Just an update on what’s going on at the ground level of the Toronto real estate market. We’re seeing multiple offers on almost all properties and they’re selling actually at prices that were maybe higher than what they would have been in early 2020.
Any idea why this is happening? because the inventory just hasn’t come back to the market so all the buyers starting to see properties and make offers but there’s still a lot to choose from so the freehold market is extremely active right now. Let us tell you the current statistics for all properties throughout GTA.
Toronto Regional Real Estate Board President Lisa Patel announced that Greater Toronto Area REALTORS® reported 8,701 sales through TRREB’s MLS® System in June 2020. This result represented a very substantial increase over the May 2020 sales result, both on an actual (+89%) and seasonally adjusted basis (+84 per cent), and was only down by 1.4% compared to June 2019.
Year-Over Year Summary
New listings were up slightly on a year-over-year basis by 2.1%. However, active listings on TRREB’s MLS® System at the end of June 2020 were down by 28.8 % compared to June 2019 but notably at the end of May 2020 active listings were down by 42.8%. That’s really a big number of differences.
Median Price and Average Days on Market
Prices were dropped and the average median price in May 2020 was $850000 and average DOM was 18 but as per June 2020 stats average median price is $900000 and the average DOM is 14. Now, do you see the average days on the market? Is actually 14 days. It has dropped from 18 to 14, which means that the buyers are coming out and they’re buying homes quickly and the average price of going to the medium price range.
The MLS® Home Price Index Composite Benchmark was up by 8.2% year-over-year in June. The average selling price for all home types combined was $930,869 – up by 11.9% compared to June 2019. The actual and seasonally-adjusted average selling price was also up substantially compared to May 2020, by 7.8 % and 9.8 % respectively.
Average and benchmark selling prices were up year-over-year for all major home types. The strongest average annual rates of price growth were experienced in the detached and semi-detached market segments in the City of Toronto at 14.3 % and 22 % respectively. This, coupled with the fact that average selling price growth outstripped growth in the MLS® HPI benchmarks, points to a resurgence in the higher-end market segments.
So there’s a lot of variables out there but the market overall is a lot better than people had expected or predicted it to be as we go into phase two and hopefully phase three soon when the lockdown maybe actually stop.
We hope that was an interesting market update if you have any questions as always you can write to us and book an appointment to answer your queries on property Buying and Selling.
Always remember home is where your beautiful story begins that you cherish for a lifetime.