October 6, 2021 | Buying

As summer swiftly ended -as it does every year- September marked the transition from our slower-paced summer market to the notoriously busier fall market in the GTA. Each year, we tend to see an increase in sales, average selling price and listings after Labour Day, and September 2021 did not disappoint. Sales relative to August were also at the third-highest mark on record for the month of September. The average selling price had increased both month-over-month and year-over-year.

9,046 sales were reported through TRREB’s MLS System in September- carrying on the regular seasonal trend we saw in August. Compared to September 2020, market conditions noticeably tightened as home sales outpaced the number of new listings by a mile across the board. Recovery in the condo market was certainly a factor in the higher share of listings sold. The total number of sales was down by 18% from 2020’s record September numbers, which was primarily due to the lesser number of new listings, which was down a staggering 34% compared to last September.

Demand has most certainly not decreased, in fact, it’s become more prevalent than ever throughout September. The high demand is accompanied by many qualified Buyers who would buy a home tomorrow provided they could find a suitable property; the low inventory continues to pose a problem to Home Buyers. New listings were down by 1/3 compared to last year, purchasing a home for many is much easier said than done. The lack of housing supply and selection has reached a critical point; band-aid policies to artificially suppress demand have not been effective. This housing market issue is not something that can be solved solely by one level of government; there needs to be a federal, provincial and local collaborative solution.

The MLS Home Price Index Composite Benchmark was up by 19.1% year-over-year in September 2021. The average selling price for all home types combined was up by 18.3% year-over-year to $1,136,280. The price growth that we saw in September continued to be driven by the low-rise market segments including detached, semi-detached, and townhomes. However, the competition between buyers for condo apartments has picked up significantly over the past year. This amplified competition has led to an acceleration in price growth over the past few months as first-time home Buyers re-entered the ownership market. This trend is predicted to continue.

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.

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