Toronto home prices have dropped on a year-over-year basis.
According to the latest report from the Toronto Real Estate Board (TREB), the average selling price was $804,584 in April, and on a year-over-year basis, sales were down by 32.1% and the average selling price was down by 12.4%.
The average selling price within the City of Toronto was also down from $942,677 to $865,817 last month.
TREB indicates that the year-over-year change in the overall average selling price has been impacted by both changes in market conditions as well as changes in the type and price point of homes being purchased. For example, this year, detached home sales for $2 million or more accounted for 5.5% of total detached sales in April 2018, versus 10% in April 2017.
After preliminary seasonal adjustment, TREB says the month-over-month change in sales and the average selling price was minimal, and that the sales trend has flattened out over the past two months following the steep drop-off in January and February.
“The comparison of this year’s sales and price figures to last year’s record peak masks the fact that market conditions should support moderate increases in home prices as we move through the second half of the year, particularly for condominium apartments and higher density low-rise home types,” said Jason Mercer, TREB’s Director of Market Analysis.
“Once we are past the current policy-based volatility, homeowners should expect to see the resumption of a moderate and sustained pace of price growth in line with a strong local economy and steady population growth.”
With the provincial election campaign about to start, TREB says that realtors are hoping all of the provincial parties will make housing issues a priority.
“Homeownership is a worthwhile investment that benefits our economy, individual finances and quality of life,” said Syrianos.