The Greater Toronto Area (GTA) housing market became more competitive in March 2023. In comparison to March 2022, sales made up a larger percentage of listings, indicating that buyer rivalry is intensifying. For the first time since May 2022, the average sale price was higher than the average list price.
March 2023 has been a month of mixed growth if we take residential, commercial, and industrial properties into account collectively. There has been a rise in industrial property rates, whereas, the sale of residential properties recorded growth from the previous month’s indices.
- Most Expensive Housing Market in Greater Toronto Area (GTA)
- Fastest Growing Housing Markets in Greater Toronto Area (GTA)
- Fastest Selling Housing Markets in Greater Toronto Area (GTA)
- Highest Turnover Housing Markets in Greater Toronto Area (GTA)
- Budget Housing Markets in Greater Toronto Area (GTA)
- Frequently Asked Questions (FAQs)
Before delving deep into the data and statistics, let us walk you through the summary of the Greater Toronto Area (GTA) Housing Market in March 2023:
- The total residential transactions in March 2023 grew by 1.6% as compared to February 2023. However, it is still 36.5% less than in March 2022. This means that although seasonal adjustments are positive yet it failed to record any YoY growth.
- In March 2023, the average selling price grew by almost 1% to a value of $1,066,200 in comparison to that in February which was $1,058,110.
- In the commercial segment, property sales declined by almost 48% when compared to the previous year.
- There was an average growth rate of 31.3% in the Industrial Lease rate throughout the Greater Toronto region.
- The sales-to-new listing ratio across all segments of properties grew by 8% when compared to March 2022.
(Data Source: Toronto Regional Real Estate Board)
The summary will sound more meaningful to you when you go over the actual figures. Therefore, now let us explore the GTA housing market to help you select the best location in the region for your upcoming housing project or residence.
Most Expensive Housing Market in Greater Toronto Area (GTA)
King, Oakville, Richmond Hill, Aurora, and Whitchurch-Stouffville are the regions in the GTA with the most expensive housing markets. The average price of housing properties in these regions is as follows:
In the month of March 2023, there has been an increase in demand for housing properties, both in the residential and commercial segments. The increase in the immigration rate in Canada can be one of the contributory reasons behind this. The average price of a detached home in King is rising high to $2.4M. Additionally, there is a 10.1% rise in the average selling price of properties in the King region.
It is worth noting that the average price of detached homes in these five regions is $1.92 million. If you remember, the housing market statistics in January 2023 stated that the price of a detached house in Kings was the highest and it was $1.9M. This is the leap in price in all segments of the Greater Toronto Area. Is this an indicator of real estate inflation in Canada?
Fastest Growing Housing Markets in Greater Toronto Area (GTA)
Here is where we can spot the difference. From the table below, it is very evident that although there is an abrupt price rise in the properties of GTA, yet affordability is still a constraint. None of the regions are able to show a positive growth rate. Additionally, The growth rate, although negative, is maximum in that area which is not on the list of expensive housing zones. Whitchurch-Stouffville and Richmond Hill, which are one of the most expensive housing zones in the GTA, are in this list, yet, there is no growth.
Fastest Selling Housing Markets in Greater Toronto Area (GTA)
Properties in Ajax, Pickering, Markham, Aurora, and Uxbridge sold quickly as compared to other regions of the GTA. We have seen Aurora on the list of areas with the most expensive housing market, yet, the properties sold off faster in comparison to other regions on the same list.
|Days in Market
According to the statistics, 100% of properties in the Aurora Grove part of the region got sold in less than 10 days from their listing at an average price of $973K. Therefore, this sales volume contributed to its position of Aurora in the list of fastest-selling housing markets in the GTA.
Highest Turnover Housing Markets in Greater Toronto Area (GTA)
This section very clearly responds to the current price rise scenario of the GTA housing market. For illustration, the rank of Aurora in the list of expensive properties is 5 and that of Markham is 8. Irrespective of this fact, the turnover in the Aurora region is higher than that in Markham. This means that there is a rise in demand for housing properties in the GTA. So, will the trend of price rise of housing properties continue next month as well?
Budget Housing Markets in Greater Toronto Area (GTA)
Depending on your requirements, you must prepare a budget, on which your affordability can be defined. It may be that you are looking for a detached house, a townhouse, or a condo. Let us check on the prices of the housing properties, category-wise to ease out your evaluation process for buying property in the GTA.
The locations listed above are the most preferred in the GTA by realtors and home buyers. In the month of March 2023, the pricing trend can be analyzed from the table above. If you want to pursue your home purchase process on a budget, then the properties listed in the above table will surely help you.
Therefore, it is highly recommended that you ascertain the reason for your property purchase so that you can find the best deal in the housing market of the Greater Toronto Area.
The following are some of the FAQs related to the housing market in the Greater Toronto Area that may resolve some more of your queries:
Q: How is the Greater Toronto Area housing market?
A: According to recent market information from the Toronto Regional Real Estate Board, there were 6,896 property sales in the Greater Toronto Area last month. From the 4,783 homes sold in February, this represents a startling 44% increase. Sales fell 36.5% annually compared to March 2022, when the market’s decline first started.
Although the property market is typically significantly more active in the spring, the number of listings has not kept up with the increased level of buyer interest. 11,184 new listings, or 44.25% fewer than in March of last year, show that the market is currently experiencing significantly tighter circumstances than in that month.
Keep visiting our blog space to get the latest trends in the Canadian Housing Market.
Q. Are prices going down in the Greater Toronto Area housing market?
A. The average home price in the Greater Toronto Area (GTA) will reach $1,108,606 in March 2023, the highest level since June 2022, signaling a robust recovery in the GTA housing market. This follows a 23-month low in pricing that occurred in January 2023. With 6,896 homes sold in the GTA for the month of March 2023, home sales are increasing along with prices as they once again rise.
Early in the previous year, Toronto home prices and sales reached their pinnacle, making this month’s year-over-year shift less pronounced than it otherwise would have been. The average property price in the GTA is up 1% month over month but is down 15% year over year. Home sales in the GTA are also down 37% year over year but up 44% month over month.
Q. How is the Greater Toronto Area housing market for First Time Buyers?
A. If you are a first-time home buyer in Canada, GTA is relatively a better place to move in for your first dream home. The most important reason behind this is the variety you can get in the designs and architecture of the houses in the region. You will surely find your most preferable type of residence.
Q. How is the Greater Toronto Area housing market for Investors?
A. Because of its strong rates of appreciation, low vacancy rates, and high demand for properly maintained properties, the GTA is generally regarded as a desirable investment location. There are many excellent rental neighborhoods and houses to be discovered, but it’s not as straightforward as claiming that every single property in the region is worthwhile to buy.
Q: Is now a good time to buy or sell property in the GTA?
A: Right now, if you’re considering selling, speak with an agent first. In other neighborhoods, business is still booming, and prices are rising month over month with lots of competition. Many, though, are observing significant decreases in prospective purchasers.
The greatest effect is being seen in areas where home prices are lower since purchasers there are likely to be financing a larger portion of the purchase price, making it more difficult for them to purchase as a result of increased interest rates.
Q. Is it affordable and wise to buy a Condo in the GTA?
A: The popularity of condos comes from the fact that they are priced more competitively than detached homes; for many buyers, they represent the only practical means of entering the housing market, and they haven’t experienced the same price declines as other kinds of properties.
Q: When is the best time to buy property in the GTA?
A: For this, you have to check the market trends and real estate news regularly. Check your budget and the ongoing prices. Whenever you feel it is right to proceed, you may proceed with the property purchase. This process is wise for home buyers, but for the real estate business, you have to be on top of the market updates. Keep visiting this space to get the most accurate GTA real estate market trends.
Q: What if I face a shortage of funds for the housing I selected in GTA?
A: The wisest decision will be to hold on for a few more days until you manage to save the funds required, or wait for a decline in the prices of the housing you are willing to buy. But, if you are in a hurry, you can go for a mortgage. Consult with a financial organization that, based on your credit history, can lend you the amount you are falling short of. You can also go for a second mortgage if you already own a house in Canada. For expats or non-residents in Canada, there is the option of a First-time Home Buyer Incentive.
Q: Within how many days is the purchase process of a house or condo completed in the GTA?
A: There is truly no such thing as a “normal” real estate closing; we’ve witnessed closings that lasted as long as a year. Depending on their respective financial positions and personal circumstances, the buyer and seller decide when they want to close when an offer is made. In Toronto, closings typically take place between 30 and 90 days.