Market Watch - March 2021
Record home sales continued in March for the third straight month in 2021. This trend is a reflection of buyers taking advantage of low borrowing costs and continued improvement in some sectors of the economy. Before looking at some of the numbers, one thing to keep in mind however is that when comparing the second half of March 2021, we are comparing against the initial impact that COVID-19 had in the second half of March 2020 when sales activity significantly. In summary:
There were 6,504 sales reported during the first 14 days of March 2021 (up 41% compared to pre-COVID period in March 2020)
There were 9,148 sales reported between March 15 and March 31, 2021 (up 174% compared to COVID period in March 2020)
Given this information, it is a bleak reminder of the impact that COVID-19 had on the housing market and overall economy last year. But it is also shedding light on the sustained lack of inventory in the GTA housing market with effects on affordability.
TRREB MLS Sales & Average Price by Major Home Type (March 1 – 31, 2021)
The average selling price was at $1,097,565, which was up by 16.5% year-over-year. With growth of sales outpacing listings growth, it is likely that competition between buyers in some of the market segments could continue, resulting in the continued price growth, without a meaningful increase in the supply of homes.
With the Province placed back into shutdown, real estate practices are still deemed an essential service. 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.
We are more than happy to provide any advice and guidance in this incredibly competitive market. Please feel free to reach out to us to get a market evaluation of your home and neighbourhood to obtain an accurate estimate 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 and avoiding potential pitfalls.
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 would be glad to answer your questions.
It’s our family helping yours!
-Kristina & Rey