The Toronto condo market has perked up compared to the big drop-off in condo sales experienced in the first quarter of 2013. According to the latest numbers from Urbanation, the first three months of 2014 saw condo resales total 3,482 units, up 9 per cent from a year ago. The new condo market also performed well, with a total of 5,140 transactions, up from the 2,728 units sold in 2013, a five per cent increase from the five-year average for first quarter activity.
How does that compare to the 2013? Here’s a refresher: in Q1 2013, 2,728 new condos were sold, a 29 per cent drop from Q4 2012 and a 55 per cent plummet from the first quarter of 2012.
However, the 12-month total for new condo sales reached 16,377, which still falls below the decade average of approximately 18,000 units.
“Toronto’s new condo market has proven resilient in early 2014, although activity remained very centralized and some new projects were likely pulled forward into the first part of the year,” said Shaun Hildebrand, Urbanation’s Senior Vice President, in the news release.
“As sales pick up in the outer 416 and 905 markets, overall volumes will be able to sustain this recent pace.”
Here are a few other points from the report:
- Condo resale prices grew by 5.1 per cent to an average of $414 per square foot.
- The reduction in supply and shift in sales to relatively higher priced projects in the Toronto-proper pushed the average selling price for all units in development up by 3 per cent, year-over-year, to $549 per square foot.
- Asking prices for unsold units edged up for the first time since mid-2012 to an average of $574 per square foot.
- Resale market conditions tightened with 13 per cent fewer listings in Q1 2014 compared to 2013.
- Over 16,000 units have registered over the past 12 months, including 4,152 units in Q1-2014; the resale universe should expand further with the first quarter seeing the completions of 5,009 units.
- Unsold inventory within projects in active development declined by 5 per cent to 18,293 units — its lowest level since 2012.
For more details, check out Urbanation’s infographic: