Toronto’s housing market isn’t showing any signs of cooling off. In fact, Royal LePage says it had THE hottest real estate market in the country.
And prices are just as hot, if you’re a seller, thanks to supply shortage and strong demand.
Double digit price increases were recorded for 2-storey homes and detached bungalows over the same time last year.
The city average for a standard 2 storey home reached nearly $835, 000, which is 11.6% higher than the second quarter of 2014.
And prices for detached bungalows increased 12.9% to $712,622.
“Toronto real estate values continued to rise in the second quarter as the supply of homes for sale remained restricted. A global trend is that citizens want to live in and around the downtown core, and Toronto is no different. Demand for these properties far outstrips the supply, which is why we have seen such robust price appreciation over the past few years. Inventory is very tight right now and this is unlikely to abate in the short-term, as many home buyers will delay until the Pan Am Games conclude and city traffic and congestion return to normal levels.” -Gino Romanese, Senior Vice President, Royal LePage.
Romanese says the condo market has been buoyed by the same trend but supply isn’t nearly as tight as is the case with single-family homes.
Prices for standard condos rose 5% to $402, 901.
“A lot of new condos came on the market late last year expanding supply, but the rate of new builds has definitely slowed.”
Overall, Royal LePage is forecasting prices will rise by 9.6% in Toronto for 2015.
“While prices are expected to continue rising throughout the remainder of the year, the double-digit increases we have seen in recent quarters are far from certain. Events from around the world could impact property markets here, either positively or negatively.”