Toronto-Toronto home prices continued to rise in March, but sales almost doubled in the same month last year, and the rapid expansion of COVID-19 led to widespread economic closures, said Toronto regional real estate. The committee reported on Tuesday.
Sales in the region reached a record 15,652 last month, up 97% from 7,945 in the same period last year.
Sales growth was very dramatic compared to March 2020, when the first economic effects of the pandemic had taken hold and both buyers and sellers were wary of the market.
Those fears disappeared long ago. Realtors and homeowners have reported a surge in sales since the beginning of the year, surpassing many of the most optimistic forecasts.
They say the number of people willing to buy now is likely to be more than make up for the low period last year.
“Confidence in economic recovery and low borrowing costs supported the record pace of home sales last month,” TRREB President Lisa Patel said in a statement.
In the first 14 days of March, this year’s sales were 6,504, up 41% from the number sold during that period last year.
Between March 15, 2021 and March 31, 2021, 9,148 sales were reported, an increase of 174% compared to the March 2020 COVID period.
It is important to divide the month into two. While the first half of March 2020 looked relatively average, home sales plummeted sharply due to restrictions imposed after the World Health Organization declared a pandemic on March 11.
A year later, the available inventories are not keeping up with the number of people looking for new homes, putting pressure on prices. Strong market activity shows widespread consumer optimism, but also sheds light on the persistent shortage of inventories. The GTA housing market affects affordability, “she said.
Average home prices in the region rose 21.6% from $ 902,787 last year to $ 1,097,565, and the list rose about 57% from 14,434 to 22,709.
The most dramatic price increases were seen in single-family homes, with average prices rising 26.6% to $ 1,402,849.
The average half-detached home was $ 1,045,519, up 17.5%, while townhouses were up 20.7% to $ 870,553.
Condominium price increases were minimal. The average price of condos rose 2.6% to $ 676,052.
“Sales growth, including the condominium market segment, has significantly outpaced listing growth, so competition among buyers in some market segments and the potential for double-digit price increases will provide a supply of sellable homes. It may continue without a significant increase, said Jason Mercer, chief market analyst at TRREB, in the release.
By Tara Deschamps