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Friday, August 2, 2019

Condo sales and prices in Toronto just came close to setting a new record

It looks like condo sales in the Toronto area are way up right now, but that's mostly thanks to the sale of properties outside the downtown core.

According to Urbanation Inc.'s condominium market results for the second quarter of 2019, condo sales are up by 77 per cent. They've increased to 8,902 units from the same time period last year.

This increase is the second largest growth period the city has seen on record, only after the second quarter in 2017, which saw the sale of 11,413 units. 

This quarter's growth "was driven higher by strong fundamentals including a return to record-low borrowing costs, record-high population inflows, a healthy job market and tight conditions in the resale market, but also a huge shift in demand to relatively low-cost projects," according to a press release from Urbanation

Urbanation also emphasized the fact that almost every project launched for pre-sale in the second quarter received planning approval, which reduces the risk of cancellations.

Cancellations have been on the rise over the last couple years.

The increase in sales is also largely due to growth outside the downtown core.

Sales outside the city doubled from last year, but sales in the downtown core dropped by 12 per cent to 1,682 units. That's the lowest it's been since 2009. 

"Projects priced below $1,000 per square foot have attracted a wave of demand as buyers seek out 'value sites,'" Urbanation said. 

They also said the average selling price for a new unit increased by 10 per cent since the previous year.

The average price for a condo unit in the GTA is now $797 per square foot.


by Mira Miller via blogTO

1 comment:

  1. From the Above blog and graph, we can clearly say that fall of Condos in Toronto is high. This is due to poor quality of Works and High rate.

    ReplyDelete