Mississauga and Brampton both continue to enjoy booming housing markets that are hampered by a continual lack of housing inventory.
That’s one of the key takeaways for potential Peel Region homebuyers from the latest data released by the Toronto Real Estate Board (TREB).
Across the GTA, realtors reported 8,491 residential sales through TREB's MLS system in October 2019—a 14 per cent increase compared to the 7,448 sales reported in October 2018.
According to Penelope Graham, the managing editor of real estate brokerage and website Zoocasa, sellers market conditions ruled across the Mississauga, Brampton, and Halton regions in October.
The lack of inventory and high demand, said Graham, means that home prices in the two large housing markets adjacent to Toronto are steadily on the rise,
Potential buyers are discovering that the competition is heating up with crowded open houses and multiple-offer situations becoming increasingly more common.
Graham also pointed out in an insauga story that "Mississauga experienced sizzling market conditions in October, as the number of sales well outpaced the supply of new listings and transactions and price growth rose by double digits."
The rise in sales activity across the GTA went hand in hand with a boost to prices as well, with the average home now costing $852,142, up 5.5 per cent.
Also, the MLS Home Price Index, which gauges the overall value of homes sold, rose 5.8 per cent – the largest annual increase recorded since December 2017.
Sales rose on a year-over-year basis for all major home types GTA-wide, according to TREB.
Michael Collins, the president of TREB, released a statement saying "a strong regional economy obviously fuels population growth. All of these new households need a place to live and many have the goal of purchasing a home. The problem is that the supply of available listings is actually dropping, resulting in tighter market conditions and accelerating price growth."
Graham says a total of 833 homes changed hands in the Mississauga, a jump of 20.5 per cent compared to the same period in 2018. Add in a 5 per cent dip in new listings - just 1,137 homes were brought to market over the course of the month – and you’ve got a city that’s solidly a seller’s market.
Graham says the average home price in Mississauga rose by a whopping 17.6 per cent to $816,383.
According to TREB data, the average price of a detached house in Mississauga sits at $1,172,971. The average price of a semi-detached house is $753,410, the average price of a townhouse is $599,056 and the average price of a condo is $524,316.
TREB is urging all levels of government to work to produce more housing.
"All levels of government affecting the GTA plus many international organizations have recognized that we continue to face a supply issue in our region for all types of housing," said TREB CEO John Di Michele in a statement.
The Ontario government recently passed Bill 108. Called the “More Homes, More Choice Act, 2019, it’s designed to cut red tape, make costs more predictable, encourage different types of housing and promote innovative new approaches to housing design and homeownership.
The Doug Ford Progressive Conservative government has promised it will “support faster development near transit, so people can spend less time commuting and more time with family and friends. It will also boost the economy, as the residential housing sector is an important driver of economic growth and a source of job creation.”
Mississauga Mayor Bonnie Crombie also commented in an Insauga story that, Bill 108 could result in Mississauga residents paying more for the city’s growth.