July marked another record breaking month for the GTA housing market with the region’s realtors reporting 9,880 sales through the Toronto Real Estate Board’s (TREB) MLS System. The sales total amounted to an eight per cent increase over July 2014.
The GTA market has now broken sales records for four consecutive months and is on track for a new record for homes sales this year, according to TREB President Mark McLean.
Transactions were up for all major home types, with particular strength seen in the resale condo market. Condo sales were up 14.4 per cent in the GTA over last July, with the 905 region posting larger gains than Toronto-proper (416).
In a press release accompanying the report, McLean said that the record breaking sales activity can’t be attributed solely to low borrowing costs. McLean pointed out that the GTA economy has been performing well and the unemployment rate is lower compared to the previous year.
The average selling price in July was up 10.6 per cent year-over-year to $609,236. Meanwhile, the MLS House Price Index Composite Benchmark was up 9.4 per cent annually.
“With the level of inventory in the GTA trending below two months, many listings continued to generate a lot of interest from buyers. Not surprisingly, this supported further price increases well-above the rate of inflation. Assuming similar interest rate and economic environments over the next five months, strong price growth will remain the norm for the rest of 2015,” said Jason Mercer, TREB’s Director of Market Analysis, in the press release.
While the average sale price for a detached home in Toronto-proper was up 13.3 per cent year-over-year to $996,770, July marked the first time it has fallen below $1 million since it first moved past the million dollar mark in February.
The average price for a resale condo in Toronto-proper was $394,504 in July, up four per cent year-over-year. The sale price for a townhouse in the city rose 8.3 per cent to $536,212.