Photo: alyssa BLACK./Flickr
The Toronto housing market showed signs of stabilizing in April, and that might be something buyers and sellers can get used to, one of Canada’s biggest banks suggests.
“There was evidence that the Greater Toronto Area market is turning a corner with activity rebounding strongly in April and benchmark prices accelerating for a second-straight month,” notes RBC Senior Economist Robert Hogue in a report.
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According to the Toronto Real Estate Board (TREB), 9,042 homes changed hands throughout the GTA in April, up 6.8 percent from the same month a year ago.
Meantime, the average selling price held firm at $820,148, a slight increase of 1.9 percent annually and — according to early calculations from the real estate board that take seasonal factors into account — up 1.1 percent from the previous month.
“In the end, Toronto home resales did bounce back from February’s weather-struck levels. It’s just that it occurred in April, not March,” Hogue says.
Homebuilding construction also bounced back last month in Toronto, one more sign of stability, another analyst suggests.
Signs of stability in Toronto are part of what RBC indicates may be a “new normal” for the Canadian housing market, one that sees Vancouver continue to remain depressed.
While the worst might be over for Toronto, activity and prices in Vancouver remain far below where they stood last year.
The Real Estate Board of Greater Vancouver (REBGV) reports that home sales in April totalled 1,829, falling 29.1 percent on a year-over-year basis. The benchmark price of a home was $1,008,400, 8.5 percent lower than 12 months prior.
Based on RBC’s own seasonally-adjusted calculations, sales activity ticked up 2 percent from March.
“This could be a tentative sign of a cyclical bottom — or maybe not given the decidedly foul mood that continues to prevail in the market,” Hogue states.
“Vancouver buyers and sellers are still digesting the many housing policy changes at all levels of government, and it may take still longer for the market to turn around,” he adds.