A Frozen Market But Some Sellers Are Doing Very Well
No matter what the stats say, we see stronger activity on the ground. There was a price correction over the last year in the city. However, with so few listings, it has created some demand favouring some sellers. We have been involved in three multiple offers in the last week and a half. Prices weren’t driven skyward, but our sellers have received more money than expected. Don’t get us wrong; we are far from the high water mark for Toronto values we saw in February 2022. But we see strong interest in houses and some condos.
What we traditionally call “turn-key” properties (aka finished, nicely appointed, ready to move into homes and condos) sell for more than we would expect. On the other hand, houses that don’t show well are getting less than the sellers “should.”
With the Bank of Canada (BoC) paying their lending rates, this will give buyers further confidence. However, the Fed (USA) is going ahead with more rate increases, which Canada may need to react to as the months pass in 2023. We are watching closely.
The common sentiment for buyers (and would–be renters) is that Toronto’s real estate market seems “frozen” – few homes are available. Buyers keep hoping that “spring” will bring more, but as we have often said, Toronto’s spring real estate market began the third week of January two months ago. We are likely looking at a low inventory for the entire year.
Toronto Real Estate Market Report – February 2023
February 2023 was extremely quiet in Toronto’s central areas. There were only 855 sales. Toronto’s real estate still feels “frozen,” but more movement is happening as we head into spring. Our overall annual markers will provide a better sense of value increase, which you can reach out to us here to discuss.
Detached Home Values
There were 158 sales in central Toronto in February 2023. The average home sold for $2,261,781, down 23% since February 2022 (we are now seeing the year over years values come into place, there is no doubt that the correction has taken hold of our real estate market.) The average home was on the market for 16 days – below the Toronto average days on the market – this tells us that active buyers want to buy today.
Semi-Detached & Townhouse Values
There were 129 sales in central Toronto in February 2023. The average home sold for $1,472,492, down 12% since February 2022. The average home was on the market for a relatively short time compared to the TRREB days-on-market average of 17 days.
➤ Check out our top reads for anyone thinking about living in Toronto:
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Toronto Condo Values
There were 568 condo sales—the average central Toronto condo sold for $8207,787, down 9% from February 2022. The average condo was on the market for 22 days – condos are beginning to move more quickly as buyers accept the interest rate hikes. Note that the correction has not impacted Toronto condos as much as it has affected the freehold housing market.
Contact us here and read through our blogs to learn more about Toronto real estate.
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