Greater Toronto REALTORS® reported 7,032 sales in February 2012 – up 16 per cent compared to February 2011. New listings were also up over the same period, but by a lesser 11 per cent to 12,684. It is important to note that 2012 is a leap year, with one more day in February. Over the first 28 days of February, sales and new listings were up by ten per cent and six per cent respectively. full report
The average selling price in the TREB market area was $502,508 in February – up 11 per cent compared to February 2011. The Composite MLS® Home Price Index for TREB, which provides a less volatile measure of price growth compared to the average price, was up by 7.3 per cent compared February 2011.
Low rise homes led price appreciation with double digit growth in average selling price in all property types including detached, semi-detached, and townhouses. Average selling price for condo apartment went up 3%.
Tight market not only pushed up the average home price, but also made home sold faster. Average Days On Market (DOM) in February was 24 days, compared to 27 days in February 2011. In particular, average DOM for detached homes was a historical low of only 16 days, down from 22 days in February 2011, while average DOM for semi-detached was mere 13 days, down from 18 days in February 2011.
Competition among buyers remained strong. Homes were sold, on average, for 99 per cent of the asking price in February. In Toronto, the percentage was even higher with the average selling price at 101% of the asking price.
"If tight market conditions continue to result in higher than expected price growth as we move into the spring, expectations for 2012 as a whole will have to be revised upwards," said Jason Mercer, TREB’s Senior Manager of Market Analysis.