According to statistics released recently by the Canadian Real Estate Association (CREA), national resale housing activity picked up this autumn.
“The Canadian housing market remains a bright spot against a backdrop of mixed headline news about the global economy,” said Gary Morse, CREA President. “Low mortgage rates continue to draw buyers to the housing market, while recently tightened mortgage regulations are working as intended. That said, housing market trends often diverge from national trends due to local factors, so buyers and sellers should talk to a local REALTOR® to understand housing market trends at play where they live.”
The monthly rise in sales resulted in a tighter national housing market that remains firmly planted in balanced territory. Based on a sales-to-new listings ratio of between 40-60%, nearly two-thirds of all local markets in Canada were in balanced market territory in September, with an even split of buyer’s and seller’s markets among the remainder.
The greater Toronto area REALTORS® reported 7,642 home sales in October 2011. This represented an increase of 17.5% compared to the 6,504 transactions reported in October 2010.
While the Condo market reported 5,770 condominium apartment transactions in the third quarter of 2011, representing a 24% increase over the same period in 2010. The average selling price increased by almost 9% to $333,352.
The annualized rate of sales for October was 97,100, which was above the average of 90,700 for the first three quarters of 2011.
"The pace of October resale home transactions remained brisk in the GTA. This bodes well for a strong finish to 2011," said Toronto Real Estate Board (TREB) President Richard Silver. "Home buyers who found it difficult to make a deal in the spring and summer due to a shortage of listings have benefitted from increased supply in the fall."
The average selling price through the Toronto MLS® in October was $478,137, up 8% compared to October 2010.
"Sellers' market conditions remain in place in many parts of the GTA. The result has been above-average annual rates of price growth for most home types," said Jason Mercer, TREB’s Senior Manager of Market Analysis. "Thanks to low interest rates, strong price growth has not substantially changed the positive affordability picture in the City of Toronto and surrounding regions."