Toronto + GTA real estate sales skyrocket from March 2020 pandemic low
In March, 15,652 real estate transactions were reported. A stunning 97% increase from March 2020! While this may appear like a drastic increase on paper, it's important to remember we are comparing against COVID-19's initial impact when sales dropped off dramatically in the second half of March 2020. With this caveat taken into consideration, let's look at the numbers year-over-year for March 1-14 and then March 15-31.
There were 6,504 sales reported during the first 14 days of March 2021, up 41% compared to the pre-COVID period in March 2020.
There were 9,148 sales reported between March 15th and March 31st, 2021, an increase of 174% compared to the COVID period of March 2020.
This is a stark reminder of the initial impact COVID-19 had on the housing market and overall economy a year ago. “Confidence in economic recovery coupled with low borrowing costs supported a record pace of home sales last month. While the robust market activity is indicative of widespread consumer optimism, it is also shedding light on the sustained lack of inventory in the GTA housing market, with implications for affordability,” said TRREB President Lisa Patel.
AT A GLANCE: TORONTO + GTA REAL ESTATE STATISTICS
For March 2021 as a whole, new listings were up 57% year-over-year to 22,709 and up 50% compared to this past February. While this represents a strong increase, the annual growth rate for new listings was well below that of sales, leaving most housing segments in Toronto and the GTA in a seller's market.
“The current state of the market has reinvigorated discussions about potential demand-side policy interventions. Policies focusing on demand, such as a capital gains tax on primary residences, can have a short-term impact, but can also be fraught with unintended consequences like further stifling the supply of listings. The federal minister responsible for the housing portfolio has said his government will not entertain such a policy option, which is the right decision. We have been saying for too long now that policymakers must focus on the long-term goal of increasing housing supply in order to accommodate current and future demand,” said TRREB CEO John DiMichele.
If you have any questions or would like more information on recent home sales in your neighbourhood, don't hesitate to book a consultation today.
Suzanne Lewis
SALES REPRESENTATIVE
Keller Williams Advantage Realty
C: 416-856-1937
O: 416-465-4545
suzanne@suzannelewis.ca