GTA Real Estate Market Expects Another Year of Record Sales
The Greater Toronto Area real estate market was led by real estate agent Elli Davis with the closure of an offer for $300,000 over a $2.65 million listing. She had made these types of deal more often in the busy market for nearly 30 years.
The GTA real estate market was competitive and on point for another year of record sales and double-digit growth as buyers participated extensively for the market's low inventory. Sales in the first quarter of 2016 increased by 15.8 percent from the first three months of last year.Davis, a Royal Lepage agent in upscale central Toronto, stated that the low housing supply pushed more buyers to make better deals days before the seller accepted bids. These were also known as bully offers. She said that with minimal conditions, owners will take the deal quicker.
The GTA real estate market saw 10,300 properties sold in March with a 16.2 percent increase from previous year and over half the 22,575 properties that changed ownership in the first quarter.
The median selling price across all property types in the Greater Toronto Area increased 12.1 percent year-over-year in March to $600,000, according to a feature from The Star.
Jason Mercer, TREB's director of market analysis, stated that the market could have had an even stronger growth without the constraint of a deficit of new listings. He noted that the market was seeing strong growth in selling prices, but more listings would be absorbed in short order because of the pent-up demand.
Mercer believed the first quarter suggested that the market was on track for one more record year and the only thing that could slow it down was the continued dip in listings.
The GTA real estate market's number of new listings plummeted compared to the same month last year, meaning there were more buyers purchasing fewer homes. The number of properties listed for sale in the first quarter dropped to its lowest level for a first quarter in over 12 years, according to a feature from Sys-con Media.