Thursday, 08 December 2011, Prices and sales activity continue to be strong in the Toronto housing market, according to the latest figures released by the Toronto Real Estate Board.
Transactions rose by 11% in November, year-over-year, while new listings during the same time period rose by 14%. Average prices rose by nearly 10% as well, with the average price registering in at $480,421. “We have seen strong annual sales growth through the 2011 fall market. The increase intransactions has been broad-based, with strong growth across low-rise and high-rise home types throughout the Greater Toronto Area,” said Toronto Real Estate Board (TREB) President Richard Silver. “The market has also become better supplied, with annual new listings growth outstripping that of sales. As this trend continues into 2012, we will see more balanced market conditions.”
Although prices continue to climb in the area, TREB contends that the housing market still offers affordable choices.
“Despite strong price growth this year, the housing market remains affordable in the GTA,” said Jason Mercer, TREB’s Senior Manager of Market Analysis. “The correct method of assessing affordability is to consider the share of the average household’s income that is dedicated to mortgage principal and interest, property taxes and utilities. Currently, this share remains in line with generally accepted lending guidelines. Given this positive affordability picture, average price growth is forecast to continue in 2012, albeit at a more moderate pace.”
Looking at housing types, sales for both detached housing and condos rose by 11%; sales for semi-detached homes rose by 13% and sales for town homes rose by 8%. For average prices, both condos and town home prices rose by 8%, year-over-year. Prices for detached homes rose by 10%, while semi-detached prices rose by 11%.
