A new decade, but little change in Toronto’s residential resale market. As anticipated in my December Market Report, January came in strong with 4,581 sales in the greater Toronto area. This was a stunning 15.4 percent increase compared to the 3,968 sales reported for January last year. Enthusiasm should be slightly muted, given the fact that last year’s results were low by historical standards. For example, in 2016 more than 4,600 properties were reported sold, a number that jumped to 5,188 in 2017.
Not surprisingly average sale prices also advanced in January, but as in the case of sales, far from record levels. In January the average sale price came in at $839,363, more than 12 percent higher compared to last year’s average sale price of $747,175. The average sale price for all property sales in the City of Toronto (416 region) came in higher at $884,385. The highest monthly average sale price recorded for the Toronto and area market place was $920,000 in April of 2017.
January’s rising numbers become a little unnerving when considered against the back drop of available inventory. Only 7,836 new listings came to market in January, a decline of more than 17 percent compared to the 9,458 that came to market in 2019. Due to the large number of sales and the paucity of new listings, buyers enter February with only 11,962 available properties, more than 35 percent fewer properties than were available last year at this time. This will no doubt put upward pressure on prices, but with wages increasing by only 3.5 percent and mortgage stress testing in effect, there are limits as to how far buyers can stretch, particularly if interest rates stay stable or rise.
2020 maybe the year during which higher priced residential properties see an increase in sales. Higher priced properties have statistically lagged behind the resurgence of the overall market. For example, in January 2018 only 76 properties having a sale price of $2 Million or more were reported sold. Last year that number increased to 90. This year 130 properties were reported sold in this price category, an increase of 44 percent compared to January 2019. It is interesting to note that the number of condominium apartments in this price point is also increasing. In January, 13 (or 10 percent) of the 130 properties that sold having a sale price of $2 Million or more were condominium apartments. Last year there were only 6.
In the broader condominium apartment market supply is becoming a serious concern, as is the rise in average sale prices, particularly in the City of Toronto. At the end of January there were only 1,779 condominium apartments for sale throughout the greater Toronto area. In the City of Toronto there were only 1,246. These numbers represent a 33 percent decline compared to the number of condominium apartments available for sale last year at this time. Based on the number of sales registered in January, these numbers translate into 1.3 and 1.35 months of inventory, historic lows.
It is not surprising that condominium apartment sale prices have soared. In January, the average sale price for condominium apartments in the greater Toronto area came in at $630,000. In the City of Toronto the number was 8 percent higher at $679,000. In Toronto’s central districts, were almost 65 percent of all condominium apartment sales are recorded, the average sale price came in at $758,000, 12 percent higher than the Toronto market as a whole. It is also not surprising that all condominium apartment sales, both in the greater Toronto and City of Toronto market places, took place at 101 percent of their asking price.
The rise in condominium apartment sale prices has had a spillover effect on semi-detached property sales. Over the last year the spread between the average sale price of a condominium apartment and a semi-detached property, particularly in Toronto’s central districts has been dramatically narrowed. In January the average sale price for semi-detached properties was $1,000,000, only 24 percent higher than the average sale price of condominium apartments in the City of Toronto’s central districts. As a result of this declining spread, buyers who might have chosen to buy a condominium apartment have instead looked to purchase a semi-detached property in some of Toronto’s more desirable eastern and western trading areas. This has, in turn, resulted in an unprecedented shortage of available semi-detached properties. In January, there were, shockingly, only 92 semi-detached properties in the entire City of Toronto available for sale. In January there were 91 sales. Effectively every semi-detached property that becomes available for sale will be sold before the end of the month. And again, not surprisingly, for 107 percent of the asking price in Toronto’s eastern trading areas, and 104 percent in the western trading areas.
January’s residential resale date makes it abundantly clear that the Toronto and area market pace is strong and robust. What is also clear is that demand far exceeds supply. Unless sellers decide to take advantage of rising resale prices, 2020 will be remembered as the year of buyer frustration. There is no doubt that unless supply can be increased, like other international “supercities”, buyers will begin to look to second-tier cities around Toronto to satisfy their housing needs.
Just Listed on Lake Simcoe: 968 Degrassi Cove Pl W, Innisfil
This custom home direct waterfront home was built in 2000 by the current owner and has served as a sanctuary for family and friends. Over their 22 years of ownership, they have enjoyed the property during every season.
Degrassi Cove is a small and exclusive waterfront community and share the private road. The forested lands on the opposite side of the street provide great privacy. There is no vehicle traffic other than the neighbours, so it is very safe for kids.
Built as a 4-season home and located on the west-side of Lake Simcoe. You will enjoy north-west facing views of the lake and sunsets. There are no stairs to the water’s edge. The water table is level to the lot, which offers a beautiful beach area along the shoreline. There is great swimming and boating. The portable dock is 65 ft long with a 12’ x 12’ patio area. Boating enthusiasts can store their boat in the dry boathouse. Entertaining on the lake is so easy!
The home offers 2,700 sf on the main and upper level. The principal rooms offer generous space including a large private family room, formal dining room, large great room combined with the eat-in kitchen. In addition, there is 1,535 sf of finished space on the walk-out level. There are four generous size bedrooms. The primary bedroom is situated on the main level and overlooks the lake, and includes a five-piece ensuite, a walk-in closet and a garden door to the lakeside patio area. The three other bedrooms are located on the second floor.
The lower level includes a large recreation room with wood-burning fireplace and a walk-out to the lake. A large office with a built-in desk and bookcases can serve as a large 5th bedroom. The 3-piece bathroom is also equipped with a partially finished cedar-lined sauna. There is plenty of storage space on this level too.
Photography by @ishutterphoto
Staging by @chateau_designandstaging
This professionally designed custom-built home embodies a comfortable, vintage cottage feel built with energy efficient maintenance-free materials. This home offers a private park-like setting, with in- town conveniences. It’s a nature lover’s lot…a sanctuary for birds and wildlife. This one in in a million home was showcased in a 16-page spread in Cottages & Bungalows Magazine.
Shiplap walls and wood slat ceilings throughout impart a cabin-like coziness. The primary bedroom is secluded on the main floor overlooking a wooded area that surrounds the property. The front office duals as an additional main floor bedroom adjacent to a 3-piece bathroom. The upper level includes two additional bedrooms that provide enhanced privacy for guests. One of the bedrooms functions as a seating area with a Murphy bed and small kitchenette. It has been designed as a secure space for future rental opportunity.
Located in the charming lakeside village of Bayfield, this property is a stone-throw away from Lake Huron, a short walk to town, the fishing pier and marina, Pioneer Park and the Community playground. This spectacular property backs on to a designated environmental area and surrounded by trees makes it an ideal retreat for entertaining family and friends.
It’s no secret that green has been trending in a major way lately. Not only does the leafy shade conjure the sensation of being outdoors after two years cooped up at home, it also is a versatile (and welcome) alternative to traditional colors like white and gray.
Sweet 3 bedroom home that has a light and airy feel to the interior. Vaulted ceiling with open concept design creates a welcoming feel with plenty of natural sunlight all afternoon. Hardwood floors in bedrooms. Updated interior ready to be moved in to. It is a special place to call home or cottage.
Large wrap-around deck features West-facing views of 2-acre park of which you would be a 1/10th owner. Private dock for all park owners. Deeded Lake Simcoe access is rare to find. Very private setting with mature trees.
Message us today for more information or to book private showing.
staging by @chateau_designandstaging
photography by @ishutterphoto
20 Quiet Heights Lane, Georgina provides views of the lake from all spaces on the west side of them home, including the great room, kitchen, dining area, and primary bedroom.
You will enjoy the morning sunrise from the front covered porch and of course, sunset views from the lakeside. The natural sunlight fills the home with warmth and light all day long. It’s tranquil, serene, and welcoming.
In the design stages, the current owner had some important “must-have’s” including a Muskoka like feel, spaciousness, sun-filled rooms, and an “understated elegance“ carried throughout the home.
Some of the interior features include:
– 3 bedrooms on main level and 2 additional bedrooms on the lower level
– 3 full bathrooms plus powder room
– 10.9 ft ceiling height on the main level and 9 ft ceiling height on the lower level
– Great room includes custom millwork and 13 ft vaulted coffered ceiling
– Gourmet kitchen with upgraded appliances
– Spectacular light fixtures including ceiling fans in each bedroom
– Custom drapery and blinds
– Radiant heated floors in kitchen, primary ensuite and the entire lower level
– Surround sound system both indoors and outdoors
A full list of room features, additional images, virtual tour, and more can be found on our website (link in bio).
This listing is also available on realtor.ca (MLS# N5657656)
When you combine the attention to detail of a quality builder with the owner’s vision to create a sanctuary home, the result is spectacular.
This home offers a “Zen” feel immediately upon your arrival.
The landscaping is wonderfully appointed with a collection of perennial gardens, shrubs, mature trees and privacy hedges on both sides, which is home to many birds. There are several seating areas promote great conversation with family and friends or a place to enjoy some quiet time when you want to be alone and enjoy nature all around you.
This is a wonderful home to entertain in both indoors and outdoors. The raised balcony includes a covered area where you can enjoy a summer rain shower. The open area provides lots of space for your chaise loungers to get some sun and watch an array of boats on the lake.
The lower deck is covered and a perfect location for the 7-seater plus lounger hot tub along with another separate seating area to enjoy the lake views.
Listing Price: $1,935,000
DM us to book a private viewing.
The full listing can be found on our site & on realtor.ca (MLS# N5657656)