Tag Archives: toronto condos for sale
Toronto Realtors reported 4,133 condo sales through the Toronto MLS system during the first quarter of 2013. This result was down by approximately 17% in comparison to the first quarter of 2012.
Comment: Which is crazy when we see the direction change completely in the first half of April when sales were down only 4.3% but prices rose 5.9%. I think we are seeing the condo market right itself and get back on solid footing. Regardless of the negative spin the media has put on it for the past… oh, 10 years or so.
New listings of condominium apartments were also down on a year-over-basis in the first quarter, but by a lesser annual rate of 5%.
Comment: So the flood of condos being sold by panicking investors fleeing the market did not happen? Wow, I am NOT surprised in the least. If listings were down 5% and sales were down 17%, then it is only a net drop of 12%. Either way, there is no flood of condos on the market, like all the naysayers predicted. Yet again, they were wrong. What are they now, 0–412?
“Buyers benefitted from a substantial amount of choice in the condo market in the first quarter, especially in comparison to low-rise home types. This being said, the fact that new condo listings were down in the first quarter suggests that the market may become tighter moving forward. This will also depend on the timing and scale of future condo apartment completions,” said Toronto Real Estate Board President Ann Hannah.
Comment: With only 3 new condo projects launched in Q1 2013, it would seem that the condo market will tighten. That is the beauty of the real estate market, it is self-correcting. If it appears that there is too much product or that projects won’t sell, the developers hold back. Sure, there was help from Mr. Flaherty on one front, but the market is driven by so many independent people that it keeps itself in line. There were 85,731 sales through MLS in 2012. Assuming one buyer and one seller for each transaction, plus a realtor for each, that means there were 342,924 people involved in last year’s real estate market. Add in friends and relatives of buyers and sellers, never mind another 30,000-odd new home sales and you are probably looking at 1,000,000 different people touching the market. Add in mortgage brokers and bank reps, home inspectors, you name… think of everyone involved in all of those sales. That is why the market is 100% fair – the sales and prices are set by a HUGE committee. It is not like 10 realtors got together to scheme and plan it all out… That is why it cracks me up when people complain to me that high prices are all the fault of real estate agents, we are the ones making the market so costly and crazy and whatever else it is that bugs them. So I explain that my involvement in the greater real estate market accounts for about 0.00583% of the total. And most agents have even less effect.
The average price for first quarter condo sales was $332,846 – down by 0.5% compared to the same period in 2012.
Comment: A dip, yes, but not the catastrophic collapse that so many predicted. And the first half of April is showing prices turning around and rising 5.9% – quite a difference. And again, quite the opposite of what the doom brigade said would happen.
“With months of inventory high from a historic perspective, it makes sense that the average selling price for condos edged lower over the past two quarters. However, March results were much more positive compared to the first quarter as a whole, with the average condo selling price up by two per cent annually for the GTA,” said Jason Mercer, TREB’s Senior Manager of Market Analysis.
Comment: Inventory may be high, but listings are going down. This will bring inventory down. Which will tighten the market. And fewer new projects launching even further tightens the market. And this will push up prices.
Condominium Market Summary First Quarter 2013
Total TREB (905 and 416)
2013 Sales: 4,133 | Average Price: $332,846
2012 Sales: 4,973 | Average Price: $334,669
City of Toronto (416 only)
2013 Sales: 2,924 | Average Price: $355,776
2012 Sales: 3,513 | Average Price: $360,343
Contact the Jeffrey Team for more information – 416−388−1960
Laurin & Natalie Jeffrey are Toronto Realtors with Century 21 Regal Realty.
They did not write these articles, they just reproduce them here for people
who are interested in Toronto real estate. They do not work for any builders.
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