Every month the Toronto Real Estate Board (TREB) comes out with excellent statistics about the average resale home price in the Greater Toronto Area. The problem with these statistics is that they encompass a massive area. If you were indifferent to the location of your home (ie. Browns Line/427 or Vic Park/St. Clair) these statistics would be helpful. Unfortunately, most people are only interested in specific pockets of the city. Our monthly analysis focuses on the areas we live, work and play. Central Toronto neighbourhoods, extending from High Park to the Beach, south of St. Clair is the focal point of these ongoing updates.
As you can see from this video update, the average detached home is selling for $1,026,200 in approximately 13 days. Semi-detached homes are moving even quicker with an average days on market (D.O.M) of 9.2 and selling for approximately $820,000. To add to the bidding war frenzy, new listings decreased almost 1% and active listings were also reduced by 8.8%. Essentially, there are less homes being listed and more existing homes being purchased in comparison to May 2013. If you're frustrated with the lack of inventory and excessive bidding wars, you're not alone!
People are continually trash-talking the condo surge and we'd like to preface this next section by stating we DO NOT believe that every condo purchase available is a "good investment". People have been buying blinding for years based on previous experience over the past 15 years. Unfortunately, this strategy of buying is a recipe or disaster. We'll begin posting video analysis of new developments that highlight this in the coming weeks.
Average condo sale prices have risen to over $441,000 and most condos are selling in under 26 days (25.3 to be exact). If you're interested in a centrally located home that doesn't cost you upwards of $1 million, condos may be the best option for you to consider.
If you consider the traffic fiasco on the highways and throughout the downtown streets, lack of investment into public transportation and the paradigm shift towards the valuation of time over money (Ie. more time spent with you friends/family) than sitting in traffic commuting to/from home, you may warm to the idea of living downtown in a house or condo.