April 2014 Market Review
Sales volume ticked up by about 1.8% in April 2014 over April 2013, despite an 8.4% decrease in the number of available listings. Strong demand in a reduced-supply environment drove prices up by an average of 10.1% (to $577,898) across the GTA market. Not surprisingly, the average days on market also declined year-over-year, from 23 to 20. So, homes are selling faster and for more money…. Who knew!? 😉
The demand is partially seasonal, with the aptly named ‘spring market’ gathering steam. We can count on more listings hitting the market (compared to the recent winter months) and that always draws out the buyers, many of whom have been ‘shopping’ for months – if not years. Additionally, it’s a reflection of the ever-present demand for housing in a healthy, growing city. TREB complains often and loudly (and, of course, rightly) about the Toronto Land Transfer Tax, but not even that clunker can stop the Toronto real estate market.
Although detached houses have been getting most of the attention recently, the resale condo market continues to do well, too. Condo sales in the 416 (exclusive of the 905) were up 3.2%, with prices edging up by 1.8%. (The corresponding numbers in the 905 are +8.2% and +8.1%.) The average sale price for a condo in Toronto is now 384,758.
The late arrival of spring-like weather seemed to delay the onset of the spring market, so I expect that the summer market will be strong, too. You frustrated buyers should try to take advantage of this temporary increase in supply, but if you can’t this time around just hang in there. “Slow and steady wins the race!”