What’s Happening In The Market
The Toronto Regional Real Estate Board (TRREB) has released its housing figures for January. With 5636 sales reported through the MLS, total transactions were down 18.2% from the same time last year. Though sales were down substantially compared to 2021, this January was still the second best for the month.
Despite high demand for home ownership, market conditions continue to tighten across all major housing types. With New Listings down 15.5% and Active Listings down 44% from the same time last year, there were only 4,140 homes on the MLS for sale at month’s end, or roughly a 21-day supply.
The average sale in January took place with 13 Days on Market, at an average of 13% over the listing price. Durham Region remains the hottest district, with the average home selling for 27% above the listing price in only 7 days. By comparison, the average sale in the City of Toronto was for 9% above the listing price with 18 Days on Market.
This historic supply shortage continued to drive prices upward in January. The average sales price reached a new high of $1,242,793, an increase of 28.6% compared to last year. The MLS Home Price Index (HPI) Composite Benchmark, which reflects annual inflation, was up 33.3% (+24.6% in Toronto).
Looking at price by category, detached homes sold for an average of $1,741,318, a year-over- year increase of 28.3%. The average price for semi-detached homes was $1,312,273 (+31.5%), townhomes rose to $1,083,000 (+34.8%), and the average price of condos was $748,566 (+24.5%).
This year will undoubtedly come with its share of challenges. Inventory is at its lowest level in decades, the population is growing, prices are rising at startling rates, and there is concern over interest rates and their impact on affordability. Despite this, TRREB predicts 110,000 sales for the year, which would make 2022 one of the busiest ever.
If buying or selling real estate is one of your goals for the coming months, be sure to speak with our team and take advantage of our experience with challenging market conditions.
For over 36 years, our clients have trusted us to minimize risk, offer unbiased opinions, and ensure their best interests are served. Contact us today to talk about your needs, by emailing us at evan@christensengroup.ca or calling us at 416-441-2888 ext. 772.
