Advertisement

News Real Estate

Average price of GTA home hit nearly $1.2 million in May

The average price of a home in the GTA reached nearly $1.2 million in May as increased demand mixed with a lack of housing supply continue to push up home prices. 

Last month, the supply of homes for sale in the Greater Toronto Area did not keep up with the demand, but the housing market continued to improve from a sales perspective, according to the latest data from The Toronto Regional Real Estate Board (TRREB).

The average selling price of a home in the GTA  reached $1,196,101 in May, representing a  small 1.2 per cent decline compared to May 2022. On a seasonally adjusted monthly basis, the average selling price was up by 3.5 per cent compared to April 2023.

Meanwhile, in the City of Toronto the average selling price hit $1,197,021, down from $1,232,662 this time a year ago. 

READ MORE: GTA home prices rose in March as competition between buyers heats up: TRREB

“The demand for ownership housing has picked up markedly in recent months. Many homebuyers have recalibrated their housing needs in the face of higher borrowing costs and are moving back into the market. In addition, strong rent growth and record population growth on the back of immigration has also supported increased home sales. The supply of listings hasn’t kept up with sales, so we have seen upward pressure on selling prices during the spring,” TRREB Chief Market Analyst Jason Mercer said in a statement. 

When looking at different property types, the average price of a condo in the GTA was $748,483 in May, a three per cent drop compared to May 2022. Meanwhile, detached homes saw a 0.6 per cent year-over-year uptick to $1,556,566. 

Last month, 9,012 homes were sold in the GTA through TRREB’s MLS System, marking a notable 24.7 per cent increase compared to May 2022. However, new listings were down by 18.7 per cent over the same period. TRREB says on a month-over-month seasonally adjusted basis, sales were up by 5.2 per cent compared to April 2023. 

As demand continues to increase, TRREB President Paul Baron noted that governments have been failing to procure more housing for some time and need to make changes to prevent severe consequences. 

“If we don’t quickly see housing supply catch up to population growth, the economic development of our region will be hampered as people and businesses look elsewhere to live and invest,” Baron said in a statement. 

Advertisement

Exclusive content and events straight to your inbox

Subscribe to our Newsletter

This field is for validation purposes and should be left unchanged.

By signing up, I agree to receive emails from Now Toronto and to the Privacy Policy and Terms & Conditions.

Recently Posted