2022/06/07 | Team Hani Al Olabi
WHAT'S HAPPENING IN THE MARKET?
According to the Toronto Regional Real Estate Board (TRREB), the Greater Toronto Area (GTA) housing market is becoming more balanced as the number of total residential transactions is down almost 40% from last year and prices rose almost 10% year over year. The main contributors to the drop in sales are the higher borrowing costs associated with interest rate hikes, as well as inflationary pressures.
Looking at May 2022, the average selling price in the GTA was $1,212,794. There was an overall increase of 9.4% when compared to May of last year. When compared to last month (April 2022), the average selling price has decreased by $41,674 from $1,254,468.
This decrease in price is evident across all home types. The property type that suffered the most were again Condo Townhouses and Townhouses, down 5.73% and 5.04% respectively. Townhouses were closely followed by Semi-Detached and Detached properties, with Condo apartments experiencing a minimal price decrease.
Observing the average selling price in the GTA from the past 5 years, we continue to see this year following most closely the trend of 2017.
This trend is expected to continue to follow until September when we are likely to see some adjustments.
Comparing total residential transactions from May of last year, we experienced a 39.1% decrease in transactions.
Analyzing the year-over-year total transactions by home type, the type that experienced the highest decline was Condo Townhouses and Detached properties, closely followed by Townhouses and Semi-Detached.
Last month, we ended April with 13,098. Since then, the supply of homes has increased 17.8% by 2,337 and when comparing the inventory from May of last year, there was a 26% increase.
If you are thinking about buying, selling, investing, or just have some real estate questions, you can reach me directly at 647-298-7500 or by scheduling a meeting with me.
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