Photo: Daniel X. O’Neil/Flickr
In March, there were 5,711 new low-rise homes available for purchase in the GTA, a 33 per cent drop from the year before. And fewer properties translated into higher prices. According to RealNet Canada, the average sale price for a new ground-level home in the GTA rose 12 per cent, year-over-year, to a new record high of $738,731.
“This is a perfect example of demand outpacing supply,” explained BILD president and CEO Bryan Tuckey in a news release. “New ground-related homes are sold as soon as they are introduced into the market, resulting in high sales figures for the month, but low inventory overall.”
The new numbers illustrate the growing schism between low-rise and high-rise homes in the region. There were 19,517 new condos on the market in March, or more than three times the amount of low-rise homes. However, despite the inventory, the average sale price for new condo still rose 3 per cent to $450,133. This puts the price gap between the two property types at $288,598.
Though inventory was down, the 1,771 low-rise sales represented a 6 per cent rise above levels recorded in March 2014. The sales tally was also up 11 per cent from the 10-year average. In contrast, the 1,719 new high-rise sales in March were 33 per cent lower than sales in the previous year and 2 per cent below the average of the last decade.
In Toronto-proper, the drop in new condo sales was a bit more stark, falling from 2,169 in March 2014 to 1,248 last month, a 43 per cent drop.
Taking a longer view of 2015, the numbers are less dramatic though they still point to the major differences between the housing types. Year-to-date, there were 4,378 new low-rise sales throughout the GTA, up 9 per cent from the same period the year before. Meanwhile, the region saw 4,134 new condo purchases between January and March 2015, a 15 per cent drop from 2014.