Market Watch - February 2021
Record home sales continued in February in the Greater Toronto Area (GTA) with a 52.5% increase in sales when compared to February 2020. Buyers continue to take advantage of low borrowing costs while competing for many available listings. The demand for housing has carried from the second half of last year into the first quarter of this year. It is also evident that supply is not keeping up with demand.
The average selling price was up by 14.9% to $1,045,488 year-over-year, which was primarily driven by price growths in the detached, semi-detached and townhouse market segments.
TRREB MLS Sales & Average Price by Major Home Type (February 1 – 28, 2021)
Without an indication of an uptick in the inventory, the current relationship between supply and demand appears to support continued double-digit average home price growth. The condominium market also saw a 64% increase in sales compared to last year. So if sales begin to outstrip the growth in new condo listings, it is also a possibility that we could start to see price increases in this market segment in the later half of the year.
As always, as licensed real estate agents, we are here to help provide advice and guidance in an incredibly competitive market. It is extremely important to get a market evaluation for your neighbourhood to obtain an accurate evaluation for your property when considering listing your home. Similarly, if in the market to purchase a home, a real estate agent can maintain a pulse on the market values in the neighbourhood being looked into. By doing so, it will increase the likelihood of attractive offers being considered by sellers.
We continue to follow Public Health guidelines and Ontario Real Estate Association direction as it relates to real estate transactions. In line with these directions, we continue with our implemented Sell Safe and Buy Safe Action-Plans and use of digital technologies to perform contactless transactions to maintain the health and safety of our clients and others.
Whether you are looking to buy or sell, please do not hesitate to contact us any time for advice, discuss strategy, goals and objectives. We are more than happy to help answer any questions.
It’s our family helping yours!
-Kristina & Rey