Market is ready to break out this fall

By: Thomas Cook

Market is ready to break out this fall

Sales were up 8.5% for August compared to last year with 6,839 houses and condominiums changing hands in all the districts.  This was the 2nd lowest number of sales for the month since August 2012.

Condo townhouse and high-rise suites took a significant 37.1% share of the market with 2,540 units being sold.

The August average sale price for all GTA homes came in at $765,270 – this was a modest 4.7% increase from one year ago.  Considering that May/June/July 2017 was the turning point in last year’s crazy market, if instead you compare 2018 with August 2016 (with an average of $710,975), this year’s average was still up 7.6% in that 2-year period. 

The active listing inventory is one of the strongest indicators of how slow or fast the market has been moving.  The inventory average for the month of August compared to historical numbers was up just 6% but increased by 8.8% from last year at this time.

However, this is occurring selectively, with the ‘central core’ Toronto neighbourhoods still doing very well while the outer regions (Peel, York & Durham) are not seeing the same level of activity.

The sales-to-listings OR percent-chance-of-selling ratio is how we determine what type of market we’re actually in.  24-28% is a neutral market, below 24% is a buyer’s market and above 28% is a seller’s market. 

In August that ratio finished at 38.3% - almost exactly the same as last year.  The GTA is now into a very moderate seller market territory so sellers may need to adjust their expectations if they want to make a move.

The days-on-market average for Toronto homes was 27 days, two days longer than in July.

Here’s a summary of the significant real estate milestones for Toronto in August 2018… a typical summer market overall with the usual lower sales and dip in the average selling price.


Watch the video to get the complete August 2018 Market Report details.

 


Here's the complete text version of the August 2018 Toronto Real Estate Market Report to read.


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