Canada's Condominium Magazine
The Condo Housing Price Index is up again, year over year, by 10.17% in the GTA — and 12.37% in Toronto — according to the latest data from the Toronto Real Estate Board (MLS HPI). Meanwhile, the average across all home types is down in price by 12.4% (HPI).This follows a 9% price increase on volumes of $2.7Billion, for the first quarter 2018 versus 2017 as previously reported>>
While the market cooled for other housing types (as compared to 2017, not the running average), pricing on condominium apartments continues to rise — even compared to the hot April 2017 market. Although sales volumes are lower, prices press upwards on short condo supply and a strong enthusiasm for condo apartments as a lifestyle choice.
Average price increase for the month
On a straight average basis, of all of the 416 area, condo apartment prices moved up 3.8% versus 1.6% for the 905 for the month, as compared to last year. This contrasts other housing types sharply:
- Condo apartment prices all areas, average price up 3.2%
- Detached home prices all areas, down -14.4%
- Semi-detached home prices all areas, down -6.4%
Market indicators for the balance of 2018
Condo apartments, of course, will continue to rise on demand — due to lifestyle preference and affordability — while the rest of the market will also see some movement upwards in the later part of the year, according to Jason Mercer, TREB’s Director of Market Analysis:
“The comparison of this year’s sales and price figures to last year’s record peak masks the fact that market conditions should support moderate increases in home prices as we move through the second half of the year, particularly for condominium apartments and higher density low-rise home types.
Once we are past the current policy-based volatility, home owners should expect to see the resumption of a moderate and sustained pace of price growth in line with a strong local economy and steady population growth.”
Commenting on the overall market for April, TREB president Tim Syrianos, said:
“While average selling prices have not climbed back to last year’s record peak, April’s price level represents a substantial gain over the past decade.
Recent polling conducted for TREB by Ipsos tells us that the great majority of buyers are purchasing a home within which to live. This means these buyers are treating home ownership as a long-term investment. A strong and diverse labour market and continued population growth based on immigration should continue to underpin long-term home price appreciation.”