January shows no changes in Toronto home sales and housing prices

The latest report by the Toronto Regional Real Estate Board (TRREB) shows that home sales and real estate prices in the Greater Toronto Area (GTA) were almost unchanged in January compared to December, following large decreases of the previous months.

There were 3,100 homes sold in January, while December reported 3,110 sales. The average housing price was slightly below $1.04 million, marking a small decline from the previous month.

Such results are significantly lower than a year ago, when home sales were 44.6% higher and the average home price was 16.4% above today’s number. Nevertheless, the fact that the pace of monthly drops is slowing means we are facing positive changes in the real estate market, TRREB’s president Paul Baron says.

“It looks like real estate sales and prices have found certain support recently,” – he noted. “Combined with the central bank’s announcement that interest rates will probably remain unchanged in the nearest future, this trend will encourage some buyers to enter the market soon.”

“Record high population growth and the tight labour market will keep supporting housing demand.”

According to TRREB’s chief market analyst Jason Mercer, the fact that some types of medium-term mortgage rates are now lower than a year ago also contributes to affordability improvement in Toronto where the prices are extremely high.

“While short-term borrowing costs went up again last month, medium-term mortgage rates (e.g. five-year fixed rate) are starting to go down on a year-over-year basis,” – he noted. “This trend is expected to continue improving affordability this year.”

TRREB MLS System Sales and Average Price January 1-31, 2023

  2023 2022
  Sales Average Price New Listings Sales Average Price New Listings
City of Toronto (416) 1,108 987,842 3,010 2,235 1,072,177 3,112
Rest of GTA (“905) 1,992 1,066,938 4,678 3,359 1,355,673 4,871
GTA 3,100 1,038,668 7,688 5,594 1,242,407 7,983

 

  Sales Average Price
  416 905 Total 416 905 Total
Detached 318 1,066 1,384 1,486,124 1,298,809 1,341,848
Yr./Yr. % Change -32.8% -38.9% -37.6% -21.3% -23.8% -23.0%
Semi-Detached 84 156 240 1,150,506 949,216 1,019,668
Yr./Yr. % Change -40.4% -47.8% -45.5% -22.1% -23.2% -22.3%
Townhouses 92 407 499 981,187 866,458 887,610
Yr./Yr. % Change -54.5% -40.2% -43.5% -9.1% -20.0% -18.0%
Condo Apartment 604 346 950 711,171 646,715 687,696
Yr./Yr. % Change -57.0% -42.7% -52.7% -6.4% -10.3% -8.1%

 

 

 

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