Toronto Skyline from Polson Pier
by Allen McGregor
Greater Toronto REALTORS® released their newest figures concerning home sales through the TorontoMLS® system in November. The report shows that there were 7,092 residential transactions in November 2011, which is 11 per cent higher compared than the same period last year. Moreover, they reported a 14 per cent increase in the number of new listings compared to November 2010.
The 2011 fall market recorded a strong annual sales growth, according to Toronto Real Estate Board President Richard Silver, with a broad-based increase in residential transactions throughout the GTA. “The market has also become better supplied, with annual new listings growth outstripping that of sales. As this trend continues into 2012, we will see more balanced market conditions.“
The figures demonstrate a 10 per cent growth in the average selling price, increasing from $437,494 in November 2010 to $480,421 in November 2011.
However, TREB’s Senior Manager of Market Analysis, Jason Mercer, claims that the housing market remains affordable in the GTA although there’s been a strong increase in prices this year. “The correct method of assessing affordability is to consider the share of the average household´s income that is dedicated to mortgage principal and interest, property taxes and utilities.Currently, this share remains in line with generally accepted lending guidelines. Given this positive affordability picture, average price growth is forecast to continue in 2012, albeit at a more moderate pace.“