April 2017 GTA REALTORS® Release Monthly Resale Housing Figures

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Toronto Real Estate Board President Larry Cerqua announced that Greater Toronto Area REALTORS® entered 33.6 per cent more new listings into TREB’s MLS® System in April 2017, at 21,630, compared to the same month in 2016. New listings were up by double-digits for all low-rise home types, including detached and semi-detached houses and townhouses. New listings for condominium apartments were at the same level as last year.

Total sales for the TREB market area as a whole amounted to 11,630 – down 3.2 per cent year-over-year. One issue underlying this decline was the fact that Easter fell in April in 2017 versus March in 2016, which resulted in fewer working days this year compared to last and, historically, most sales are entered into TREB’s MLS® System on working days.

“The fact that we experienced extremely strong growth in new listings in April means that buyers benefitted from considerably more choice in the marketplace. It is too early to tell whether the increase in new listings was simply due to households reacting to the strong double-digit price growth reported over the past year or if some of the increase was also a reaction to the Ontario government’s recently announced Fair Housing Plan,” said Mr. Cerqua.

The MLS® Home Price Index (HPI) Composite Benchmark Price was up by 31.7 per cent yearover-year in April 2017. Similarly, the average selling price for all home types combined was up by 24.5 per cent to $920,791.

“It was encouraging to see a very strong year-over-year increase in new listings. If new listings growth continues to outpace sales growth moving forward, we will start to see more balanced market conditions. It will likely take a number of months to unwind the substantial pent-up demand that has built over the past two years. Expect annual rates of price growth to remain well-above the rate of inflation as we move through the spring and summer months,” said Jason Mercer, TREB’s Director of Market Analysis

Source: Toronto Real Estate Board

April 2017 GTA REALTORS® Release Mid-Month Resale Housing Figures

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Greater Toronto Area REALTORS® reported 6,098 transactions through TREB’s MLS® System during the first 14 days of April 2017. This result was up by 10.8 per cent in comparison to the same time period in March 2016. Sales were up for all major home types on a year-over-year basis – both in the City of Toronto and surrounding regions making up the TREB market area.

The number of new listings was also up annually, at 8,978 compared to 7,696 – an increase of 16.7 per cent. It is interesting to note that the annual rate of increase for new listings outstripped the annual rate of increase for sales. This means that market conditions were less tight compared to last year, with sales accounting for a smaller share relative to new listings.

The overall average selling price for transactions reported during the first two weeks of April was up by 29.8 per cent compared to the first two weeks of April 2016. Looking at the TREB market area as a whole, the strongest annual average rate of price growth was experienced in the condominium apartment market segment.

Looking forward, growth in new listings will have to outstrip growth in sales for a sustained period of time in order for more balanced market conditions and, by extension, a more moderate pace of home price growth to emerge.

Source: Toronto Real Estate Board

March 2017 GTA REALTORS® Release Monthly Resale Housing Figures

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Toronto Real Estate Board President Larry Cerqua announced that Greater Toronto Area REALTORS® reported 8,014 residential sales through TREB’s MLS® System in February 2017.  Despite the fact that February 2016 had one more day due to the leap year day, this result was up on a year-over-year basis by 5.7 per cent compared to 7,583 sales reported last year.

“The February statistics tell me that many Greater Toronto Area households continue to view home ownership as a great long-term investment.  The high demand for ownership housing we’re seeing is broad-based, with strong sales growth for most low-rise home types and condominium apartments.  This makes sense given the results of a recent consumer survey undertaken for TREB by Ipsos, which found an even split between intending first-time buyers and existing homeowners who indicated that they were planning on purchasing a home in 2017,” said Cerqua.

According to the recent Ipsos survey of intending GTA home buyers, first-time buyers will continue to account for much of the demand for ownership housing in Toronto and the surrounding regions.  For the GTA as a whole, 53 per cent of likely buyers indicated that they would be first-timers – up from 49 per cent a year earlier.  First-time buying intentions were highest in the City of Toronto, where 64 per cent of likely home purchasers indicated they would be first-timers – up from 56 per cent a year earlier.  The higher percentage of first-time buyers in the City of Toronto likely relates to the prevalence of condominium apartments, which are a popular entry point into home ownership.

“There has also been much speculation, both in the media and among government policymakers, about the amount of foreign buying activity in the GTA.  A recent Ipsos survey of the TREB membership on foreign buying activity suggests that the impact of foreign buyers in the GTA marketplace has been somewhat overblown.  GTA-wide, the number of transactions accounted for by foreign buyers was less than five per cent.  Furthermore, the great majority – 80 per cent, to be exact – of foreign buyers were purchasing a home as a primary residence, a home for another family member to live in, or as an investment to rent out to a tenant, which is helpful in a tight rental market,” continued Cerqua.

“To date, the provincial government and municipal governments have resisted the implementation of a foreign buyer tax in the absence of empirical evidence. The Ipsos survey of TREB Members should further solidify the argument that the solution to strong rates of price growth and related affordability concerns lies not with taxing foreign buyers more, but rather with addressing the supply of homes available for sale, or lack thereof,” added Cerqua.

While the demand for ownership housing grew over the past year, new listings entered into TREB’s MLS® System in February were down on a year-over-year basis by 12.5 per cent to 9,834. This continues a pattern we saw throughout much of 2016, with the sales trend pointing up while the listings trend has been down, which has resulted in a contraction of the inventory of homes available for sale. TREB’s average months of inventory trend for February was at one month, while in many neighbourhoods across the GTA, inventory can now be measured in weeks rather than months.

“The listing supply crunch we are experiencing in the GTA has undoubtedly led to the double-digit home price increases we are now experiencing on a sustained basis, both in the low-rise and high-rise market segments. Until we see a marked increase in the number of homes available for sale, expect very strong annual rates of price growth to continue,” said Jason Mercer, TREB’s Director of Market Analysis.

The MLS® HPI Composite Benchmark Price was up by 23.8 per cent compared to February 2016. Similarly, the average selling price was up by 27.7 per cent year-over-year to $875,983. Annual rates of price growth continued to be strongest for low-rise home types, particularly detached houses. Growth rates for condominium apartment prices were also in the double digits, likely a result of strong demand from first-time buyers.

“Over the past year, we have reached a point where government policies that target only the demand side of the market, whether we’re talking about foreign buyers or further changes to mortgage lending guidelines, will not be enough to balance market conditions and moderate the pace of price growth,” continued Mercer.

“In 2017, policymakers at all three levels of government must turn their attention to the supply of homes available for sale. They should consider revisiting land-use designations in built-up areas to allow for a greater diversity of home types, streamlining development approvals and permitting processes, and looking at ways to incentivize landowners to develop their land,” suggested Cerqua.

A panel of industry experts was on hand at TREB’s recent Economic Summit, which served as a launch for TREB’s Market Year in Review & Outlook Report 2017, to share their take on the growing housing supply crisis in the GTA. Discussing the nature and scope of the crisis as well as possible solutions, the implications were clear: there is a housing supply crisis and the only way to solve it would be coordinated and innovative solutions by the government, private and not-for-profit sectors.

This and other issues, including a market outlook for 2017 and the impact of transit infrastructure and housing affordability were discussed at the Economic Summit and are touched on in the report. To learn more about the Economic Summit or to read a copy of TREB’s Market Year in Review & Outlook Report 2017, please visit www.TREBhome.com

 Source: Toronto Real Estate Board

March 2017 GTA REALTORS® Release Mid-Month Resale Housing Figures

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Greater Toronto Area REALTORS® reported 5,238 home sales through TREB’s MLS® System during the first 14 days of March 2017. This result was up by 16.4 per cent in comparison to the first two weeks of March 2016, when 4,500 home sales were reported.

The strongest annual rate of sales growth was experienced for the condominium apartment market segment.

However, double-digit annual rates of growth were also reported for detached houses and townhouses.

New listings reported by REALTORS® during the first half of March were down by more than four per cent compared to the same period in 2016. As the trend of declining listings and increasing sales continued, market conditions tightened further with the end result being further acceleration in the annual average rate of price growth.

The average selling price for all home types combined was $935,296 during the first two weeks of March 2017, representing a 35.1 per cent increase compared to March 2016. While the detached market segment experienced the highest annual average rate of price growth, at 37 per cent for the TREB market area as a whole, it is important to note that growth rates were above 30 per cent for all major home types including condominium apartments.

Source: Toronto Real Estate Board

February 2017 GTA REALTORS® Release Monthly Resale Housing Figures

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Toronto Real Estate Board President Larry Cerqua announced that Greater Toronto Area REALTORS® reported 8,014 residential sales through TREB’s MLS® System in February 2017.  Despite the fact that February 2016 had one more day due to the leap year day, this result was up on a year-over-year basis by 5.7 per cent compared to 7,583 sales reported last year.

“The February statistics tell me that many Greater Toronto Area households continue to view home ownership as a great long-term investment.  The high demand for ownership housing we’re seeing is broad-based, with strong sales growth for most low-rise home types and condominium apartments.  This makes sense given the results of a recent consumer survey undertaken for TREB by Ipsos, which found an even split between intending first-time buyers and existing homeowners who indicated that they were planning on purchasing a home in 2017,” said Cerqua.

According to the recent Ipsos survey of intending GTA home buyers, first-time buyers will continue to account for much of the demand for ownership housing in Toronto and the surrounding regions.  For the GTA as a whole, 53 per cent of likely buyers indicated that they would be first-timers – up from 49 per cent a year earlier.  First-time buying intentions were highest in the City of Toronto, where 64 per cent of likely home purchasers indicated they would be first-timers – up from 56 per cent a year earlier.  The higher percentage of first-time buyers in the City of Toronto likely relates to the prevalence of condominium apartments, which are a popular entry point into home ownership.

“There has also been much speculation, both in the media and among government policymakers, about the amount of foreign buying activity in the GTA.  A recent Ipsos survey of the TREB membership on foreign buying activity suggests that the impact of foreign buyers in the GTA marketplace has been somewhat overblown.  GTA-wide, the number of transactions accounted for by foreign buyers was less than five per cent.  Furthermore, the great majority – 80 per cent, to be exact – of foreign buyers were purchasing a home as a primary residence, a home for another family member to live in, or as an investment to rent out to a tenant, which is helpful in a tight rental market,” continued Cerqua.

“To date, the provincial government and municipal governments have resisted the implementation of a foreign buyer tax in the absence of empirical evidence. The Ipsos survey of TREB Members should further solidify the argument that the solution to strong rates of price growth and related affordability concerns lies not with taxing foreign buyers more, but rather with addressing the supply of homes available for sale, or lack thereof,” added Cerqua.

While the demand for ownership housing grew over the past year, new listings entered into TREB’s MLS® System in February were down on a year-over-year basis by 12.5 per cent to 9,834. This continues a pattern we saw throughout much of 2016, with the sales trend pointing up while the listings trend has been down, which has resulted in a contraction of the inventory of homes available for sale. TREB’s average months of inventory trend for February was at one month, while in many neighbourhoods across the GTA, inventory can now be measured in weeks rather than months.

“The listing supply crunch we are experiencing in the GTA has undoubtedly led to the double-digit home price increases we are now experiencing on a sustained basis, both in the low-rise and high-rise market segments. Until we see a marked increase in the number of homes available for sale, expect very strong annual rates of price growth to continue,” said Jason Mercer, TREB’s Director of Market Analysis.

The MLS® HPI Composite Benchmark Price was up by 23.8 per cent compared to February 2016. Similarly, the average selling price was up by 27.7 per cent year-over-year to $875,983. Annual rates of price growth continued to be strongest for low-rise home types, particularly detached houses. Growth rates for condominium apartment prices were also in the double digits, likely a result of strong demand from first-time buyers.

“Over the past year, we have reached a point where government policies that target only the demand side of the market, whether we’re talking about foreign buyers or further changes to mortgage lending guidelines, will not be enough to balance market conditions and moderate the pace of price growth,” continued Mercer.

“In 2017, policymakers at all three levels of government must turn their attention to the supply of homes available for sale. They should consider revisiting land-use designations in built-up areas to allow for a greater diversity of home types, streamlining development approvals and permitting processes, and looking at ways to incentivize landowners to develop their land,” suggested Cerqua.

A panel of industry experts was on hand at TREB’s recent Economic Summit, which served as a launch for TREB’s Market Year in Review & Outlook Report 2017, to share their take on the growing housing supply crisis in the GTA. Discussing the nature and scope of the crisis as well as possible solutions, the implications were clear: there is a housing supply crisis and the only way to solve it would be coordinated and innovative solutions by the government, private and not-for-profit sectors.

This and other issues, including a market outlook for 2017 and the impact of transit infrastructure and housing affordability were discussed at the Economic Summit and are touched on in the report. To learn more about the Economic Summit or to read a copy of TREB’s Market Year in Review & Outlook Report 2017, please visit www.TREBhome.com

 Source: Toronto Real Estate Board

February 2017 GTA REALTORS® Release Mid-Month Resale Housing Figures

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Greater Toronto Area REALTORS® reported 3,865 home sales through TREB’s MLS® System during the first 14 days of February 2017. This result was up by 11 per cent in comparison to the first two weeks of February 2016, when 3,480 home sales were reported.
The strongest annual rate of sales growth was experienced by the condominium apartment market segment, followed by the townhouse and detached segments. Sales were down on a year-over-year basis for semi-detached houses. The decline in semi-detached sales was supply-related rather than demand-related.
New listings reported by REALTORS® during the first half of February were down by almost 12 per cent compared to the same period in 2016. With sales up strongly compared to last year and new listings down quite sharply, market conditions appear to have tightened further, with more competition between buyers and continued double-digit growth in average selling prices for all home types.
The average selling price for all home types combined was $861,810 during the first two weeks of February 2017, representing a 27.1 per cent increase compared to February 2016. The highest annual average rate of price growth was reported for the detached market segment. The condominium apartment market segment, which has tightened considerably over the past two years, experienced a 17.9 per cent increase in the average selling price.

Source: The Toronto Real Estate Board

January 2017 GTA REALTORS® Release Monthly Resale Housing Figures

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Toronto Real Estate Board President Larry Cerqua announced that Greater Toronto Area REALTORS® reported 5,188 residential transactions through TREB’s MLS® System in January 2017. This result was up by 11.8 per cent compared to 4,640 sales reported in January 2016. Annual rates of sales growth were higher for condominium apartments than for low-rise home types.

January 2017 picked up where 2016 left off: sales were up on a year-over-year basis while the number of new listings was down by double-digit annual rates for most major home types.

“Home ownership continues to be a great investment and remains very important to the majority of GTA households. As we move through 2017, we expect the demand for ownership housing to remain strong, including demand from first-time buyers who, according to a recent Ipsos survey, could account for more than half of transactions this year. However, many of these would-be buyers will have problems finding a home that meets their needs in a market with very little inventory,” said Cerqua.

The MLS® Home Price Index (HPI) Composite Benchmark price was up by 21.8 per cent on a year-over-year basis in January.  Similarly, over the same period, the average selling price was up by 22.3 per cent to $770,745, with double-digit gains in the average prices for all major home types.

“The number of active listings on TREB’s MLS® System at the end of January was essentially half of what was reported as available at the same time last year.  That statistic, on its own, tells us that there is a serious supply problem in the GTA – a problem that will continue to play itself out in 2017.  The result will be very strong price growth for all home types again this year,” said Jason Mercer, TREB’s Director of Market Analysis.

Source: The Toronto Real Estate Board

January 2017 GTA REALTORS® Release Mid-Month Resale Housing Figures

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Greater Toronto Area REALTORS® reported 1,540 home sales through TREB’s MLS® System during the first 14 days of January 2017. This result represented a slight decrease of 1.5 per cent compared to the first two weeks of January 2016, when 1,564 home sales were reported.

Sales were down on a year-over-year basis for detached and semi-detached houses, both in the City of Toronto, and the surrounding regions making up the balance of TREB’s market area. This ebb in sales likely had more to do with a lack of listings than a lack of demand.

Sales for condominium apartments and townhouses were up on an annual basis.

New listings reported by REALTORS® during the first half of January were down by 24 per cent compared to the same period in 2016. Even with sales down slightly, the much stronger dip in new listings meant that market conditions tightened over the past year. Tighter market conditions translated into average low-rise home price growth above 20 per cent on an annual basis.

The average selling price for all home types combined was $692,234 during the first two weeks of January 2017, representing a 16.3 per cent increase compared to a year earlier. Average annual rates of price growth were driven by the low-rise market segments, but price appreciation for condominium apartments remained above 10 per cent for the TREB market area as a whole

Source: The Toronto Real Estate Board

December 2016 GTA REALTORS® Release Monthly Resale Housing Figures

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Toronto Real Estate Board President Larry Cerqua announced that 2016 was a second consecutive record year for home sales.  Greater Toronto Area REALTORS® reported 113,133 home sales through TREB’s MLS® System – up by 11.8 per cent compared to 2015.  The calendar year 2016 result included 5,338 sales in December – an annual increase of 8.6 per cent.

The strongest annual rate of sales growth in 2016 was experienced for condominium apartments followed by detached homes.

“A relatively strong regional economy, low unemployment and very low borrowing costs kept the demand for ownership housing strong in the GTA, as the region’s population continued to grow in 2016,” said Mr. Cerqua.

“It is important to point out that the strong demand that we experienced in 2016 was very much domestic in nature.  TREB recently commissioned Ipsos to survey its Members with regard to the level and type of foreign buying activity within the Greater Toronto Area.  The results of the Ipsos survey suggest that the level of foreign buying activity is low in the GTA.  Only an estimated 4.9 per cent of GTA transactions, in which TREB Members acted on behalf of a buyer, involved a foreign purchaser.  In the City of Toronto, the share of foreign buyers was five per cent,” continued Mr. Cerqua.

The methodology of the Ipsos research involved an online survey of the TREB Membership hosted on the Ipsos platform. A total of 3,518 surveys were completed between October 6 and October 21, 2016. The margin of error is ±2 percentage points 19 times out of 20. TREB will be releasing the full results of the Ipsos survey dealing with foreign buyers on January 31, 2017, in conjunction with its Market Year in Review and Outlook Report and related media event.

The annual rate of growth for the MLS® Home Price Index (HPI) in the TREB market area accelerated throughout 2016 – from 10.7 per cent in January 2016 to 21 per cent in December 2016.  The overall average selling price for calendar year 2016 was $729,922 – up 17.3 per cent compared to 2015.  The pace of the annual rate of growth for the average selling price also picked up throughout the year, including a climb of 20 per cent in December.

“Price growth accelerated throughout 2016 as the supply of listings remained very constrained.  Active listings at the end of December were at their lowest point in a decade-and-a-half.  Total new listings for 2016 were down by almost four per cent.  In 2016, we saw policy changes and policy debates pointed at the demand side of the market.  If we want to see a sustained moderation in the pace of price growth, what we really need is more policy focus on issues impacting the lack of homes available for sale,” said Jason Mercer, TREB’s Director of Market Analysis.

TREB’s Market Year in Review and Outlook Report and media event will include an expert panel and related submissions on the foundations of the housing supply issue in the GTA and possible solutions.

With continued strong rates of price growth, housing affordability is a growing concern.  Unfortunately, the City of Toronto’s Budget Committee is considering an increase to the Land Transfer Tax that could see buyers of average-priced homes pay another $750 to the City, which would represent a seven per cent increase to the $11,000 that they already pay City Hall as an upfront Land Transfer Tax closing cost.  This would be on top of the $12,000 that is also paid to the province.  First-time buyers could end up paying $475 more, or, at best, be no better off, even though the province recently doubled their first time buyer LTT rebate.

“The last thing people need is to dish out another $750, on top of the $11,000 that they already pay City Hall.  The City should be looking for ways to make housing affordability better, not worse, especially for first-time buyers who could go backwards, or at best, be no better off,” said Mr. Cerqua.  “The Budget Committee should stop this proposal in its tracks and instead enhance the rebate for first-time buyers.”

Source: The Real Estate Board

December 2016 GTA REALTORS® Release Mid-Month Resale Housing Figures

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Greater Toronto Area REALTORS® reported 3,196 home sales through TREB’s MLS® System during the first 14 days of December 2016. This result represented an increase of almost 18 per cent compared to the first two weeks of December 2015, when 2,713 home sales were reported.

Broken down by market segment, the strongest annual growth in sales was experienced for condominium apartments – both for the City of Toronto and the surrounding regions. Double digit growth in detached home sales was also reported, but this was driven solely by sales outside of Toronto. Within the City of Toronto, sales were down for all low-rise home types – likely due to a lack of listings rather than a lack of demand.

New listings reported by REALTORS® were down by 4.7 per cent year-over-year to 3,061. With sales up strongly and listings down, market conditions were tighter compared to a year earlier. Strong competition between home buyers continued to result in double-digit price increases.

The average selling price for all home types combined was $741,515 during the first two weeks of December, representing a 19.3 per cent increase compared to a year earlier. Average annual rates of price growth generally remained strongest for low-rise home types, but the pace of condominium apartment price growth continued to accelerate.


Source: The Toronto Real Estate Board

November 2016 GTA REALTORS® Release Monthly Resale Housing Figures

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Toronto Real Estate Board President Larry Cerqua announced that Greater Toronto Area REALTORS® reported 8,547 home sales through TREB’s MLS® System in November 2016. This result represented a 16.5 per cent increase compared to November 2015.

For the TREB market area as a whole, sales were up on a year-over-year basis for all major home types. The strongest annual rates of sales growth were experienced for the townhouse and condominium apartment segments.

“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,” said Mr. Cerqua.

The MLS® Home Price Index (HPI) Composite Benchmark was up by 20.3 per cent compared to November 2015. The average selling price at $776,684 was up by 22.7 per cent on a year-over-year basis.

“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,” said Jason Mercer, TREB’s Director of Market Analysis.

In January 2017, TREB will be releasing its second annual Market Year in Review & Outlook Report.  This report will contain a more in-depth discussion on the current state and future direction of the housing market in the Greater Golden Horseshoe. Detailed findings from Member and consumer surveys conducted by Ipsos will be released, including consumer intentions, buyer profiles and foreign buying activity.  The results of a TREB-commissioned study on transportation infrastructure on housing affordability will also be presented.

Source: The Toronto Real Estate Board

November 2016 GTA REALTORS® Release Mid-Month Resale Housing Figures

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Greater Toronto Area REALTORS® reported 4,051 home sales through TREB’s MLS® System during the first 14 days of November 2016. This result represented a 13 per cent increase compared to the first two weeks of November 2015, during which time 3,584 sales were reported.

Sales were up strongly for all major home types except semi-detached houses. The year-over-year dip in semi-detached transactions, both in the City of Toronto and surrounding regions, was not due to a lack of demand, but rather a lack of available listings.

TREB Members reported 5,494 new listings between November 1st and November 14th – up six per cent compared to the same period in 2015. While the annual growth in new listings was certainly welcome, the rate of growth was less than that reported for sales. This means that market conditions continued to tighten compared to last year.

The average selling price for all home types combined was $768,220 during the first two weeks of November, representing a 20.9 per cent increase compared to a year earlier. Average annual rates of price growth were strongest for low-rise home types, but average condominium apartment prices continued to increase strongly as well.

novembermarketwatchmidmonth2016

Source: Toronto Real Estate Board

October 2016 GTA REALTORS® Release Monthly Resale Housing Figures

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Toronto Real Estate Board President Larry Cerqua announced that Greater Toronto Area REALTORS® reported a record 9,768 sales through TREB’s MLS® System in October 2016 – up by 11.5 per cent compared to October 2015.  For the TREB market area as a whole, the largest annual rate of sales growth was in the condominium apartment market segment.  Detached home sales were up by 10 per cent year-over-year, driven predominantly by transactions in the regions surrounding Toronto.

“The record pace of GTA home sales continued in October, with strong growth observed throughout the month.  As we move through November and December, we will be watching the sales and listings trends closely, in light of the recent policy changes announced by the Federal Minister of Finance.  TREB will once again be conducting consumer survey work, in order to report on home buying intentions for 2017,” said Mr. Cerqua.

The MLS® Home Price Index Composite Benchmark was up by 19.7 per cent on a year-over-year basis in October 2016.  Similarly, the average selling price for all home types combined was $762,975 – up 21.1 per cent over the same time period.  Double-digit increases were experienced for all major home types for the TREB Market Area as a whole.

“New listings were up slightly in October compared to last year, but not nearly enough to offset the strong sales growth.  This meant that seller’s market conditions continued to prevail as buyers of all home types experienced intense competition in the marketplace.  Until we experience sustained relief in the supply of listings, the potential for strong annual rates of price growth will persist, especially in the low-rise market segments,” said Jason Mercer, TREB’s Director of Market Analysis.

 marketwatchoct2016
Source: The Real Estate Board

October 2016 GTA REALTORS® Release Mid-Month Resale Housing Figures

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Greater Toronto Area REALTORS® reported 4,460 home sales through TREB’s MLS® System during the first 14 days of October 2016. This result represented a 15.5 per cent increase compared to the first two weeks of October 2015. Similar to September, the strongest annual rate of sales growth for the TREB market area as a whole was recorded for the condominium apartment segment. While the market is tight for condo apartments, there is comparatively more inventory available, which has allowed for stronger growth in sales compared to the low-rise market segments.

The number of new listings was also up on a year-over-year basis during the first two weeks of October, but by a much lesser annual rate compared to sales. This means that, on the whole, the market continued to tighten with more competition between buyers. Intense competition between buyers in many neighbourhoods throughout the GTA continued to underpin double-digit annual gains in average selling prices. Due to the persistent lack of inventory, low-rise market segments experienced the strongest rates of price growth. However, it is important to point out that the condominium apartment market, particularly in the City of Toronto, also experienced year-overyear price growth in excess of 10 per cent.

marketwatchmidmonthoct2016Source: Toronto Real Estate Board

September 2016 GTA REALTORS® Release Monthly Resale Housing Figures

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Toronto Real Estate Board President Larry Cerqua announced that Greater Toronto Area REALTORS® reported 9,902 sales through TREB’s MLS® System in September 2016.  This result was up by 21.5 per cent compared to September 2015.

For the region as a whole, strong annual rates of sales growth were experienced for all major home types.  The pace of detached sales growth was slower in the City of Toronto and the number of semi-detached sales was down compared to last year.  In both cases, the year-over-year dip in new listings was likely the issue.

“We continued to see strong demand for ownership housing up against a short supply of listings in the Greater Toronto Area in September.  The sustained lack of inventory in many neighbourhoods across the GTA continued to underpin high rates of price growth for all home types,” said Mr. Cerqua.

Both the MLS® Home Price Index (HPI) Composite Benchmark and the average selling price for all home types combined were up strongly on a year-over-year basis in September.  The MLS® HPI Composite Benchmark grew by 18 per cent compared to September 2015.  The average selling price was up by 20.4 per cent to $755,755.  It is important to remember that the MLS® HPI provides a price growth measure for a benchmark home, thereby allowing for an apples-to-apples comparison from one year to the next.  The average selling price can be influenced by changes in both market conditions and the mix of homes sold.

“The Toronto Real Estate Board will be closely monitoring how the recent changes to Federal mortgage lending guidelines and capital gains tax exemption rules impact the housing market in the Greater Toronto Area.  While these changes are pointed at the demand for ownership housing, it is important to note that much of the upward pressure on home prices in the GTA has been based on the declining inventory of homes available for sale,” said Jason Mercer, TREB’s Director of Market Analysis.

marketwatchseptember2016Source: Toronto Real Estate Board

September 2016 GTA REALTORS® Release Mid-Month Resale Housing Figures

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Greater Toronto Area REALTORS® reported 3,847 home sales through TREB’s MLS® System during the first 14 days of September 2016. This result represented a 19.1 per cent increase compared to the first two weeks of September 2015. Annual sales growth was strongest for condominium apartments, but double-digit increases were also noted for low-rise home types on a GTAwide basis.

The supply of listings, or lack thereof, continued to be an issue in the TREB Market Area. The number of new listings was down by 4.4 per cent compared to the same period last year. The decline for the TREB Market Area as a whole was entirely due to a dip in new listings in the City of Toronto. This lack of listings in the ‘416’ area code likely played a role in the slower annual rate of sales growth in the City of Toronto versus the surrounding regions.

Average selling prices were up strongly year-over-year for all major home types. This speaks to the widespread market tightness in the GTA today, with intense competition between buyers of all types of ownership housing.

The conditions underlying strong demand for ownership housing, including relatively healthy labour market conditions and the continuation of low borrowing costs, remain in place. With this in mind, the persistent lack of inventory should result in further robust price growth for the remainder of 2016.

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Source: Toronto Real Estate Board

July 2016 GTA REALTORS® Release Monthly Resale Housing Figures

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Toronto Real Estate Board President Larry Cerqua announced that TREB REALTOR® Members reported 9,989 home sales through TREB’s MLS® System in July 2016. At just shy of 10,000 transactions, this was the best result on record for the month of July.While sales were up on a year-over-year basis, the number of new listings was down over the same period, representing the continuation of a troubling trend in the GTA.

“GTA REALTORS® have been working very hard on behalf of their buyer clients to help them find a home meeting their needs. Unfortunately, listings for single-detached and semi-detached houses and town houses continue to be in short supply. The result has been an increase in pent-up demand and annual rates of price increases well above the rate of inflation. Housing policy is now top of mind for all levels of government. Policy makers need to be focusing on solutions to the sustained lack of low-rise inventory throughout the GTA,” said Mr. Cerqua.

The MLS® Home Price Index (HPI) Composite Benchmark was up by 16.7 per cent in July 2016 compared to the same month a year earlier. Similarly, the average selling price for all home types combined was up by 16.6 per cent year-over-year to $709,825.

“Relatively strong labour market conditions, above-inflation average income growth, and record low borrowing costs have kept many households confident about purchasing a home. As long as very strong buying intentions are up against an extreme shortage of listings, expect home price growth to greatly outpace the rate of inflation,” said Jason Mercer, TREB’s Director of Market Analysis.

Source: Toronto Real Estate Board

June 2016 GTA REALTORS® Release Monthly Resale Housing Figures

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Toronto Real Estate Board President Larry Cerqua announced that Greater Toronto Area REALTORS® reported 12,794 residential transactions through TREB’s MLS® System in June 2016. This result was 7.5 per cent higher than the 11,905 sales reported in June 2015. In line with the prevailing trend so far this year, the number of new listings was down by 3.8 per cent.

“As I start my term as TREB President, we are certainly in an interesting environment for ownership housing. There is no doubt that demand is at a record level, but would-be home buyers continue to face an uphill battle against a constrained supply of listings, which has perpetuated strong price growth. Buyers and sellers alike continue to benefit from the value a REALTOR® brings to a transaction,” said Mr. Cerqua.

“As the federal, provincial and local levels of government discuss housing policy in the coming months, issues affecting the lack of supply in the GTA should be of paramount importance. TREB will be undertaking, and making public, results of additional research in the second half of 2016, with the goal of proactively adding to the housing policy discussion,” added Mr. Cerqua.

The MLS® Home Price Index Composite Benchmark was up by 16 per cent on a year- over-year basis. The average selling price for all home types combined was up by a slightly higher annual rate of 16.8 per cent to $746,546. The single-detached, semi- detached and townhouse market segments led the way in terms of price growth.

“When TREB surveyed consumer intentions for 2016, we found that the majority of GTA households who were likely to purchase a home continued to be pointed towards some form of ground oriented housing. This is why we continue to see strong competition between buyers in many neighbourhoods where supply remains constrained,” said Jason Mercer, TREB’s Director of Market Analysis.

Source: The Toronto Real Estate Board

June 2016 GTA REALTORS® Release Mid-Month Resale Housing Figures

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Greater Toronto Area REALTORS® reported 6,041 sales through TREB’s MLS® System during the first 14 days of June 2016. This result represented a 7.9 per cent increase compared to 5,598 sales reported for June 2015.

Year-over-year sales growth in the TREB market area was driven by transactions in the regions surrounding the City of Toronto. Sales in the ‘905’ and ‘705’ area codes were up strongly for all major market segments. In contrast, low-rise home sales were down in the City of Toronto compared to the same period in 2015. The annual low-rise sales decline in the ‘416’ area code was not due to a lack of demand, but rather a lack of listings to satisfy the housing needs of would-be home buyers.

The average selling price for the first two weeks of June 2016 was $758,507, which represented a year-over-year increase of 16.7 per cent compared to an average price of $649,741 reported for the same time period in 2015. Double-digit annual rates of average price growth were experienced for all low-rise home types.

Seller’s market conditions certainly remained in place in June, with an annual increase in sales up against an annual decline in new listings. As a result, strong competition between home buyers continued to influence robust rates of price growth.

jun2016midmonthSource: Toronto Real Estate Board

May 2016 GTA REALTORS® Release Monthly Resale Housing Figures

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Toronto Real Estate Board President Mark McLean announced that there were 12,870 home sales reported through TREB’s MLS® System in May 2016. This result represented a new record for the month of May and a 10.6 per cent increase over the same period last year. In contrast, the number of new listings was down over the same time frame by 6.4 per cent. The decline in listings was experienced in both the low-rise and condominium apartment market segments.

“Whether we’re talking about existing homeowners or people looking to purchase for the first time, there is no shortage of buyers in the marketplace today. So, while the record number of home sales through the first five months of 2016 is not necessarily surprising, it does sometimes mask the larger story in the GTA: the shortage of listings, which has resulted in strong upward pressure on home prices,” said Mr. McLean.

The MLS® Home Price Index Composite Benchmark was up by 15 per cent year-over-year in May 2016. Similarly, the average selling price for all home types combined was up by 15.7 per cent over the same period. Low-rise home types, which remained in short supply in many GTA neighbourhoods, experienced the strongest price growth.

“Widespread competition between buyers of singles, semis and townhouses across the GTA has underpinned the robust annual rates of price growth experienced so far this year. With this said, however, it is also important to understand that tighter market conditions for condominium apartments have resulted in price growth well above the rate of inflation in this market segment as well,” said Jason Mercer, TREB’s Director of Market Analysis.

Source: The Toronto Real Estate Board

Royal LePage Shelter Foundation’s 2015 Fundraising Results

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It is my pleasure to announce that in 2015 the Royal LePage Shelter Foundation raised $2.3 million – the most we’ve ever raised in a single year – in support of 200 women’s shelters and violence prevention programs across the country. Together, we have raised more than $22 million since 1998 to become the largest public foundation in Canada dedicated exclusively to supporting women’s shelters and putting an end to domestic violence.

Let’s make 2016 even better! Royal LePage all the way!

May 2016 GTA REALTORS® Release Mid-Month Resale Housing Figures

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Greater Toronto Area REALTORS® reported 6,010 sales through TREB’s MLS® System during the first 14 days of May 2016. This result represented a 7.1 per cent increase compared to 5,610 sales reported for May 2015.

For low-rise home types, year-over-year sales growth was strongest in the regions surrounding the City of Toronto. The fact that annual rates of sales growth for singles, semis and towns were lower in the ‘416’ area code speaks to the lack of listings in many Toronto neighbourhoods. There are many willing buyers in the marketplace today – the issue is that a substantial number of these households have not been able to find a home that meets their needs.

The average selling price for the first two weeks of May 2016 was $758,626, which represented a year-over-year increase of 16.1 per cent compared to an average price of $653,274 reported for the same time period in 2015. Double-digit annual rates of average price growth were experienced for all major home types.

The annual pace of average price growth for condominium apartments, while lower than that recorded for low-rise home types, was above 10 per cent for both the City of Toronto and surrounding regions. Even with strong new unit completions over the last few years, this market segment has become tighter as well.

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Source: Toronto Real Estate Board

April 2016 GTA REALTORS® Release Monthly Resale Housing Figures

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TORONTO, May 4, 2016 — Toronto Real Estate Board President Mark McLean announced that there were 12,085 sales reported through TREB’s MLS® System in April 2016. This result, which represented a record for the month of April, was up by 7.4 per cent in comparison to April 2015.

For the TREB market area as a whole, annual sales growth was experienced for all major home types except semi-detached houses. In the City of Toronto, sales were down for detached and semi-detached houses as well as townhouses on a year-over-year basis. This dip in sales in the ‘416’ area code was due to a lack of low-rise listings. Many would-be buyers were not able to find a home that met their needs.

“Demand remained strong for all types of ownership housing. This suggests that Canadians continue to see the value in investing in homeownership, and on May 17, I encourage all homeowners to celebrate with us on National Real Estate Day,” said Mr. McLean.

“While April’s sales result represented a new record for sales, that number could have been even higher if we had benefitted from more supply. In the City of Toronto in particular, some households have chosen not to list their home for sale because of the second substantial Land Transfer Tax and associated administration fee. The lack of available inventory, coupled with record sales, continued to translate into robust annual rates of price growth,” continued Mr. McLean.

Home selling prices continued to trend upward in April. The MLS® Home Price Index Composite Benchmark was up by 12.6 per cent year-over-year. The average selling price was up by 16.2 per cent. The higher growth rate reported for the average home price, as compared to the MLS® HPI, points to a greater share of high-end home sales this year compared to last.

“As we move into the busiest time of the year, in terms of sales volume, strong competition between buyers will continue to push home prices higher. A greater supply of listings would certainly be welcome, but we would need to see a number of consecutive months in which listings growth outpaced sales growth before market conditions become more balanced,” said Jason Mercer, TREB’s Director of Market Analysis.

Source: Toronto Real Estate Board