In March 2023, the GTA housing market was tighter than last year but showed signs of resurgence. Average selling prices were down 14.6% YoY but up slightly from Feb 2023. Sales volume decreased by 36.5% but jumped by 44.2% from Feb 2023. Improving sales volume and stability in prices show buyers and sellers are coming back.
Sales volume fell from this time last year, but actual inventory fell even more. Demand continued to shift to the more affordable home types, especially those under the $1M price. Despite an 18% drop in home prices from last year, there was a slight bounce up 5.5% from January.
In Jan '23, Toronto real estate market saw stability from the previous month, but a significant drop from last year with 16.4% decrease in average home prices and 44.6% decline in sales volume. BoC suggested it may hold interest rates depending on the economic outlook.
In 2022, the GTA saw 75,140 home sales, a low not seen since 2008. This is a 38.2% decrease from 2021’s record breaking high of 121,639. Average selling price was $1,189,850, which was up 8.6% from $1,095,333 in 2021.
TRREB reported fewer sales and new listings compared to last year due mostly to higher borrowing costs. From Oct 2022, average prices and sales volume of all housing types went through decline except detached homes, which had some price support after experiencing the greatest price drops from this year's peak.
Average sale prices and volumes have remained steady for the previous three months. While most home types decreased in value from last year, condos retained their value best. Affordability and economic uncertainty continue to be issues affecting demand, which seems balanced with relatively low new inventory.
The effects of inflation, interest rate hikes, and improved supply were not able to curb modest price growth from the previous month. There was still some demand to buy, but not at the same prices as last year, especially for detached homes, leaving many listings still active.
Prices similar to last month and last year. Volume up from last month and down 34.2% from last year. Sales of detached homes were stronger relative to others compared to last month while prices remained down year-over-year. Increased interest rates will likely continue to apply pressure on prices.
Demand has not kept up with the moderate supply levels. Sales volume continued to decline through seasonality and concerns over affordability. Overall home prices also fell by 6.2% from the previous month but are still up 1.2% from last year. Expensive home segments were more heavily affected.
Home prices decreased by 5.5% and volume decreased by 11.1% from May 2022 but prices are still up from last year. The market appeared slower, despite more active listings.
Mortgage and affordability concerns have pushed prices down and certain buyers may be waiting for prices to stabilize before re-entering the market despite higher borrowing costs.
