TREB: Economic recovery in the GTA is strong
Resale housing market conditions continued to moderate in the Greater Toronto Area last month. With 6,564 homes changing hands in July, activity declined 34 per cent from July 2009 when there 9,967 sales. On the year, existing home transactions were up 12 per cent compared to the first seven months of 2009.
Given that real estate conditions vary in individual areas, specific figures for the 416 and 905 areas are important to consider. In the 416 area there were 2,582 sales, while 3,982 transactions took place in the 905 region. As compared to July 2009, when there were 3,880 sales in the 416 area, activity in the city decreased by 33 per cent. In the 905 region activity decreased by nearly 35 per cent compared to July 2009`s 6,087 transactions.
Interestingly, moderate sales activity has not had an unfavourable effect on home values. New listings dipped to the lowest level for July since 2002. This means that there was enough competition between buyers to continue to see upward pressure exerted on the average selling price of a resale home in the GTA. With 21,714 active listings throughout the GTA, there is about 10 per cent less choice in the market compared to a month ago, when 23,923 homes were available for sale.
The average selling price of a home in the GTA last month was $420,482, a 6 per cent increase over the July 2009 average of $395,414. Average price growth, meanwhile, was marginally stronger in the 905 region than in the 416 area. In the 416, the average price of $444,459 rose nearly 6 per cent from $421,110 a year ago. In the 905, the average price of $404,935 grew nearly 7 per cent from July 2009`s average price of $379,035.
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