COVID-19 definitely didn’t stop the real estate market last month. Canadians flocked the market in January as the number of home sales hit a record high, with more Canadians shelling out more money than they had in previous years.
The Canadian Real Estate Association reported that January sales increased by 35.2% compared to January of last year and up to 2% compared to December of 2020.
The increase came about as the national sales-to-new listings ratio increased to 90.7%, the highest level on record. The previous monthly record was set 19 years ago at 81.5%.
The actual national average home price also soared to a record $621,525 in January, a 22.8% increase from January of last year. CREA attributes this increase to people having held off putting their homes up for sale in the middle of the pandemic, leaving fewer options in the market.
CREA also found that the Greater Vancouver and Greater Toronto Area, two of Canada’s most active and expensive markets, were heating up very quickly in January, with the average seasonally adjusted price of a home in the Greater Toronto Area was $941,100 and just over $1 million in Vancouver.
Prices of homes outside the city centres echoed the same sentiments, with prices in areas such as Vaughan and Markham, Ontario rising to unprecedented levels, as well.
Photo: CTV News