GTA new home market continues strong in August

Toronto, Sept. 28, 2020 (GLOBE NEWSWIRE) -- The GTA new home market saw an unusually busy August, the Building Industry and Land Development Association (BILD) announced today.

A total of 4,539 new homes was sold in August, up 217 per cent from August 2019 and 119 per cent above the 10-year average, according to Altus Group*, BILD's official source for new home market intelligence. It was the highest number of new home sales for August since Altus Group started tracking in 2000.

Sales of new single-family homes, including detached, linked, and semi-detached houses and townhouses (excluding stacked townhouses), with 1,930 units sold, were up 355 per cent from last August and 139 per cent above the 10-year average.

Condominium apartments, including units in low, medium and high-rise buildings, stacked townhouses and loft units, accounted for 2,609 new home sales, up 159 per cent from August 2019 and 106 per cent above the 10-year average.  

"With the record sales activity and unusual number of project launches we saw in August, it is becoming clear that the COVID-19 pandemic delayed consumers' housing purchase decisions as well as builders' project openings," said Ryan Wyse, Altus Group's Manager, Analytics, Data Solutions. "After the normally busy spring months were severely affected by the pandemic and related government-imposed restrictions, we saw much stronger activity than normal during the summer."

Total new home remaining inventory in August was 14,331 units. New home remaining inventory includes units in preconstruction projects, in projects currently under construction, and in completed buildings.

The benchmark price for both single-family homes and condominium apartments dipped slightly in August compared to the previous month but was still up year-over-year. The benchmark price for new condo apartments in August was $972,859, which was up 15.7 per cent over the last 12 months, and the benchmark price for new single-family homes was $1,169,823, which was up 8 per cent over the last 12 months.

"The GTA housing market has seen a strong summer, but, with the resurgence in COVID-19 cases, the coming months are full of uncertainty for all of us," said David Wilkes, BILD President & CEO. "What is certain is that residential and non-residential construction has played a key role in kick-starting the economy in our region and in Canada, and will continue to do so. We are working with governments at all levels to remove barriers to building and economic recovery."

August New Home Sales by Municipality: **

Source: Altus Group

BILD is the voice of the home building, land development and professional renovation industry in the Greater Toronto Area. The building and renovation industry provides $33 billion in investment value and employs 271,000 people in the region. BILD is proudly affiliated with the Ontario and Canadian Home Builders' Associations.

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For additional information or to schedule an interview, contact John Provenzano, BILD Media Relations Manager, at [email protected], (416) 617-7994.

*Altus Group should be credited as BILD's official source of new home market intelligence.

**Historical data are subject to revisions.