2017 was a record-breaking year for the GTA new construction market, with prices soaring as supply reached record lows.
There were 44,143 new GTA homes sold in 2017, according to Altus Group data released today by the Building Industry and Land Development Association. That means it was the fourth strongest year for new construction sales since 2000. (It comes in after 2002, 2011 and 2016.)
“Low inventory and escalating prices across the board are behind the highs and lows of the sales numbers we saw in 2017,” writes BILD president and CEO David Wilkes, in a statement.
Read on for 7 more stats that prove 2017 was a red hot year for the Toronto new construction housing market:
1. Condos made up a whopping 82.5 per cent of new homes sold in 2017, at 36,429 units sold. Meanwhile, single-family homes only made up 17.5 per cent of new homes sold (7,714 units), the lowest number on record since 2000.
2. Supply continues to be tight — at the end of December 2017, there were 11,397 new homes available for purchase, down 13.2 per cent from the end of December 2016, and down 60.3 per cent from the 28,739 homes available 10 years ago.
3. Barely any new single-family homes exist on the market. As of December 2017 there were only 3,481 single family homes available, down 74.4 per cent from 10 years ago.
4. A total inventory of between 20,000 to 30,000 is considered standard by Altus Group — for the past year and a half, the number has sat below 20,000.
5. “Our industry wants to build new homes to increase the housing supply in the GTA, but we need municipalities to work with us to expedite the process by simplifying the development approval process, updating zoning bylaws to align with provincial policies, and servicing developable land with critical infrastructure,” writes Wilkes.
6. The price of a new single-family home shot up to $1,225,774 in December, an increase of 23.3 per cent year-over-year. Meanwhile the price of a new condo was up a whole 41.3 per cent to $716,772.
7. “While many end user buyers have been looking to the new condominium apartment sector for more affordable homes, some are now starting to be priced out of this segment as well,” writes Altus Group executive VP of research consulting services Patricia Arsenault, in a statement.