Toronto Market Reports Solid Gains in September 2009

Toronto Market Reports Solid Gains in September 2009

By Brian Madigan LL.B.

Here is the latest report from the Toronto Real Estate Board

“GTA REALTORS® REPORTING SEPTEMBER RESALE MARKET FIGURES TORONTO, October 5, 2009

In September 2009, Greater Toronto REALTORS® reported 8,196 sales, up 28 per cent from September 2008.

The average price for September transactions was $406,877 – up by 10 per cent compared to the same month last year.

“We have experienced an increasing rate of existing home price growth in the GTA as sales have continued to outpace 2008 results,” said TREB President Tom Lebour.

“Consumers have remained confident in ownership housing as a long-term investment.”

Year-to-date sales, at 66,437 were up 4.5 per cent compared to the first nine months of 2008.

Average price, at $388,417 was up by almost 1.5 per cent.

“Existing home sales will finish strong this year, pushing through the 80,000 mark and moving in line with some of the best years on record under the current TREB market area,” according to Jason Mercer, TREB’s Senior Manager of Market Analysis.

Summary Of September Sales And Average Prices
September 2009 (2008 in brackets)

City of Toronto (“416″)

Sales: 3,341 (2,546)

Average price:$437,182 ($393,648)

Rest of GTA (“905″)

Sales 4,855 (3,878)

Average Price $386,022 ($352,071)

GTA

Sales 8,196 (6,424)

Average Price $406,877 ($368,549)”

It is noteworthy that the market is returning to its June highs, although mid June 2009 reported the highest figures at $407,716. The end of September price is now within $1,000 of that number.

There are several important factors at play:

• There was a shortage of transactions in the Spring
• There was a pent-up demand leftover from the Spring
• Good properties were withheld from the market
• Interest rates remain low
• Consumer confidence has returned to the marketplace

It will be an interesting Fall for real estate in the GTA.

Brian Madigan LL.B., Realtor is an author and commentator on real estate matters, Royal LePage Innovators Realty
905-796-8888
www.OntarioRealEstateSource.com