Strong start to 2019 | January Market Stats for Toronto
It's already looking like 2019 is going to be another strong year for the real estate market in Toronto!
Continuing off of last year's trends, we are seeing the condo sector remain extremely strong as it is the first point of access for many first-time buyers & investors who are still feeling the effects of the mortgage stress-tests brought in.
The average price for a condo in the City of Toronto has now reached almost $595,000 with most “entry-level” condos now starting in the $450K range!
One of the best performing sectors for the real estate market has been townhouses which saw 12.3% appreciation in the 416-area & an average price of $797,528
Detached homes are seeing a normalization of prices compared to the red-hot market we were experiencing 2-3 years ago while Semi-detached properties are seeing solid growth with an average price approaching $1 million!
Looking at the TREB stats, we can see a trend emerge that supports this as detached home sales in the 416-area decreased by 8.6% compared to last year while the average price fell by 8.8% as well.
On the converse side, we saw a decrease in sales for semi-detached homes in the 416-area while the average price increased by 6.1% vs. a year ago!
While it’s impossible to predict what will happen over the next year, it would seem quite safe to say that our condo market will remain extremely strong & competitive throughout 2019 as inventory stays fairly low relative to the high demand.
Our townhouse market should continue to experience fairly good annual appreciation as it becomes a more desirable/affordable option for Downtown families compared to semi-detached homes.
The semi-detached sector should stay quite active throughout 2019 as it remains the first viable option for those buyers wanting something larger than a condo or townhouse but unable to afford a detached home.
It’s hard to say what will happen with the detached market, but it seems like we are returning to a more reasonable prices that should spark some increased sales as semi-detached & detached average values become closer!
What do you think will happen with the market this year?