Night Lights of Toronto
by Laura M. Bailey
Last month, 4,567 sales were reported through the TorontoMLS® system by the Greater Toronto REALTORS®. The number was 8.8 per cent higher than January 2011. The sales of low-rise homes surrounding the City of Toronto grew at the highest rate.
Toronto Real Estate Board President Richard Silver commented on this increase: "A favourable affordability picture bolstered by very low posted fixed mortgage rates has kept home buyers confident in their ability to achieve the Canadian goal of home ownership."
According to Silver, the structure of purchases remained diverse in the GTA and buyers were strongly interested in all home types.
The average selling price of the transactions reached $463,534 in the first month of 2012. This number is almost 9 per cent higher than in January 2011.
Jason Mercer, the Toronto Real Estate Board's Senior Manager of Market Analysis, explained the market development: "Low inventory levels have kept competition between buyers strong, resulting in robust annual rates of price growth over the last year."
Mercer expects the strong price growth to attract even more listings as a result of a better supplied market that slows down the rate of price growth. The increased number of the attracted listings should be especially notable in the second half of this year.