PRICES ARE CLIMBING, BUT NOBODY IS BUYING

July 26, 2022

Only 1,694 new units were sold across the entire Greater Toronto Area (GTA) in June, representing a 56 per cent drop from the previous June’s sales figures, and a 52 per cent dip below the ten-year average for the month, according to the Building Industry and Land Development Association.

The majority of June new home sales occurred in the GTA’s condominium market, with 1,519 units sold across low, medium and high-rise buildings, stacked townhouses and loft units.

Despite declining sales in the condo category, benchmark prices for new homes climbed 12. 4 per cent since June 2021, reaching $1,189,894. As much as experts love to complain about an imbalance between supply and demand, figures show that 1,922 single-family lots were on the market in June, representing 2.7 months of inventory.

So there’s little demand and a moderate but not amazing supply, yet the new single-family home benchmark price hit $1,843,595 in June, rising more than 31 per cent year-over-year.

Looking for extra guidance on how to sell, and buy in this ever changing market? Contact me for our own consultation.