“Sales in existing developments launched a year or more ago reached a record high of 9,541 units (equal to a 54% absorption rate), with sales of units under construction rising by 19% annually to 5,416 units,” Urbanation said in its fourth quarter Toronto condo sales report. “Units in new projects launched in 2015 were 59% sold by the end of the year, averaging 64% for new launches in the former City of Toronto. Overall, activity in 2015 was boosted by a 23% rise in 905 region sales to 4,871 units.”
Last year, buyers were attracted to units that were nearing completion.
Overall, it was a good year for agents who focus on selling Toronto’s condo market.
“Resale activity for condo apartments hit a record 20,709 sales in 2015, growing 16% from 2014,” Urbanation said. “A seller’s market for resale units emerged in the second half of the year, leading price appreciation to accelerate to 6.5% in Q4-2015 on a per sq. ft. basis. Rental activity within the condo market also reached a high of 27,164 units leased in 2015.”
And the condo market is expected to continue to boom in 2016.
“The market for new condos in the GTA is carrying a lot of momentum into 2016. Interest among investors and demand from end-user buyers is heating up, which we expect will lead to higher sales and increased price growth this year” Shaun Hildebrand, Urbanation’s Senior Vice President, said.
If the trend continues, agents in Toronto may see sales of late-stage condo units experience a boom this year.