Sales Are Up And The Market Is Making A Comeback
The Toronto housing marketing continues to make naysayers eat their words as it once again had a great month. While the performance of the market was a bit of a surprise because it performed better than predicted, it definitely points to the fact that homeowners have little to worry about.
It has now been more than a year since skeptics began to warn of a real estate marketing crash, but this summer has proven otherwise. The market is strong, making a comeback as prices have rebounded and consumer confidence is returning.
September Numbers Reaffirm That the Toronto Market Is In Great Shape
The Toronto Real Estate Board (TREB) released the much anticipated GTA real estate sales numbers for September and once again proved that the market is healthy. Although the market has been slowly rebounding, September real estate sales across the GTA caught most by surprise. Undoubtedly, it has been a good summer for real estate in the Toronto housing market with sales up more than 20% compared to last year’s numbers.
With detached home sales up almost 32% and with the average home price up 6.5%, it remains a great time to sell. The average home price in September was $533,797.
Vancouver Real Estate Market Echoed Toronto’s Performance in September
Vancouver rebounded nicely in September as well. The city saw real estate transactions go up by more than 50% in September, which is good news for a market that was hit hardest by the real estate slowdown in 2012. This is good news for the Canadian real estate market in general, especially amid the tougher mortgage lending rules that were put in place by the Federal Government late last year.
Condos Sales Are Up Too! And, So Is Everything Else!
Perhaps the biggest surprise of the month was the strong performance of the Toronto condo market in September. In a market that was thought to be down and out, the Toronto condo market had a great month, boasting a sales increase of more than 30% across the GTA. Condo prices also climbed almost 4% when compared to last year’s numbers, with the average price being $363,149. This is a good sign for a market that was thought to be in dire straits only a few months ago.
The city also saw an increase of sales for other properties:
- Detached homes were up almost 32% compared to last year with the average price in Toronto being $856,169.
- Semi-detached home sales were up over 10% in Toronto and more than 20% in the GTA.
- Townhome sales increased by more than 18% across the GTA.
With sales increases for condos, detached, semi-detached, and townhomes, there is no doubt that September was a great month for Toronto real estate.
Factors That Have Helped Market Growth
There are a number of factors that have played a large role in the growth of the market in September. They include:
- Confidence in the housing markets continuous growth as the real estate market continues to prove skeptics wrong.
- Buyers are taking a more proactive approach and are weary that prices will only continue to rise if they wait.
- The market has adjusted to the stricter mortgage lending rules.
- Buyers are now saving larger down payments and have the confidence to start looking again.
- Poor weather in the spring could have caused buyers and sellers to wait until the summer months to sell.
With demand on the rise, many realtors expect the market to continue to perform well into the fall. Subsequently, we could see good numbers once again in October and in the coming months.