MARCH CONTINUES THE MOMENTUM: WHAT’S HAPPENING IN THE MARKET?

As we wrap up the first quarter of 2022, the sales and growth trends that we saw in the housing market in January and February remained consistent in March. TRREB’s MLS System reported a total of 10,955 sales in March 2022, a 30% drop compared to March 2021, while home prices continued to grow, with average prices rising 18.5% year over year.

March saw sales drop in all segments of the market, with detached and semi-detached homes having the highest drops of 35.3% and 33.4% respectively, while condominiums had the lowest dip in sales. New listings also dropped year over year, however by a lesser rate than sales. This is good news for buyers as they experience less competition with higher supply levels in the market compared to 2021.

While sales experienced a drop, March still reported the second-best first quarter in recorded history. Tight market conditions meant that average prices rose, with an average sale price of $1,299,894 in March 2022 compared to $1,097,351 in March 2021. The average sale prices in March dipped slightly month-over-month, which is in part a result of a greater proportion of sales shifting to condominiums, which sell at a lower average price compared to other segments of the market.

“Now is the time for governments to govern and focus on measures that are proven to increase housing supply. The GTA population will experience rapid growth in the coming years as our region’s economic strength and diversity continues to attract people from around the world. In order to sustain this growth, we need adequate housing supply and choice. This needs to be the focus of policymakers rather than short-term and ineffective measures to artificially suppress demand,” said TRREB President Kevin Crigger.

Market conditions still remain very tight across the GTA, and while prices continue to experience growth, the first quarter of 2022 saw a more balanced market than 2021. If this trend continues, TRREB analysts predict a moderating pace of price growth throughout the rest of the year.

There is no doubt that transacting in Real Estate has certainly transformed – Throughout this pandemic we have had the pleasure of servicing a number of our clients, resulting in successful and most of all SAFE transactions throughout. Severe precautions are in place, and while we keep those in the forefront, we are still here to offer our guidance and expertise to help you make the next real estate move that is right for you and find ways to take advantage of the current Toronto Real Estate Market. Contact us today for a no-obligation discussion on how we can help you throughout your real estate journey.