Toronto Real Estate Market Update – July 2022
The Toronto Regional Real Estate Board (TRREB) reported 4,912 home sales
In July 2022 – down by almost half (47%) compared to July 2021. Market conditions remained much more balanced in July 2022 compared to a year earlier.
Following the regular seasonal trend, sales were also down 24% compared to June. New listings also declined four per cent on a year-over-year basis. The expectation is that the trend for new listings will continue to follow the trend for sales, as we move through the second half of 2022 and into 2023.
The average selling price was up by 1.2 per cent compared to July 2021 to $1,074,754. Less expensive home types, including condo apartments, experienced stronger rates of price growth as more buyers turned to these segments to help mitigate the impact of higher borrowing costs.
Here are key market highlights:
- Sales: July 2022 sales totalled 4,912, down 47 per cent from 9,339 last year.
- New Listings: 12,046 in July 2022, down slightly by 4 per cent from 12,562 in July 2021.
- Active listings: There were 15,334 listings on the market in July 2022, compared with 9,731 in July 2021 a 56 per cent increase.
- Average Listing Days on Market: 19 days in July, up 35 per cent from July 21 at 14 days.
- Average selling price: $1,074,754 in July 2022, a one per cent hike from $1,061,724 in July 2021, but a six per cent drop from $1,145,994 in June 2022.
- Detached Homes: $1,362,598 in July 2022, down three per cent on a year-over-year basis, while sales dropped by 46 per cent to 2,203.
- Semi-detached Homes: Prices of semi-detached homes were up by nearly five per cent from last July to $1,077,750, while sales fell 45 per cent to 474.
- Townhomes: Townhomes increased by six per cent to $903,899 while sales fell by 52 per cent to 816.
- Condo Apartments: In July 2022,condo apartment prices increased seven per cent to $719,273 and sales fell 48 per cent to 1,365.
What does all this mean for home buyers?
The last few years have been a wild ride in the Canadian real estate market. During the pandemic, house prices skyrocketed as buyers were in a frenzy to snap up inventory as soon as it hit the market. Multiple offers and bidding wars were the norm. Now, with rising interest rates, and the threat of a recession looming, buyers are left wondering if now is the right time to buy.
“When you look at Toronto, prices have started to come down from the pandemic highs. The average price in July 2022 was $1,074,754, compared to $1,225,000 in February of this year,” says Alexander Kvitnitsky, Justo’s Broker of Record. “With interest rates set to rise even further this year, now may be the best time to get into the market and buy a home.”
“Prices are not expected to fall to pre-pandemic levels for a while,” Kvitnitsky says. The ‘wait and see’ approach could mean missing out on the perfect property, especially when inventory levels have increased in recent months.”
To learn how Justo can help you in your homebuying journey, contact our team today.
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