Condos are up 10 per cent year over year in the Greater Toronto Area to $570,140, far outpacing other property types according to the Toronto Real Estate Board. Condos for sale in Toronto have demonstrated sustained price growth throughout 2018, even as other market segments have dipped.
This trend held true for September: detached homes slipped 0.6 per cent to an average of $1,008,361, semi-detached homes grew 5.3 per cent to $792,353 and townhouses are up 4.1 per cent to $634,314.
“Generally speaking, annual rates of price growth have been stronger for higher density home types in 2018, including condominium apartments, townhouses and semi-detached houses,” said Jason Mercer, TREB’s director of market analysis.
“In many neighbourhoods, these home types provide more affordable home ownership options. This is why a policy focus on increasing mid-density housing options throughout the GTA is important.”
Across the GTA, 1,791 condo units were sold, slightly less than last September’s 1,860. But prospective buyers are just as eager: the average days a unit sits on market is 24, just one day more than last year. The most expensive area in the TREB region to purchase a condo remains the City of Toronto, with the average price climbing 11.7 per cent from last year to $615,582. The centre of the city is even more expensive, with the average price reaching $687,701.
That means a condo in downtown Toronto is pricier than than a single-family home in Durham Region, Dufferin County and Simcoe County. Yet, buyers often find more value in avoiding a commute, having a maintenance-free lifestyle and being close to varied entertainment. Prices for condos are likely to see sustained growth as long as there continues to be an undersupply of units. “As the GTA population continues to grow, the real challenge in the housing market will be supply rather than demand,” said TREB President Garry Bhaura. “The Toronto Real Estate Board is especially concerned with issues affecting housing supply as we move towards municipal elections across the region.” Demand is likely to remain high for years to come with no new suburbs being built in the GTA, because of the Greenbelt, reduced affordability for buyers because of new-lending rules and high investor, speculator and foreign-buyer interest.
Check out the infographic for all the details:
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