Compared to last June, TREB reports a 15.9% increase in new residential listings. Although this is a decent size growth in listings, it is smaller than May 2017’s annual rate of growth, which was 48.9% higher than the previous year.
“We are in a period of flux that often follows major government policy announcements pointed at the housing market. On one hand, consumer survey results tell us many households are very interested in purchasing a home in the near future, but some of these would-be buyers seem to be temporarily on the sidelines waiting to see the real impact of the Ontario Fair Housing Plan. On the other hand, we have existing home owners who are listing their home because they feel price growth may have peaked. The end result has been a better-supplied market and a moderating annual pace of price growth,” said Toronto Real Estate Boards President, Tim Syrianos.
The average selling price for all home types in the TREB market area was $793,915, indicating a 6.3% rise compared to June 2016. The average selling price has been influenced by the fact that the largest home sale declines were for more expensive home types, mostly detached homes. This indicated that the change in the mix of homes sold this June compared to last June has had a significant impact on the average overall selling price.
Following the announcement of the Ontario Fair Housing Plan, two consumer surveys were commissioned, one focusing on home buyers and one focusing on home sellers. Highlights of these two surveys, conducted this May, are as follows:
- 30 per cent of GTA households are very likely (12 per cent) or somewhat likely (18 per cent) to list their house over the next year.
- 15 per cent of households said that the Fair Housing Plan was the primary reason why they would list their home for sale over the next year.
- Close to 80 per cent of households who said they were likely to list their home said they would be purchasing another home.
- 35 per cent of households surveyed indicated that they were very likely (13 per cent) or likely (22 per cent) to purchase a home over the next year – similar to what was reported from the Ipsos survey conducted for TREB in the fall of 2016.
- 40 per cent of likely buyers indicated they would be first-time buyers – a marked decline from 53 per cent in Ipsos’ fall survey.