GTA new home market sees strong sales, low inventory in September
Toronto, Nov. 02, 2021 (GLOBE NEWSWIRE) -- GTA new home market sees strong sales, low inventory in September
Notice: To avoid inaccuracies, we recommend against making year-to-year comparisons between 2021 and 2020, as the new home market during the latter was affected by the global pandemic.
Greater Toronto Area, Nov. 2, 2021 ? The GTA new home market saw relatively strong sales numbers and low inventory in September, the Building Industry and Land Development Association (BILD) announced today.
Total September new home sales of 3,561 were 16 per cent above the 10-year average, according to Altus Group*, BILD's official source for new home market intelligence.
Sales of new single-family homes, including detached, linked, and semi-detached houses and townhouses (excluding stacked townhouses), accounted for 1,073 units sold in September, which was 3 per cent below the 10-year average.
Condominium apartments, including units in low, medium and high-rise buildings, stacked townhouses and loft units, accounted for 2,488 units sold in September, 27 per cent above the 10-year average. It was the 3rd highest level of condo apartment sales for the month of September since Altus Group started tracking in 2000.
With a number of new condominium projects opening in September, remaining inventory increased compared to the previous month, to 11,107 units. Remaining inventory for single-family homes slipped to 1,322 as units opened failed to keep up with sales. Remaining inventory includes units in pre-construction projects, in projects currently under construction, and in completed buildings.
"While available inventory is relatively low for both new single-family homes and new condominium apartments, the current supply dynamics are different for each sector," said Edward Jegg, Analytics Team Leader at Altus Analytics, Altus Group. "There is very little new single-family product making it to the market, which is driving prices to new records. In contrast, there are significant levels of new condominium apartment product being launched, but strong demand means it is being bought up relatively quickly".
The benchmark price for new single-family homes reached another record high of $1,573,764 in September, which was up 33.5 per cent over the last 12 months. The benchmark price for new condominium apartments eased in September compared to the previous month, to $1,036,831, which was up 2 per cent over the last 12 months.
"At a time when new housing supply is being rapidly absorbed by the market, it is more important than ever for municipalities across the GTA to remove every roadblock to bringing more housing online," said Dave Wilkes, BILD President & CEO. "Whether municipalities are considering affordable housing initiatives or implementing Growth Plan commitments that define where new growth will occur, they must retain a laser focus on bringing supply to the market as quickly as possible, as the region prepares to welcome four million more residents by 2051."
With more than 1,300 member companies, 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 more than 230,000 jobs in the region and $26.9 billion in investment value. 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 Justin Sherwood at [email protected] or 416-371-6005.
*Altus Group should be credited as BILD's official source of new home market intelligence.
**Historical data are subject to revisions.
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