Home sales returned to more historically normal levels in July and August compared to what we saw in the first six months of the year. The market has gained momentum over the summer months. Coming into the fall months, which are typically busy, we expect the market will continue to pick up steam.
Ontario - GTA-wide sales were up on a year-over-year basis for all major market segments,
Toronto, Sept 5, 2019 - Toronto Real Estate Board President Michael Collins announced that Greater Toronto Area REALTORS® reported 7,711 residential sales through TREB's MLS® System in August 2019. This result represented a 13.4% increase compared to 6,797 sales reported in August 2018. On a month-over-month basis, after preliminary seasonal adjustment, sales were up by 0.8%.
GTA-wide sales were up on a year-over-year basis for all major market segments, with annual rates of sales growth strongest for low-rise home types including detached houses. This reflects the fact that demand for more expensive home types was very low in 2018 and has rebounded to a certain degree in 2019, albeit not back to the record levels experienced in 2016 and the first quarter of 2017.
Market conditions also became tighter in August 2019 compared to a year ago because, while sales were up year-over-year, new listings were down by 3% over the same time period to 11,789. Year-to-date, growth in sales has well-outstripped growth in new listings. This is why overall active listings counted at the end of August were down by more than 11% compared to August 2018.
The MLS® Home Price Index Composite Benchmark for August 2019 was up by 4.9% on a year-over-year basis. The average selling price, at $792,611 in August 2019, was up by 3.6% year-over-year. Both the MLS® HPI benchmark prices and average selling prices were up on an annual basis for major market segments. The condominium apartment segment continued to lead the way in terms of price growth, followed by higher density low-rise home types and finally detached houses.
Ottawa - Sizzling Summer Continues into August
Ottawa, Sept 5, 2019 - Members of the Ottawa Real Estate Board sold 1,731 residential properties in August through the Board’s Multiple Listing Service® System, compared with 1,581 in August 2018, an increase of 9.5%. August’s sales included 1,300 in the residential-property class, up 9.7% from a year ago, and 431 in the condominium-property category, an increase of 8.8% from August 2018. The five-year average for August unit sales is 1,522.
“August’s ten percent increase in unit sales from 2018 is over twice the percentage increase experienced last year and three times higher than the previous August,” reports Dwight Delahunt, Ottawa Real Estate Board President. “However, although the numbers are up, Ottawa continues to undergo issues with inventory as the limited supply persists.”
August’s average sale price for a condominium-class property was $308,781, an increase of 11.5% from last year while the average sale price of a residential-class property was $484,921, an increase of 11.8% from a year ago. Year to date figures show an 8.4% and 7.9% increase in average sale prices for residential and condominiums respectively. *
“Year to date average prices, which are more reliable indicators than monthly average prices, show steady, reasonable, and sustainable increases. We don’t anticipate there will be a major correction in the foreseeable future,” Delahunt maintains.
The $350,000 to $499,999 price range was the most prevalent price point in the residential market, accounting for 42% of August’s transactions while 27% of residential sales were in the $500,000 to $749,999 range. The most active price point in the condominium market has increased again in 2019 to $250,000-$399,999, accounting for 50% of the units sold.
“As to be expected, now that the units in the lower end of the condo market have been acquired, there appears to be another upward movement in the prices of available condominiums,” Delahunt points out. “Statistics show the higher end of the residential market has picked up with the doubling of unit sales in the $750K to $1M price range from this time last year,” he adds.
When questioned about the government’s First-Time Home Buyer Incentive (FTHBI) which came into effect on September 2, Delahunt cautions, “It’s too early to tell what the impact will be or if there will be any impact in Ottawa’s market – these measures are not helping the supply side. We continue to call on all three levels of government to implement actions to increase supply which will facilitate restoring balance to our local real estate market.”
“Coming into the fall months, which are typically busy, we expect the market will continue to pick up steam,” he speculates. “Your home purchase or sale is not a DIY project; there’s too much at stake. Be sure to find a local REALTOR® with the depth of knowledge and experience that is warranted in one of the biggest investments you will make in your life.”
In addition to residential sales, OREB Members assisted clients with renting 1,906 properties since the beginning of the year.
Britsh Columbia - Metro Vancouver housing market sees summer uptick in sales
VANCOUVER, Sept 4, 2019 -- Homebuyer activity increased to more typical levels in Metro Vancouver* throughout the summer months.
The Real Estate Board of Greater Vancouver (REBGV) reports that residential home sales in the region totalled 2,231 in August 2019, a 15.7% increase from the 1,929 sales recorded in August 2018, and a 12.7% decrease from the 2,557 homes sold in July 2019. Last month’s sales were 9.2% below the 10-year August sales average.
"Home sales returned to more historically normal levels in July and August compared to what we saw in the first six months of the year," said Ashley Smith, REBGV president.
There were 3,747 detached, attached, and apartment properties newly listed for sale on the Multiple Listing Service® (MLS®) in Metro Vancouver in August 2019. This represents a 3.5% decrease compared to the 3,881 homes listed in August 2018 and an 18.8% decrease compared to July 2019 when 4,613 homes were listed.
The total number of homes currently listed for sale on the MLS® system in Metro Vancouver is 13,396, a 13.3% increase compared to August 2018 (11,824) and a 5.9% decrease compared to July 2019 (14,240).
For all property types, the sales-to-active listings ratio for August 2019 is 16.7%. By property type, the ratio is 12% for detached homes, 18.4% for townhomes, and 21.2% for apartments.
Generally, analysts say downward pressure on home prices occurs when the ratio dips below 12% for a sustained period, while home prices often experience upward pressure when it surpasses 20% over several months.
“With more demand from home buyers, the supply of homes listed for sale isn’t accumulating like earlier in the year. These changes are creating more balanced market conditions,” Smith said.
The MLS® Home Price Index composite benchmark price for all residential properties in Metro Vancouver is currently $993,300. This represents an 8.3% decrease over August 2018 and a 0.2% decrease compared to July 2019.
Sales of detached homes in August 2019 reached 706, a 24.5% increase from the 567 detached sales recorded in August 2018. The benchmark price for detached homes is $1,406,700. This represents a 9.8% decrease from August 2018 and a 0.7% decrease compared to July 2019.
Sales of apartment homes reached 1,116 in August 2019, an 8.9% increase compared to the 1,025 sales in August 2018. The benchmark price of an apartment property is $654,000. This represents a 7.4% decrease from August 2018 and a 0.1% increase compared to July 2019.
Attached home sales in August 2019 totalled 409, a 21.4% increase compared to the 337 sales in August 2018. The benchmark price of an attached unit is $771,000. This represents a 7.8% decrease from August 2018, a 0.2% increase compared to July 2019.