Toronto Houses for Sale: TRREB Highlights June Inventory Growth
A recent industry survey reports that nearly 50% of Canadians have not given up on their dreams of owning a home. The time scale seems to have been extended to 5 years, but this percentage is higher than last year’s numbers. Of course, there are some hurdles on the way, but it is an encouraging sign that real estate remains a priority in the country, either as a necessity or an investment.
Given the challenge of finding a Toronto condo that fits into their budget, more people are looking at a wider area. However, anyone who wishes to dabble in real estate in the Greater Toronto Area (GTA) requires a keen understanding of the trends and options available, from Toronto houses for sale to Brampton condo apartments and townhouses.
Toronto and the GTA have perpetually shifting housing markets that are a reflection of the regional market and the global economic climate. Given the high costs, it is vital that investors and first-time home buyers stay abreast of the latest inventory growth, pricing trends, and high-demand property types in the GTA.
Let us walk you through last month’s performance of the GTA housing market. Take a closer look at the current sales and pricing trends, discover the types of properties in high demand, and the regional market shifts that can influence your decisions.
This article will provide a comprehensive outlook to assist you in your quest to find the perfect house for sale in Toronto.
Table of Content
June Inventory Growth Insights
In June 2024, the GTA witnessed a notable surge in its housing inventory, with active listings skyrocketing by 67.4% to 23,613. This increase, as reported by the Toronto Regional Real Estate Board (TRREB), is suggestive of a market where a potential buyer might find more options and more leverage in negotiations.
The Bank of Canada‘s rate cut at the beginning of the month—the first in four years—has not brought notable confidence in homebuyers, who remained on the sidelines. This led to a 16.4% drop in sales compared to last year, which, combined with a higher-than-normal inventory, resulted in a dip in the average selling price to $1,162,167.
Average Selling Prices and Trends
The average price for a house in Toronto as of June 2024 was $1,173,7819. This 1.9% increment signals a mild recovery.
Brampton’s average price increased by 0.7% from the previous month to $1,009,802, though its benchmark price saw a steep dip. Mississauga home prices have fared better, with a smaller 0.8% decrease from the previous year to $1,103,727.
On the other hand, the average price for a condo was $727,861, a decrease of 1.5% from last year. The overall GTA market experienced a dip in June 2024, with home sales falling 16.4% compared to June 2023.
The fluctuating sales and pricing trends in the GTA housing market across property types underline the need for staying informed and agile, whether you’re looking to buy a home or invest in real estate.
High-Demand Property Types
In the GTA housing market, certain property types stand out due to their consistent demand, particularly among those looking for value within specific price brackets. Here’s a closer look at the high-demand property types in the Toronto real estate market.
Detached Homes Under $1.5M
If you are interested in detached homes priced under $1.5 million, your investor intuition is well-placed.
As reported by TRREB, there is a strong demand for detached homes in Toronto, especially in the mid-range segment. Detached homes priced under $1.5 million accounted for 43% of total transactions year-to-date, while homes in the $1,000,000 to $1,249,999 range made up another 22%.
Other In-demand Price Brackets
Going up the price range to the $1,250,000 to $1,499,999 bracket.
With 21% of transactions year-to-date, this range indicates upscale options for buyers without moving into the luxury market. The average year-to-date price for detached homes in Toronto remains stable at $1,470,645, underscoring the enduring appeal of this property type.
The current market, with a well-supplied inventory and lower borrowing costs, presents favourable opportunities for first-time home buyers.
Toronto Market Shifts
Condo apartments in Toronto saw a steep decline, with a 29.1% drop in condo sales compared to last year. This was despite a sluggish resale market and some Realtors complaining of unsold inventory,
Various factors contribute to this situation, including unaffordable prices, high interest rates, and location. However, an often overlooked but crucial factor is unit size.
Millennials, including immigrants, young and multi-generational families, face a space crunch. The more affordable one—or one-plus-bedroom condos do not meet their needs, and while higher-end condos are available, they do not address the housing challenges that families face.
Semi-detached homes and townhouses also experienced significant decreases of 20.8% and 13.4%, respectively. Detached homes weren’t spared either, recording a 7.2% fall.
Surrounding Areas (Peel Region, York Region)
The surrounding areas also echoed similar market behaviours with their unique patterns.
Peel Region demonstrated significant activity, with 552 sales in Mississauga, 489 in Brampton, and 79 in Caledon. York Region wasn’t far behind, with notable sales figures in Vaughan (310), Markham (260), and Richmond Hill (161).
These sales numbers highlight market resilience and challenges across different regions. Potential buyers and investors need to get localized insights from experienced realtors before jumping into the GTA housing pool.
Conclusion
This blog provides nuanced insight into the Greater Toronto Area’s housing market, including inventory fluctuations, trends across various types of properties, and the implications of regional market shifts.
These insights show glimpses of the GTA’s housing market, highlighting a potential time of opportunity for homebuyers and investors. It is recommended that they stay well-informed and consider where gaps in the market might positively impact their search for the ideal home.
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