Greater Toronto Realtors® recently reported GTA real estate sales transactions in January 2011. The number of transactions reported (4,337) was 13 per cent lower than the record result reported in January 2010 (4,986). It is worth noting that the average selling price in January 2011 was $427,037, while the average sale price in January 2010 was $409,058. Thus, January 2011 prices represent an increase of more than 4 per cent from the average prices of the same period last year. Jason Mercer, TREB’s senior manager of Market Analysis , stated that “the average selling price is expected to grow at a moderate pace in 2011.” With respect to sales in the GTA other than in the City of Toronto, there were 2,619 sales this January and the average sale price was $413,519.
The Royal Bank of Canada has issued a market update forecasting that the Canadian Housing market will be quite stable in the next two years. The bank predicted price gains of 0.5 per cent in 2011 and 1.3 percent in 2012. While interest rates are expected to rise, it was expected that the stronger economy will offset the effects of rising mortgage rates and keep prices stable.