With sales continuing to rise in the Greater Toronto Area and listings falling behind, the market in Canada’s largest city continues to tighten, driving prices upward, according the city’s real estate board.
The Toronto Real Estate Board reported 4,557 transactions during the first two weeks of April 2012. This result represented an increase of almost seven per cent in comparison to the same period in April 2011. The number of new listings grew over the same period, but by a lesser annual rate than sales.
"Growth in listings has not kept up with growth in sales. In the City of Toronto, new listings for low-rise home types during the first half of April were actually down compared to last year. This helps explain why some of the tightest market conditions in the GTA can be found within the '416' area code," said Jason Mercer, TREB's senior manager of market analysis.
The average selling price during the first two weeks of April was $506,954 - up by five per cent compared to the first half of April 2011. The annual rate of price growth was stronger in the GTA regions surrounding the City of Toronto.
“Competition between buyers remained strong in many parts of the Greater Toronto Area during the first half of April, with many listings attracting a lot of attention. Strong competition meant that, on average, sellers priced within market value range received offers that matched their asking prices within three weeks," said Toronto Real Estate Board President Richard Silver.