There were 6,896 transactions reported through the TorontoMLS system in October 2012, a decrease of 7.1% compared to October 2011. There were two more transaction days in October 2012 versus 2011, therefore on a per business day basis, transactions were actually down 15.6%.
According to TREB President Ann Hannah: "Sales have decreased in the second half of this year compared to 2011, especially since the onset of stricter mortgage lending guidelines at the beginning of July. The prospect of higher monthly payments due to the reduced maximum amortization period has prompted some households to delay their house purchase".
The average selling price for October transactions was $503,479, up 6.2% compared to October 2011; however, the annual rate of price increase has been edging lower over the past few weeks as the market became better supplied.