Summer 2015 Market Review
In my June market review I noted that “July is shaping up to be busier than usual“. It already seemed to be the case in the first week of the month, and the rest of the month maintained that pace, once again setting a Toronto sales record. There were 9,880 sales reported to TREB, an 8% increase over July 2014. At the same time, the number of new listings edged down slightly from 15,081 to 14,699, a decrease of -2.5%. The overall number of available listings declined -14.7%, from 19,549 in July 2014 to just 16,673.
Strong sales activity amid declining supply, and a generally healthy GTA economy, combined to drive up the average sale price to $609,236, a 10.6% over last July ($550,625). TREB’S HPI was up by a slightly more modest 9.4%. Both numbers are significant.
Condo sales continued to surge in the 416 (Toronto), with volume up 13.4% over last July. The average price of $394,504 represented a very manageable increase of 4% year-over-year.
August continued the record-setting trend, with sales up 5.7%, to 7,998 (over 7,568 in August 2014). While new listings (12,628) were up 8.3% over last year (11,659), the number of total listings (15,997) was actually down 10.5% from last year (17,882) – which is not surprising given the level of sales activity that we’ve seen throughout the year.
Overall, the average price for the month was $602,607 – down a touch from the previous month, but up 10.4% over August 2014 ($546,482 ). This reflects the well-established intra-annual trends in the Toronto real estate market: surging spring market, sideways summer, followed by another surge in the fall.
Condo sales in the 416 for the month were up 10.1%, and the average sale price was $406,587, up 9.5% over last August. The condo segment is strong, and will stay that way for the foreseeable future.
Back to school typically marks the beginning of the fall market. There will be plenty of new listings hitting the market over the next couple of months, which is great for buyers. It’s also positive for sellers, and the overall increase in listings draws out more buyers. It’s an exciting time!