Photo: James Bombales
The spring home buying season started off strong with March recording 8,940 sales of existing homes in the GTA, 11 per cent more than the same time the year before. According to the Toronto Real Estate Board (TREB), new listings also rose at a rate of 5.5 per cent, year-over-year, indicating tight conditions.
The biggest sale increases were for two very different property types: there were 3,421 transactions for detached houses in the 905 region, a 17.3 per cent surge from last year, while condo sales in the 416 rose 13.5 per cent to 1,506.
Another sign of a tight market? The double-digit price growth. The average sales price for a GTA home in March was $613,933, up 10 per cent from 2014.
The MLS HPI Composite Index, which tracks benchmark homes with the same attributes from one period to the next, also saw a significant uptick of 7.9 per cent. The 416 area code kept close to the overall GTA increase, rising by 7.8 per cent. But looking closer at property types, detached houses in the City of Toronto saw the index rise an incredible 15.9 per cent.
“It is clear that seller’s market conditions in many parts of the GTA are driving price growth. However, looking at the detached market segment in the City of Toronto in particular, growth in the average selling price outstripped growth in the MLS HPI. This points to the fact that the mix of detached homes sold this year compared to last has shifted towards more expensive properties,” said Jason Mercer, TREB’s Director of Market Analysis.