Winter may be fast approaching but there is no cooling trend when it comes to the Greater Toronto Area resale housing market.
In the first two weeks of November, GTA realtors reported 3,666 sales, an 84 per cent increase compared to the same period a year ago.
The average price of GTA homes sold during this time frame also increased by 10 per cent to $415,066. Condominium activity throughout the GTA was even more extraordinary.
Sales increased 90 per cent to 959 transactions, with an average price of $296,664, up 15 per cent year over year.
The City of Toronto experienced the highest increase in sales volumes.
Sales in Toronto increased by 88 per cent, compared to the same period a year ago, reaching 1,560 transactions. The average price climbed to $441,893, a 10 per cent increase from mid-November last year.
Condominium sales almost doubled to 674 transactions, an increase of 97 per cent from a year ago. Average sales price was $317,939, up 13 per cent year-over-year.
In the 905, sales activity was up 81 per cent over the first half of November 2008, totaling 2,106 transactions.
The average price of a 905 home was $395,195, also up 10 per cent from a year ago.
Condominium transactions increased 75 per cent from mid-November last year to 285. They fetched an average price of $246,351, up 20 per cent year-over-year.
Year-to-date sales throughout the GTA have increased 11 per cent over last year, to 78,233 transactions, putting 2009 on track to finish with some of the best years on record.
The average GTA house price has increased three per cent year-to-date, to $393,180.
While it's reasonable for sales in the first half of this month to be strong as compared to the same period a year ago when the market experienced a marked decline, such strong price recovery is particularly significant.
I discussed this with Jason Mercer, the Toronto Real Estate Board's senior manager of market analysis, who pointed to affordability as an important factor.
"Average home prices recovered quickly in the GTA, compared to other centres in countries like the United States, because the average-priced home remained affordable relative to average household incomes. As consumer confidence in economic recovery improved in the spring, home ownership demand and home prices recovered quickly."
According to Mercer, the outlook for next year's spring housing market is also favourable.
"Expect home ownership demand to remain strong in 2010. Market conditions will balance out next year as more homeowners react to the strong sales and price growth reported in the second half of 2009 and list their home. The average resale home price will grow at a sustainable rate next year."
SOURCE: LEBOUR, YOURHOME.CA