"The robust average price growth experienced throughout 2014 has been fundamentally sound, with demand high relative to supply,” said Jason Mercer, TREB’s director of market analysis. “Strong competition between buyers has exerted upward pressure on selling prices. Barring a substantial shift in the relationship between sales and listings in the GTA, price growth is expected to continue through 2015.”
The price of a detached home in the City of Toronto spiked 9.4 per cent year over year to $935,122 in November. Elsewhere in the GTA, prices rose 10.6 per cent over the same period, to an average price of $672,825. Sales in the single-family home market, however, fell 0.3 per cent in Toronto and 0.8 per cent in the GTA, to 904 and 2,164 sales, respectively.
The condo market, however, saw an 11.2 per cent rise in sales in Toronto. Average price also rose, gaining two per cent over November 2013, to $394,225.
In the GTA, sales rose 8.1 per cent to 468 for the month, and prices rose 11.8 per cent to $310,220.
"Even with a constrained supply of homes for sale in many parts of the Greater Toronto Area, buyers continued to get deals done last month,” said Toronto Real Estate Board president, Paul Etherington. “Households remain upbeat about home ownership because monthly mortgage payments remain affordable relative to accepted lending standards. This is coupled with the fact that housing has proven to be a quality long-term investment."
Home prices across the GTA are rising, despite drops in inventory, according to November figures released by the Toronto Real Estate Board, but analysts say that’s one situation that isn’t likely to change.