As we finish up 2018, some of you may remember I had stated this same time last year we were poised to be the year of the condo and here are the stats:
Overall 2018 recorded 77,426 transactions, lowest since 2008
December sales 6,251 ~ typical for December to be slowest period in a calendar year but this is lowest since 2012 and overall sales down 22.5% vs 2017
Sales to Listings ratio at 33.1% for December is inching into Balance market territory
Average sale price at $750,180, +2.1% vs December 2017 ~ evidence new Banks mortgage ‘stress-test’ rules implemented this past January 2018 have had a negative impact on our market
Average sale price negative decline of -4.3% in 2018 vs 2017 ~ Second time this has occurred since 1997 and only 2.7% higher than 2016
Average days on market at 31 translates to longer marketing period & most sluggish since 2014
Luxury properties $2.0+M price tag saw the sharpest decline with: 66 transactions in 2018 vs 106 transactions in 2017 = 38% reduction
Surrounding GTA markets (York, Durham, Peel regions) have experienced the biggest slowdown with York Region showing signs they are conversely different to Toronto, and in Buyer market territory
Condo properties made up for 39% of total market share as affordability considerations have shifted to a more urban & low maintenance lifestyle.
· Active listing numbers in C01 down by 22% but up in C08 by 22% compared to2017
· Sales down 22% in C01 and 45% lower in C08 compared to 2017
· Average days on market for condos was 20-21 days ~ more traffic + faster to overall market
· Ratio of sales-to-listings for downtown condos higher: 69% in C01 vs 49.3% in C08 for first time this year due to increased listing inventory in C08, but overall still higher than marketplace
· Average sale price range for downtown condo units is up, by $50k to $70k vs 2017. Due to buyer affordability this parlayed into higher demand with appreciation setting an average of 11% to 12% year over year
As we start the 1st Quarter, Buyers should watch for great pricing opportunities. As we progress into the Spring market, this is the period where demand increases as supply tries to catch up, and can be a more competitive climate.
Thinking of buying or selling? Call me anytime for your own complimentary consultation.