In recent news, you may have heard rumours that buyers were “treading more cautiously” as they entered the fall market. The opposite couldn’t be truer in Toronto. This morning, Toronto Real Estate Board President Mark McLean announced that Greater Toronto Area REALTORS® reported a record number of transactions for the month of September through TREB’s MLS® System. There were a combined 8,200 home sales reported for September 2015. This result was a 2.5 per cent increase compared to September 2014.
For the first nine months of 2015 TREB MLS® sales amounted to 80,331 — a record year-to-date figure. Furthermore, there was a 9.5 per cent increase compared to the first three quarters of 2014.
“We are on track for record home sales reported through TREB’s MLS® System this year. Barring a drastic shift in the economy over the next three months, total transactions reported by TREB Members in 2015 are expected to be at or near the 100,000 mark. This is a testament to the importance that GTA households put on home ownership as a long-term investment,” said Mr. McLean.
The MLS® Home Price Index (HPI) Composite Benchmark Price was up by 10.5 per cent year over year. The average selling price for all home types combined was also up by 9.2 per cent annually to $627,395. Growth in the MLS® HPI Composite Benchmark and the average price was driven by the low-rise market segments, including detached and semi-detached houses and townhouses. (October 5, 2015 –TREB)
If you’re looking to enter the housing market and waiting for a drastic drop in home prices, don’t hold your breath. Sales have never been so strong and price growth remain on a steady pace for the rest of 2015 and well into 2016. For those looking for a nest egg or perhaps a new property to add to their portfolio, strike while the iron is hot—September was the second month where there was a growth in new listings, so supply is available. Don’t expect competition to ease, however, as homebuyers who have been patiently waiting for availability to loosen, finally have a window of opportunity. With the number of families growing, and both migrants from other cities in Canada as well as international immigrants flocking to the city, there is no telling how long this window will remain open.