The poor weather continued through the month of March 2014, but that didn't stop home sales in the city of Toronto. Both home sales and home prices increased in the month of March 2014 when compared to March 2013. Toronto home sales came in at 8,081 in March 2014, compared to 7,537 in March 2013 - which resulted in an increase of 7.2% year over year. Toronto home prices finished at $557,684 in March 2014, compared to $517,232 in March 2013 - an increase of almost 8%! Perhaps the biggest surprise is that the average price of condos in the 416 area code rose to almost $385,000 - an increase of more than 5% year over year. This is probably most surprising to all those people who are still waiting for the condo market bubble to burst.
Low inventory and affordable lending rates continue to push home sales and home prices up. Mortgage rates for the month of March 2014 were incredibly low coming in at: 2.30% for a 5 year variable and 2.89% for a 5 year fixed rate mortgage. This results in affordable home owning options for Toronto home buyers and creates bidding scenarios in the market place.
Analysts are projecting that inventory remains low over the next couple months. This could lead to a further increase in home prices in the Toronto area. This could also lead to TREB having to revise their outlook on it's predication of the average selling price which they had predicted would only be 2-3% year over year.
March 2014 vs. March 2013
Toronto Home Sales:
March 2014: 8,081
March 2013: 7,537
New Listings in Toronto:
March 2014: 14,829
March 2013: 14,618
Toronto Average Sale Price:
March 2014: $557,684
March 2013: $517,232
Days On Market:
March 2014: 21
March 2013: 24
