by Nutan Brown
on Monday, March 8th, 2021 at 10:04am.
The hot Toronto housing market continued into February as the average home price surpassed $1 million for the first time.
According to the Toronto Regional Real Estate Board, home sales reached 10,970 last month, which represents a whopping 52.5% increase from 7,193 homes sold in the same month last year.
The average selling price for all home types was up 14.9% to $1,045,488, an increase from $910,142 in 2020. While market conditions were tight throughout the GTA region in February, the detached, semi-detached and townhouse market segments in suburban areas were the drivers of average price growth, with annual rates of increase above 20% in all three cases.
TRREB officials predict that the supply of housing is about to get tighter as the economy opens up, boosting demand for housing and increasing competition.
Meanwhile, the condo market continued to pick up steam with 3,116 transactions in the GTA last month, representing a 64.3% increase year-over-year. Although the average price in the city of Toronto dropped 6.4%, if sales continue to outstrip new listings those prices could start to climb moving forward.
Much uncertainty still surrounds the Toronto housing market. Demand for detached, suburban homes may shift once the pandemic is over and life is back to normal. Similarly, demand for Toronto condos could surge as people who have moved further from the city reconsider their choice.
Stay tuned for next month’s Toronto Market Update to find out!
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