Sales and prices hit record highs, with low mortgage rates enticing buyers despite the worsening coronavirus crisis.
According to the Toronto Regional Real Estate Board (TRREB), it was the best September on record for home sales in the Toronto-area, with 42.3% more sales closing last month than in September of last year.
TORONTO, A RESILIENT REAL ESTATE MARKET
Even amid a global pandemic that saw the economy come to a near halt and COVID-19 lockdowns prevented home showings, sales through the first nine months of 2020 still managed to be up by 1% compared to the same period in 2019.
Mortgage rates are at record lows, with the five-year fixed rate below 2%. That has lowered monthly payments for mortgage holders, as well as made it easier for homeowners to pay down the principal debt on their homes.
LISTING AND SALES BOTH UP YEAR-OVER-YEAR BASIS
Number of new listings (8,689), number of sales (3,555)
While new listings were up strongly for all home types, growth in sales of new condominium apartments (1,549) outstripped growth in the city’s other market segments.
Despite the new listings, competition is fierce for low-rise properties, where there is more square footage and easier access to outdoor space resulting in the overall average selling price reaching a new record.
NUMBER OF SALES AND PRICES INCREASE
While condo sales rose 7% year-over-year in Toronto in September, the 905 regions saw the biggest jump in condo transactions with a 32.1% increase. Condo prices also rose more notably in the 905-area, up 8% to $537,354 compared to 7.7% and $686,191 in Toronto.
