Toronto detached homes climb back over $1 million as prices keep rising in seller’s market

Financial Post Sep. 4, 2015

Toronto home prices continued to climb last month and local realtors maintain the city is still a seller's market.

The Toronto Real Estate Board said Friday the average sale price of a detached in the city of Toronto was $1,017,652, climbing above the seven figure level it had dipped below in recent months. Prices in the category were up 12.9 per cent from a year ago.

TREB said there were 7,998 residential transactions through the multiple listing service system in August 2015, a 5.7 per cent increase from a year ago.

"Buyers in the Greater Toronto Area remain confident in their ability to purchase and pay for a home over the long term. They see ownership of housing as a quality investment that has historically produced positive returns while at the same time providing owners with a place to live in their chosen community," said Mark McLean, president of the board in a release.

TREB said the annual growth rate in new listings was greater than the annual growth rate in sales but noted active listings were still down compared to last year.

"This suggests that sellers' market conditions remained in place, especially where low-rise home types like singles, semis and townhouses were concerned," said the board, in its release, noting its composite benchmark index and the average selling price for all home types was  up about 10 per cent from a year ago.

"A record year for home sales continued to unfold in August as competition between buyers exerted upward pressure on selling prices. It was encouraging to see annual growth in new listings outstrip annual growth in sales, but we will need to see this for a number of months before market conditions become more balanced," said Jason Mercer, director of market analysis for TREB, in a release.

Catherine Chow

Catherine Chow

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CENTURY 21 Leading Edge Realty Inc., Brokerage*
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