Price gains were impelled by the low-rise and condo markets
Home prices in the Greater Toronto Area reached a new record high in October amid depleted listings and heated competition, according to the Toronto Regional Real Estate Board (TRREB).
The average selling price across all housing types increased by 19.3% year over year to around $1.155 million. Much of the gains were due to sustained upward pressure from the low-rise market and the condo apartment sector, the TRREB said.
A total of 9,783 homes were sold in the region last month, up by approximately 8% from September and down by 6.9% year over year. The number of new residential listings in the GTA declined by 13% monthly and by 34% annually.
“A strong double-digit increase in condominium apartment sales mitigated annual declines in low-rise home sales,” the TRREB said. “The number of new listings entered into the system was down by almost a third over the same period, with consistent declines across all major home types.”
Read more: Are GTA condos set for a renaissance?
These figures point to “the broadening scope of economic recovery in the region,” the TRREB said. The trend will fuel household confidence that this recovery will sustain itself for the foreseeable future, the board added.
“The only sustainable way to address housing affordability in the GTA is to deal with the persistent mismatch between demand and supply. Demand isn’t going away. And that’s why all three levels of government need to focus on supply,” said Kevin Crigger, president of the TRREB.
“The federal government has stated that collaboration with provinces and municipalities is required. This collaboration could be spearheaded, at least in part, with housing-related incentives tied to federal infrastructure investment.”
