Upper & Lower by Grant MacDonald
As usual, Toronto was doing great this month in terms of sales. Greater Toronto Area REALTORS® reported 8,547 home sales through TREB’s MLS® System in November 2016. This represents a 16.5 per cent increase compared to November 2015.
GTA sales were up on a year-over-year basis for all major home types. Detached house sales went up by 13.4 per cent, semi-detached only 6.3 per cent and condos sales growth reached amazing 25.8 per cent comparing to November 2015. Townhouses surprised with 15.2 per cent rise in sales year-over-year.
Toronto Real Estate Board President Larry Cerqua says the sales growth is still strong, but the buyers remain frustrated:
Home buying activity remained strong across all market segments in November. However, many would-be home buyers continued to be frustrated by the lack of listings, as annual sales growth once again outstripped growth in new listings. Seller’s market conditions translated into robust rates of price growth.
The average price for detached houses was up by 27.6 per cent making it $1,058,273 in GTA. Semi-detached and townhouses went up by 19.8 and 23.7 per cent respectively. In the condominium segment prices went up by 15.1 per cent. The average selling price for all home types was $776,684, representing 22.7 per cent growth on a year-over-year basis. According to Jason Mercer, TREB’s Director of Market Analysis, something needs to be done to fix the low inventory problem and help satisfy the demand on the market:
Recent policy initiatives seeking to address strong home price growth have focused on demand. Going forward, more emphasis needs to be placed on solutions to alleviate the lack of inventory for all home types, especially in the low-rise market segments.