Toronto Market Update for April 2019

16 May 2019
Life and the City

New listings rose 8.2% last month in April compared with the same month last year, but at 12.2%, the annual growth rate of sales outpaced the rise in new listings. This dynamic means that market conditions are tighter, so price increases may accelerate.

Meanwhile, the average price for all property types in the Toronto area in April edged up 4.4% year-over-year to stand at $903,992. This sales spurt may represent some catch-up after a slower start to this year's spring housing market, and May looks set to be a month of strong numbers for the Toronto and GTA markets.

The resurgence of detached and semi-detached home sales in the 416 area was a notable shift last month in April. Detached home sales rose a considerable 19.9% and their average sales price increased by 0.1% year-over-year, while semi-detached homes saw increases of 6% in sales numbers and 3% in their average sales price. Toronto's condo segment continued to preform strongly, with an impressive 6% year-over-year increase in the average sales price and a 2.2% increase in sales.

However, while April sales were an improvement on last year’s tally for the same month, they still remain well below April levels for much of the past decade.

So what exactly is holding back sales in Toronto? The dearth of new listings is one major factor. Buyers who see little choice in the market may decide to wait until more properties become available. While sellers are coming to grips with the change in the market, potential buyers are still hoping for a further decline.

Another factor is that although mortgage rates have dropped during 2019, the dip hasn’t given buyers any added confidence. When rates are on the rise, some buyers will rush into the market to stay ahead of the increases, but when they’re falling, buyers wonder why and become nervous.

Wondering what this all means? We're here to help - let's chat! Fill in the form below or give us a call at 416.465.7850.

See a snapshot for each property type in the gallery above, and a summary of last month's notable milestones for the Toronto and GTA real estate markets, below. 


Summary of significant real estate milestones for Toronto and GTA markets in April 2019

  • April sales in the GTA were up 16.8% compared to last year (9,042)
  • The ratio of sales-to-listings in the GTA rose slightly to 50.1% in April – The spring market is finally here!
  • The average sale price of all property types in the GTA came in at $820,148– just barely positive compared to last year (up 1.9%)
  • Note that this overall market average was 10.7% lower than 2 years ago in April 2017
  • The GTA real estate market overall averaged the days-on-market at 19 – one day slower than last year
  • Detached home sales in April 2019 with a purchase price over $2,000,000 were up 13.6% (217 houses) while condo apartment sales over $2M were up 28% (23 suites)
  • The CONDO share of the market dropped slightly to 33.5% during the month 
  • Downtown condo active listing numbers were up by 19% in C01 and up in C08 by 24% from last year at this time
  • April condo sales were down 9.2% in C01 and lower by 1.2% in C08 compared to 2018
  • The downtown condo days-on-market average was 16-17 days – 2-3 days faster than the overall market 
  • The ratio of sales-to-listings for condos downtown was closely matched in C01 (66.6%) and in C08 (71.4%) but still higher than in the overall market.
  • Building on this higher demand due to better affordability, condo appreciation in the two main downtown markets averaged 4.7 to 5.9% year-over-year… slower than at any time in 2018 but still loads above the whole board average.
  • Markets in York Region and other 905 neighbourhoods have suffered the most from the market slowdown – all York Region communities are continuing to show that they’re in serious ‘buyer market’ territory
  • Expect sales and inventory to pick up more as we progress through the spring market in May through June where listings and buyers are most active - buyers should watch for more pricing opportunities to get the condo or house of their dreams.
 

We can help you understand how these market stats and current conditions may affect the property values in your specific area. Fill out the form below and we'll be in touch!