14 August 2019

“The detached housing sector is finally rebounding, as year-to-date sales are outpacing 2018 numbers by almost 17%. It’s a sign of a more normal level of homebuying activity,” – noted Christopher Alexander executive vice president of REMAX Ontario-Atlantic Canada. “Moreover, the market share is rising as well, with detached homes today accounting for 45.7% of all home sales in the GTA and marking a 43.1% annual increase”.

The main reasons of the previous weak results in this segment were the new rules, implemented in April 2017, and the B-20 mortgage stress test, which have led to a slower activity.

“This time, 51% of GTA neighbourhoods reported double-digit gains in sales, with 75% of which being located south of Highway 401,” – said Alexander. “The rest 49% either saw no changes or remained below 2018 level. In other words, some regions are easier to find a good deal in, while others are still hard to tame. Consumers have better choices, while the position of sellers depends on the region”.

According to Alexander, those who bought property before 2016 now enjoy growing home equity.

“Reporting an average price of $1,380,253 for a detached home, York Region’s Richmond Hill took the sixth position with a 36.1% increase to 615 sales. The north end of the GTA is recovering after a significant correction hit. Informed first-time buyers who are searching for the best deal in the GTA have more changes to succeed in York Region,” – the report noted.