added to the Market
November 2019 – 8,651
November 2020 – 11,545
The number of new listings leaped to 33.5% increase in a year-over-year basis.
The November 2020 % Sales-to-New Listings Ratio of 76% decreased by 6% compared to 82% of November last year.
Condominium Sales Statistics
Year-over-year Total Condo Apartment Sales
Q3/19 – 6,398
There is a significant increase of 10.5% in condo sales compared the previous year. Additionally, the average selling price for condos is still growing steadily
Q3/19 - $ 584,746
Q3/20- $ 633,484
There is an increase of 8.3% compared the previous year.
Here is the summary of the listings of condominiums
Year-over-year Total New Listings
Q3/19 – 9,542
There is a massive increase of 84.6% compared the previous year.
“Once we move into the post-COVID period, we will start to see a resumption of population growth, both from immigration and a return of non-permanent residents. This will lead to an increase in demand for condominium apartments in the ownership and rental markets,”
– Jason Mercer, Chief Market Analyst
From November 8 to December 6, there are a total of 674 sales in townhouses, up by 43% compared to last year. There is also a recorded 521 new listings, an increase of 61% from last year. For the average selling price, a 1 Bd Townhouse cost $617,000 which is 5% lower compared to the same month of last year. On the other hand, a 2 Bd Townhouse cost $837,000 which is an increase 7% compared to the previous year.
To sum it up, the Toronto real estate market seems to be unstoppable. Prices for both detached homes and condo apartments continue to rise and so is the supply. If you are thinking about purchasing your new home especially a condo at this time, now might be the good chance to do it while we are still in the buyer’s market.
If you have any question about Toronto housing market or need help buying your new home, contact me at 647-834-9928 or send an email to firstname.lastname@example.org