The Toronto Real Estate Board has reported a 22-per-cent drop in the number of homes sold in GTA in May 2018 compared to May 2017 and a 26-per-cent decline in new listings of homes for sale, both statistic suggestive that consumers are still on the sidelines waiting for evidence of recovery in the GTA market. The decline in listings is helping keep prices stable with the average selling price rising 1.1 per cent in May compared to April on a seasonally adjusted basis. Compared to May 2017, prices for homes of all types were down 6.6 per cent in May 2018.
“Market conditions are becoming tighter in the Greater Toronto Area and this will provide support for home prices as we move through the second half of 2018 and into 2019,” said Jason Mercer, TREB’s director of market analysis. Mr. Mercer said there are emerging indications that there is increasing competition and bidding wars for available homes, which generally leads to stronger price growth.