Prices up by 7.7 per cent
Real Estate sales in the GTA are on pace to set a new all-time record this year, as 8,051 properties changed hands in September. That's up by 10.9 per cent compared to last year at this time. Prices are also on the rise, averaging $573,676 for all types of properties. That's an increase of 7.7 per cent compared to September 2013. Semi-detached homes are up by 10.2 per cent, detached homes saw an average price increase of 9.5 per cent and condo apartments were up by 7.1 per cent in September. "The multitude of willing buyers in the marketplace coupled with the short supply of listings continue to translate into very strong annual rates of price growth in the fourth quarter," says Jason Mercer, the Toronto Real Estate Board's(TREB) director of market analysis.TREB President Paul Etherington points out that despite the shortage of listings, buyers are still active because "the share of the average household's income dedicated to their mortgage payment remains affordable." In the City of Toronto, the average detached home sold for $951,792 in September, while semi-detached homes averaged $689,414 and condo apartments averaged $395,505. In the regions, detached homes sold for an average of $656,003 in September, semi-detached homes went for $447,485 and the average selling price for condo apartments was $300,273. There is always a lot in the media about the housing market and it's confusing because there can be mixed messages. Predicting a housing crash or bubble is always headline news. When looking at the real estate market, remember these points: - Real estate is local. Many media stories talk about the entire country as one real estate market, but it's not. Prices have actually dropped in many parts of the country, but the GTA is a unique market.- Ever neighbourhood is different too. While some popular communities continue to see multiple bids on some homes, it doesn't happen everywhere. In September, the average home spent 25 days on the market and sold for 99 per cent of the asking price. Most economists say mortgage interest rates won't rise until at least summer of the next year, and increases will be gradual.