As the summer winds down, this month we are taking a mid-quarterly look at the GTA real estate market.
Home Sales Up, Average Sale Price Slightly Down Year-Over-Year
According to the Toronto Regional Real Estate Board’s latest report, the GTA saw a 3.3% increase in home sales in July 2024, with 5,391 sales reported, while new listings jumped 18.5% from last year, reaching 16,296.
This increased market choice for buyers resulted in a slight dip in the average selling price in the GTA, down just under a percentage point from July 2023 to $1,106,617.
Interestingly, seasonally-adjusted figures had sales and new listings marginally lower, and the average selling price marginally higher, than June 2024.
Lower Borrowing Costs Expected To Boost Sales
With two Bank of Canada rate cuts, and further reduction of the cost of borrowing expected over the months to come, the TRREB anticipates a further increase to sales. “Expect sales to accelerate as buyers benefit from lower monthly mortgage payments”, noted TRREB President Jennifer Pearce.
That said, TRREB Chief Market Analyst Jason Mercer highlighted in the report that the current uptick in market supply should tend to keep prices in check, at least at first.
“As more buyers take advantage of more affordable mortgage payments in the months ahead, they will benefit from the substantial build-up in inventory. This will initially keep home prices relatively flat. However, as inventory is absorbed, market conditions will tighten in the absence of a large-scale increase in home completions, ultimately leading to a resumption of price growth,” Mercer said.
The Vetere Team is looking forward to hearing from you
We hope you are able to make the most of what remains of summer, and are here for you any time to help with your real estate needs. Contact us today!
