TREBB Releases MAY GTA Market Statistics
The Greater
Toronto Area (GTA) housing market continued to improve from a sales perspective
in May 2023. Unfortunately, the supply of homes for sale did not keep up with
the demand for ownership housing. Sales as a share of new listings were up
dramatically compared to a year ago. This is a clear signal that competition
between buyers increased substantially compared to last year, resulting in the
average selling price reaching almost $1.2 million last month.
“Despite the
fact that we have seen positive policy direction over the last couple of years,
governments have been failing on the housing supply front for some time. Recent
polling from Ipsos found that City of Toronto residents gave Council a failing
grade on housing affordability and pointed to lack of supply as the major
issue. This issue is not unique to Toronto. It persists throughout the Greater
Golden Horseshoe. If we don't quickly see housing supply catch up to population
growth, the economic development of our region will be hampered as people and
businesses look elsewhere to live and invest,” said Toronto Regional Real
Estate Board (TRREB) President Paul Baron.
GTA REALTORS®
reported 9,012 sales through TRREB’s MLS® System in May 2023 – a
24.7 per cent increase compared to May 2022. Conversely, new listings were down
by 18.7 per cent over the same period. On a month-over-month seasonally
adjusted basis, sales were up by 5.2 per cent compared to April 2023.
“The demand
for ownership housing has picked up markedly in recent months. Many homebuyers
have recalibrated their housing needs in the face of higher borrowing costs and
are moving back into the market. In addition, strong rent growth and record
population growth on the back of immigration has also supported increased home
sales. The supply of listings hasn't kept up with sales, so we have seen upward
pressure on selling prices during the spring,” said TRREB Chief Market Analyst
Jason Mercer.
The MLS®
Home Price Index (HPI) composite benchmark was down by 6.9 per cent
year-over-year in May 2023, but up by 3.2 per cent on a seasonally adjusted
monthly basis compared to April 2023. The average selling price, at $1,196,101,
represented a small 1.2 per cent decline relative to May 2022. On a seasonally
adjusted monthly basis, the average selling price was up by 3.5 per cent
compared to April 2023.
For the full report, continue to read HERE
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