Greater Toronto Realtors reported 3,781 residential sales through the Toronto MLS system in December 2018. The number of transactions in December represented a 22.5% decrease compared to 4,876 transactions reported in December 2017.
Residential sales in the GTA for 2018 totalled 77,426 which is a 16.1% decline compared to 92,263 sales in 2017. Total new listings entered into TREB’s MLS system were down by 12.7% over the same period. The overall selling price for 2018 transactions, at $787,300, was down by 4.3% year-over-year for all home types combined across the TREB market area.
For the region as a whole the semi-detached home type in the GTA experienced the largest sales decrease in December at 28.8%.
The number of new listings reported in December 2018 was down by 31.5% compared to December 2017. The number of active listings reported in December 2018 was down by 11.6% compared to December 2017.
“Higher borrowing costs coupled with the new mortgage stress test certainly prompted some households to temporarily move to the sidelines to reassess their housing options. With this said, it is important to note that market conditions were improved in the second half of the year, both from a sales and pricing standpoint,” said Gary Bhaura, TREB’s President.
The average price in December was up by 2.1% from the same time last year to $750,180. Condo apartments in the GTA led the way in terms of an average price increase at 9.9% compared to the same time last year.
“After spiking in 2017, new listings receded markedly in 2018. In many neighbourhoods, despite fewer sales from a historic perspective, some buyers still struggled to find a home meeting their needs. The result was a resumption of a moderate year-over-year pace of home price growth in the second half of the year. Price growth was strongest for less expensive home types, as many buyers sought more affordable home ownership options,” said Jason Mercer, TREB’s Director of Market Analysis.
Sales of Toronto (416 area code) condominium apartments decreased by 23.9% in December 2018. The average selling price of a Toronto condo (416 area code) increased by 11.4% in December 2018 from the same time last year to $594,381
Condominium apartments accounted for 31.3% of total GTA sales in December while detached homes accounted for 42.1% of the total sales.
Other notable statistics include the average days on the market for December at 31 days, up from 27 days a year earlier. The sales-to-listings ratio for December 2018 was 33.0% which is still classified as a seller’s market. A ratio from 24%-28% is considered a balanced market.
Sellers are looking for market value for their property. I prepare a comparative market analysis (CMA) for all of my Buyer clients prior to submitting an offer to determine the property's market value range
Real estate is very neighbourhood specific, building specific and even very street specific in some areas. The numbers as reported above are GTA averages. Results in one neighbourhood , on one street or in one building do not indicate that all other neighbourhoods, streets or buildings are experiencing the same results. We are still seeing multiple offers in some areas for the best homes and condos.
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