Toronto's Average Sale Price Up Fractionally Over Summer Months

Hi, I’m Thomas Cook from Toronto's Real Estate Team at RE/MAX and here is our September 2022 Toronto real estate market report.
 
For the first time this year, the average sale price year-over-year slipped into negative territory.
 
Let’s review some of the Toronto Real Estate Board statistics and see what’s happened.
 
The last time September sales numbers came in this low (5,038 sales of houses and condos across the GTA), at the start of the fall market was all the way back in 2001, 21 years ago.  This was 44% below September sales in 2021.
 
Condo townhouse and high-rise suite sales mirrored that of the overall market and were lower by almost 50%.  Overall, 1,712 units were sold in the month.
 
The September 2022 average sale price for all GTA homes came in at $1,086,762… a negative 4.3% decline compared to one year ago.  If you compare this September to September 2020, two years ago, the average sale price is still up a respectable 13.1%.
 
The active listing inventory is one of the strongest indicators of how slow or fast the market has been moving.  The ‘active listing’ inventory for the month of September were almost the same as in August. This is 24% below the average September listings numbers over the past 12 years.
 
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.
 
With the market continuing to shift, the September ratio dropped to 37.2% indicating a 5% slide towards buyers’ market territory.
 
The overall days-on-market average for GTA / Toronto homes was 1 day slower at 23 days. 
 
Here’s a snapshot summary of the significant real estate milestones for Toronto in September 2022 as summer ends and we swing into the fall.

• September sales (5,038) were 44% below last year and the lowest for the month in the last 21 years
• Active Listings (13,534) were 47% higher than last year but 2% below August
• The ratio of sales-to-listings dropped back to 37.2% in September– heading back slightly towards buyer market territory
• The September average sale price came in at $1,086,762– a decline of -4.3% from one year ago but still 13.1% above the September average in 2020
• The GTA real estate market overall has slowed slightly to 23 days-on-market
• We seem to be cruising along at 20 year lows for sales numbers and at just under $1.1 million in average sales price over the last four months.
• Detached home sales in September 2022 with a purchase price over $2,000,000 were down 55% (261 houses) while condo apartment sales over $2M were lower by 43% (17 suites) compared to September 2021
• The CONDO townhouse / highrise share of the market came in at 34% during the month and condo sales (1,712) declined by almost 50% from 2021
• Downtown condo active listing numbers were up by +8.4% in C01 and down by -5.7% in C08 from last year
• September year-over-year downtown condo sales were lower in both C01 (-52%) and in C08 (-38%) compared to 2021 with 3-month rolling average sale prices showing a flat market in C01 and a small +3.2% increase in C08
• The downtown condo days-on-market average increased slightly to 25 days in C01 and remained steady at 27 days in C08
• The ratio of sales-to-listings for condos downtown dropped in C01 to 30% and down to 27.9% in C08 – a slight trend towards or into buyer’s market territory
• As an investor, a big positive is the super busy rental market.  Prices are climbing across the board for almost every type of rental property
• September saw detached home prices in the 905 districts decline year-over-year by -9.5% but 905 condominium average sale prices still rose by a modest 3.3%.  Sales here also declined substantially (-39% to -49%) from one year ago

If you’re a seller who ‘has to sell’, you’ll need to be realistic, or maybe consider renting your property.  Those high sale prices we saw in the spring are in the ‘fantasy realm’ now.  But remember, if you sell for less, you’ll now be able to buy for less too. 

Thomas Cook
Thomas@LivingInToronto.com
647-962-1650

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