The results for March 2021 are in and the record pace of home sales continues as we transition into Q2. According to the Toronto Regional Real Estate Board’s (TRREB) MLS System, an astonishing 15,652 sales were reported in the Greater Toronto Area, almost double last year’s amount.
TRREB’s latest Market Watch attributes this to buyers taking advantage of favourable borrowing costs and continued economic improvement. While sales were no doubt strong, it’s worth noting they dropped off dramatically due to COVID’s impact in the second half of March 2020. It is important to compare annual sales growth for the pre-COVID period (March 1 to 14, 2020) and the COVID period (March 15 to 31).
TRREB recorded 6,504 sales in the first half of March 2021, a 41 percent year-over-year increase on last year’s pre-COVID period. Between March 15th and March 31st, 2021, the MLS System recorded 9,148, a year-over-year increase of 174 percent. This highlights the staggering and immediate impact COVID-19 had on the housing market and greater economy in the latter half of March 2020.
Understandably, new listings were up to 22,709, a 57 percent increase over the same period last year, but the annual growth rate for these new listings was well below sales.
The MLS HPI Composite Benchmark was up by 16.5 percent compared to March 2020, while the average selling price for all home types clocked in at $1,097,565, a 21.6 percent year-over-year increase.
The Condo Market Slowly Bounces Back
As we move into Q2, the GTA housing market’s record-breaking levels show no signs of slowing down. The Toronto Regional Real Estate Board’s (TRREB) latest Market Report tallied 15,652 residential sales for the month, almost double the amount recorded in March 2020.
However, it is worth noting March 2020’s sales were significantly impacted due to COVID, so it’s important to consider annual sales growth for the pre-COVID period (March 1 to 14, 2020) and the COVID period (March 15 to 31).
TRREB recorded 6,504 sales in the first half of March 2021, a 41 percent year-over-year increase on last year’s pre-COVID period. Between March 15th and March 31st, 2021, the MLS System recorded 9,148, a year-over-year increase of 174 percent. This highlights the immediate effect COVID-19 had on the housing market and greater economy in the latter half of March 2020. But how did the condominium market factor in?
In contrast to the other housing types, the condominium apartment market continued to offer buyers more choice. The number of condo sales clocked in at 3,821, a staggering yet expected year-over-year increase of 91.3 percent. As the economy opens up, condominiums’ affordability and proximity to the city are becoming attractive to buyers once more. The average selling price for condos was recorded at $676,052 for March 2021, making condos the most affordable choice compared to the detached, semi-detached and townhouse market segments.
