Home sales in the Greater Toronto Area (GTA) in July 2024 increased compared to July 2023. Despite this rise, buyers enjoyed more options in the GTA marketplace as the growth in new listings outpaced sales. This better-supplied market led to a slight decrease in average selling prices.
“It’s encouraging to see sales picking up in July compared to last year. The recent Bank of Canada rate cuts in June and July may be starting to show positive effects. With borrowing costs expected to drop further, we anticipate an acceleration in sales as buyers benefit from lower monthly mortgage payments,” said TRREB President Jennifer Pearce.
GTA REALTORS® reported 5,391 home sales through TRREB’s MLS® System in July 2024, marking a 3.3% increase from the 5,220 sales in July 2023. New listings on the MLS® System reached 16,296, a year-over-year increase of 18.5%. On a seasonally adjusted basis, both July sales and new listings were slightly lower than in June.
The MLS® Home Price Index Composite benchmark dropped by about 5% year-over-year in July 2024. The average selling price of $1,106,617 was 0.9% lower than the July 2023 average of $1,116,950. However, on a seasonally adjusted monthly basis, both the MLS® HPI Composite and the average selling price saw slight increases compared to June 2024.
“With more buyers benefiting from affordable mortgage payments in the coming months, they will take advantage of the substantial inventory. This will initially keep home prices stable. However, as inventory is absorbed, market conditions will tighten, and in the absence of a significant increase in home completions, price growth will resume,” said TRREB Chief Market Analyst Jason Mercer.
“Innovation in new home construction is crucial. TRREB supports Toronto City Council’s decision to consult with the province on adopting single egress stair requirements in the building code for multi-residential buildings up to four storeys. This would facilitate the creation of various multi-family units suitable for families. Additionally, connection to public transit is vital. We are pleased to hear progress on the Crosstown LRT and look forward to a firm opening date announcement,” said TRREB CEO John DiMichele.
Source: TREBB
