Severe shortage of listings leads to huge price jumps
There have been some eye-popping sale prices this past month. Active listings in both January and February were essentially half what they were the same time last year and yet both months have seen an increase in the total number of sales. The result? The average price of a detached home in the 416 area has increased almost 30% since this time last year and semis are not far behind.
To quote the real estate board "The listing supply crunch we are experiencing in the GTA has undoubtedly led to the doubledigit home price increases we are now experiencing on a sustained basis, both in the low-rise and high-rise market segments. Until we see a marked increase in the number of homes available for sale, expect very strong annual rates of price growth to continue," said Jason Mercer, TREB's Director of Market Analysis.
The graph below illustrates how dramatic the price increase has been. No one knows how long this sellers market will continue, but please get in touch if you'd like an updated value on your property.