TREB just released housing stats for the GTA and surrounding area for the month of September 2017. As readers may recall, I am only tracking the City of Toronto real estate market. As an old college friend of mine who lives in Burlington said to me last week, "oh, the world revolves around the City of Toronto. What about Burlington?" Sorry, but in the interest of time, and the fact that the City has been driving the surrounding areas, I am only tracking the metrics for the City of Toronto's Detached, Semi-Detached and Condo Apartments - the three main categories in types of housing.
Keeping it super brief, here are the average sales price stats for month over month (mom) and year over year (yoy) for the three types of housing:
Average sales price actually increased mom from $1.191mm to $1.355mm representing a 14% mom increase and a 5% yoy increase. Still lower than the April 2017 peak of $1.578mm but the first mom increase since then.
Average sales price increased mom from $895k to $936k representing a 4% mom increase and 5% yoy increase. April's peak was $1.104mm so still a bit lower than the peak.
Average sales price increased mom from $540k to $554k representing a 3% mom increase and a 24% yoy increase. April's peak was $578k.
In conclusion, the increase in detached average sales price was the real surprise. A 14% mom increase is rather stout. Our view remains that, over the longer term, detached housing in the City of Toronto will continue to widen the average sales price gap to semis and condos, largely due to densification in the City brought on by the Province of Ontario's two policy initiatives (Place to Grow and Greenbelt Acts 2005). You can go back and read Part III of a blog series I wrote in late June on this topic: highrockcapital.ca/pauls-blog/city-of-toronto-housing-part-3-the-positives-if-you-own-a-house