Apr 9 | Posted by Barry Cohen

Spring has finally arrived in Toronto as temperatures begin to rise and breathe new life into a city that has endured a long, grueling winter. While the city’s weather has improved considerably Toronto’s real estate market has performed with exceptional results, creating a competitive market for buyers.

Yes, the Spring Real Estate Market is well underway. Sales in the City of Toronto and surrounding areas have increased by 11 per cent compared to this time last year, as 8,940 properties were sold in March 2015, reported by the Toronto Real Estate Board. The sales of new listings in the GTA also saw a noticeable increase at 5.5 per cent.

“Home sales increased compared to last year as the cost of home ownership remained affordable, with lower interest rates going a long way to mitigate the effect of rising home prices.  However, a substantial amount of pent-up demand remains in place, especially as it relates to low-rise market segments.  This suggests that strong competition between buyers, which has fuelled strong price growth so far this year, will continue to be experienced throughout the spring,” said Mr. Etherington.

The average selling price of all 8,940 properties was $613,933 in the month of March, which represented an increase of 10 per cent year-over-year. The greatest increase in average price came from detached homes, which experienced a 15.9 per cent increase from this time last year.

"It is clear that seller's market conditions in many parts of the GTA are driving price growth. However, looking at the detached market segment in the City of Toronto in particular, growth in the average selling price outstripped growth in the MLS® HPI. This points to the fact that the mix of detached homes sold this year compared to last has shifted towards more expensive properties," said Jason Mercer, TREB's Director of Market Analysis.

 

Summary of Toronto / MLS Sales and Average Price March 1 – 31

    2015
    2014
 
  Sales
Average Price
New Listings
Sales
Average Price
New Listings
City of Toronto ("416")
3,196 $655,067 6,122 2,969 $597,918 5,594
Rest of GTA ("905")
5,744 $591,045 9,409 5,083 $534,655 9,123
GTA
8,940 $613,933 15,531 8,052 $557,982 14,717



Toronto MLS Sales & Average Price By Home Type March 1 – 31

    Sales
 
Average Price
 
  416
905
Total
416
905
Total
Detached
1,050 3,421 4,471 $1,042,405 $709,116 $787,388
Yr./Yr. % Change
4.30% 17.30% 14.00% 10.00% 10.00% 10.90%
Semi-Detached
287 538 825 $476,566 $476,566 $562,353
Yr./Yr. % Change
-5.30% -2.50% -3.50% 9.20% 9.20% 9.20%
Townhouse
328 1,040 1,368 $438,503 $438,503 $464,515
Yr./Yr. % Change
8.30% 9.10% 8.90% 8.40% 8.40% 9.70%
Condo Apartment
1,506 613 2,119 $310,156 $310,156 $372,827
Yr./Yr. % Change
13.50% 10.80% 12.70% 6.70% 6.70% 4.30%