(Ontario Real Estate Source)
By Brian Madigan LL.B.
Here are the mid-month numbers for April. This month is always a key indicator of what is going to happen in the Spring market and over the year.
We will look at Toronto, the rest of the GTA and the combined figures and compare them to the previous year.
Sales for April (mid month) 2011 (2010 in brackets)
1,760..........Toronto (1,837)
2,684...........Rest of GTA (2,764)
4,444...........Combined (4,601)
Average Prices for April (mid month) 2011 (2010 in brackets)
540,229..........Toronto (470,532)
445,746...........Rest of GTA (403,514)
483,165...........Combined (430,271)
It is important to remember as a qualifier that these figures represent recorded transactions. They do not track comparative house values.
So, what do these statistics show? There is a shortage of listings. That is apparent. If there is no corresponding increase, then there should be some upward pressure on prices. If there is an increase then the additional listings will ameliorate the market somewhat.
For further interest this is the report from TREB:
GTA REALTORS® RELEASE MID‐MONTH RESALE HOUSING FIGURES
TORONTO, APRIL 18, 2011 ‐‐ Greater Toronto REALTORS® reported 4,444 sales during the first two weeks of April 2011 - a three per cent decrease compared to the first two weeks of April 2010. The number of new listings was down by 21 per cent compared to the same period last year.
"Sales activity was quite strong during the first two weeks of April. If this level of activity is sustained for the remainder of the month, we could see April transactions close to last year's record result. Positive economic news has kept households confident in their ability to purchase and pay for a home over the long term," said TREB President Bill Johnston.
The average selling price for firm deals reported through the first two weeks of April was $483,165, representing a 12 per cent increase over the average price of $430,271 reported during the same period last year.
"The number of homes listed for sale so far in 2011 has been below expectations. Market conditions have tightened, resulting in increased competition between home buyers and accelerating rates of average price growth," said Jason Mercer, TREB's Senior Manager of Market Analysis.
"The strong rate of price growth reported for the first two weeks of April should entice more households to list their homes for sale. This would result in more balanced market conditions and more moderate rates of price growth," continued Mercer.
Brian Madigan LL.B., Broker is an author and commentator on real estate matters, if you are interested in residential or commercial properties in Mississauga, Toronto or the GTA, you may contact him through Royal LePage Innovators Realty, Brokerage 905-796-8888
www.OntarioRealEstateSource.com
