AUGUST MARKET FIGURES AS REPORTED BY GTA REALTORS®
TORONTO, SEPTEMBER 5, 2019 – Toronto Real Estate Board President Michael Collins announced
that Greater Toronto Area REALTORS® reported 7,711 residential sales through TREB’s MLS®
System in August 2019. This result represented a 13.4 per cent increase compared to 6,797 sales
reported in August 2018. On a month-over-month basis, after preliminary seasonal adjustment, sales
were up by 0.8 per cent.
“GTA-wide sales were up on a year-over-year basis for all major market segments, with annual rates of
sales growth strongest for low-rise home types including detached houses. This reflects the fact that
demand for more expensive home types was very low in 2018 and has rebounded to a certain degree
in 2019, albeit not back to the record levels experienced in 2016 and the first quarter of 2017. The
OSFI mortgage stress test continues to keep some would-be home buyers on the sidelines,” said Mr.
Collins.
Market conditions also became tighter in August 2019 compared to a year ago because, while sales
were up year-over-year, new listings were down by three per cent over the same time period to 11,789.
Year-to-date, growth in sales has well outstripped growth in new listings. This is why overall active
listings counted at the end of August were down by more than 11 per cent compared to August 2018.
“The GTA’s strong economy, cultural diversity and internationally recognized quality of life continues to
attract newcomers to the region each year. This needs to continue for it to remain competitive on the
global stage. However, our housing supply has not kept up with population growth, which has led to
pent-up housing demand. The Province of Ontario, City of Toronto and other GTA municipalities have
recognized that housing supply is a key issue and are working toward solutions. With the federal
election less than two months away, all political parties should be making their housing policy stance
clear as well,” said TREB CEO John DiMichele.
The MLS® Home Price Index Composite Benchmark for August 2019 was up by 4.9 per cent on a
year-over-year basis. The average selling price, at $792,611 in August 2019, was up by 3.6 per cent
year-over-year. Both the MLS® HPI benchmark prices and average selling prices were up on an
annual basis for major market segments. The condominium apartment segment continued to lead the
way in terms of price growth, followed by higher density low-rise home types and finally detached
houses.
“This year’s market through August has been characterized by receding listings and increasing sales
relative to 2018. Competition between buyers has increased, which has led to stronger annual rates of
price growth, most notably during this past spring and summer. Right now, the overall pace of price
growth is moderate. However, if demand for ownership housing continues to increase relative to the
supply of listings, the annual rate of price growth will accelerate further. This underpins the importance
of solving this region’s housing supply issues, which will go a long way to insuring a sustainable pace of
price growth over the long term,” said Jason Mercer, TREB’s Chief Market Analyst.
Article courtesy Toronto Real Estate Board
Cameron and Scott have a decade of real estate experience. Keep up-to-date- with everything The WEIR Team is doing via Instagram – Twitter – Facebook