December 2014 Toronto Real Estate Statistics

Active MLS property listings declined in December below levels we have seen since 2010, and were lower by 10.4% on a year-over-year basis. New listings and sales were almost equal - 4448 properties were listed, 4446 sold. The sales were up by 9.6%, and the average time required to sell a listing was down by 3.0%.

In the fourth quarter of 2014 listing inventory was consistently lower than in the previous four years. The low inventory, particularly in the low rise sector, resulted in bidding wars. Many of the listings set up time to review offers. 16.4% of freehold listings were sold above asking price in all of the GTA area - 11.2% in the 905 area and 32.1% in the City of Toronto.

Average price for all types of properties in the GTA was $556,602 - that represents an 7.0% increase on a year-over-year basis, and a 3.7% drop from the November average of $577,936.

Prices for detached houses in the 905 area went up by 6.6% to $668,063, for semi-detached by 9.9% to $451,314, and for townhouses by 9.4% to 420,105. Condominium apartment prices in the 905 area increased by 2.2% to $300,352. All these increases are measured on a year-over-year basis.

Again on a year-over-year basis in the City of Toronto : Sales of detached houses went substantially up, by 17.1%, while the average price was $934,039 (an increase of 8.0%); 5.9% fewer semi-detached houses were sold, with average price down by 4.4% to $615,794; townhouse sales increased by 1.8%, and the average price went up by 5.9% to $474,874; and sales of condo apartments were up by 16.1%, while the average price increased by 5.4% to $387,612.

The highest increase in price in all housing types was for semi-detached houses in the 905 area: TREB recorded a price increase there of 9.9%.

Listings in the City of Toronto took, on average, 31 days to sell - 2 days less than in December 2013. The average ratio of selling to listing price was 99% in the City and 98% in the GTA. The highest average sale to list price ratio, at 106%, was again recorded in E01 TREB district, followed by 103% in W01 and E08. The shortest average time required to sell a listing, 12 days, was reported for E06 district. The next shortest time, 13 days, was reported for district E01. The longest average time, 54 days, was recorded in C09.

In the City of Toronto , the highest percentage paid over asking in December was 136%, for a small 1 bedroom bungalow requiring renovation, at Yonge and Sheppard. The highest dollar amount over list price ($314,000) was paid for a bungalow in Leaside, being sold in original condition. 75 condos (or 8%) and 231 freehold houses (32.1%) were sold over asking price in December.

In Historical Perspective:

• Percent of listings sold
• Average price comparison
• Number of active listings
• Average days on the market

• Buyers have adjusted to the stricter mortgage lending guidelines, and, seeing no downturn in the house values, are returning to the market.
• Mortgage rates are low, and we expect them to remain low into 2015. It is harder to get a mortgage with the new lending guidelines, but borrowing for home purchase still remains affordable.
• Real estate market is driven by supply and demand. Listing inventory has been below the recent years levels, and sale numbers are higher. The buyers are competing for existing listings, and the prices are strong.
• Inflation is low at 2.0%, and unemployment in Toronto dropped slightly from 7.9% to 7.8%.

We encourage you to view video presentations by Jason Mercer , TREB senior manager of market analysis.

To see last month real estate activity figures please visit Our Blog .

Interestings stats on sales of freehold homes in the City of Toronto:

• January 2014
• February 2014
• March 2014
• April 2014
• May 2014
• June 2014
• July 2014
• August 2014
• September 2014
• October 2014
• November 2014
• December 2014

The following graphs illustrate the performance of Toronto real estate market since 2008:

The graph above illustrates the main attribute of a real estate market - the relation, in percent, between listings sold each month and all available listings at the end of that month. A typical stable market, with buyers able to negotiate purchase prices, but, at the same time sellers able to sell their homes or condos, is when the proportion of sold to available listings is between 18% and 28%.

In the last 5 years the only two times when the market was stable were in September and December 2012.

As you can see on this graph, Toronto real estate prices follow the typical yearly trend. Average prices change with the general real estate price trend, but depend on the type of properties selling at any given time. Unusual changes in the typical seasonal trend may reflect a changing market conditions.

In 2014 the average prices have been higher, but still followed the typical yearly trend.

It is typical for the number of MLS listings to start low at the beginning of the year, as few sellers opt to market their property over the holidays. In February and March more listings become available, with the number of available listings usually peaking in May, to decrease over the summer months, rise again in September, and fall in November - December.

While the volume of listings changes seasonally and generally follows a typical trend, the higher it goes, the less pressure there is on the real estate prices. In December the number of available listings again fell below the levels seen since 2010.

Since the beginning of 2011, real estate listings in Toronto were selling, on average, within one month. If a property takes longer than the average to sell, the reason is either too high a listing price, poor condition of the house, or inadequate access for showing it. In November in the GTA listings were selling, on average, in 32 days. Within the City limits, the average time on the market for all types of properties was 31 days, detached homes took 27 days on average, semi-detached required 21 days, condominium townhouses took 29 days, and condo apartments - 36 days.

Following tables illustrate sales of freehold homes (not including condo apartments and condo townhouses) in Toronto since the beginning of 2014:

In January:

Area	number of sales	100% of list	over 100% of list	% of homes sold over asking
Central	250	22	72	28.8%
East	269	24	105	39.0%
West	214	17	57	26.6%

In February:

Area	number of sales	100% of list	over 100% of list	% of homes sold over asking
Central	362	34	179	49.4%
East	395	44	219	55.4%
West	288	36	110	38.2%

In March:

Area	number of sales	100% of list	over 100% of list	% of homes sold over asking
Central	483	47	229	47.4%
East	653	63	344	52.7%
West	463	43	216	46.6%

In April:

Area	number of sales	100% of list	over 100% of list	% of homes sold over asking
Central	617	54	266	43.1%
East	753	77	452	60.0%
West	561	62	248	44.2%

In May:

Area	number of sales	100% of list	over 100% of list	% of homes sold over asking
Central	735	67	337	45.8%
East	868	92	478	55.1%
West	698	87	288	41.3%

In June:

Area	number of sales	100% of list	over 100% of list	% of homes sold over asking
Central	630	66	258	41.0%
East	790	93	415	52.5%
West	613	61	261	42.6%

In July:

Area	number of sales	100% of list	over 100% of list	% of homes sold over asking
Central	471	55	159	33.8%
East	620	66	273	44.0%
West	499	49	157	31.5%

In August:

Area	number of sales	100% of list	over 100% of list	% of homes sold over asking
Central	320	24	99	30.9%
East	496	54	200	40.3%
West	333	25	101	30.3%

In September:

Area	number of sales	100% of list	over 100% of list	% of homes sold over asking
Central	507	62	210	41.4%
East	646	52	321	49.7%
West	496	45	179	36.1%

In October:

Area	number of sales	100% of list	over 100% of list	% of homes sold over asking
Central	567	67	214	37.7%
East	668	69	281	42.1%
West	558	45	188	33.7%

In November:

Area	number of sales	100% of list	over 100% of list	% of homes sold over asking
Central	429	45	130	30.3%
East	533	52	215	40.3%
West	386	51	110	28.5%

In December:

Area	number of sales	100% of list	over 100% of list	% of homes sold over asking
Central	195	14	52	26.7%
East	280	29	112	40.0%
West	244	20	67	27.5%

If you are interested in statistics from a particular neighbourhood, or street, please call or e-mail us, and we will be happy to prepare the information for you.

For information on real estate conditions in Toronto in the past, please visit our 2010 report , 2012 Market Conditions , 2011 Market Conditions and 2013 Market Conditions for comparison.