At least one segment of the Greater Toronto Area's red hot real estate market got hotter in April, as a new record for condo sales was set in the region after over 3,600 units sold.
With 3,619 condos sold -- including units in low, medium and high-rise buildings, stacked townhouses, and lofts -- not only was this the highest number of new condos sold in April since 2000, but it was also 69% over the 10-year average, according to the Building Industry and Land Development Association (BILD).
And while the benchmark price for new condominium apartments decreased compared to the previous month, to $1,058,432, that price still remains up 7.5% over the last 12 months.
“The record number of new condominium apartment sales for April was boosted by a high number of recent launches of product spread throughout the GTA – about two-thirds of April sales were in projects opened in April,” said Ryan Wyse, Altus Group’s Manager, Analytics, Data Solutions.
“The rapid price increase for new single-family homes since last summer is also a factor, as price-sensitive buyers shift their expectations to product they can afford.”
While the condo segment heated up in April, sales of new single-family homes, including detached, linked, and semi-detached houses and townhouses (excluding stacked townhouses), saw a 40% month-over-month drop with 1,020 units sold. This was also 26% below the 10-year average, according to Altus Group, BILD's official source for new home market intelligence.
The benchmark price for new single-family homes also decreased compared to the previous month, to $1,395,190, which was still up 24.8% over the last 12 months.
The boost of condo activity was bolstered by sales in Toronto, which accounted for 1,390 units sold, followed by York (960), Peel (790), Halton (339), and Durham (140). However, Canada's largest city only accounted for 12 new single-family homes sold in April. This housing segment was driven by York in April (409), followed by Durham (276), Peel (219), and Halton (104).
BILD April 2021
The remaining housing inventory -- including units in preconstruction, projects currently under construction, and in completed buildings -- also increased in April compared to March, rising to 12,571 units.
“We are continuing to see unprecedented activity in the GTA market,” said Dave Wilkes, BILD President & CEO. “The robust demand testifies to the continued attractiveness of the GTA as a place to call home."
To keep the market balanced, Wilkes says, "we must double down on our efforts to build enough supply," as this will ensure that there is enough homes for "the more than four million additional people who will call the GTA home by 2051."